IndiGo CEO on issue of rising airfare: ‘If there's one ticket priced at ₹40,000…’
By : Sandhya
IndiGo CEO Pieter Elbers has stated that passengers seeking reduced fares do not consider the operational costs of running an airline. During a recent interview with CNBC-TV18, Elbers addressed public criticism of rising airfare, saying that it could jeopardize the long-term viability of airlines. He was commenting on recent claims that the Centre has established a separate 'Air Sewa' cell to handle passenger complaints over high airfare.
"Having that body is a fantastic thing. Having said that, the Indian market is one of, if not the most competitive in the world. "The average prices are extremely competitive," Elbers told CNBC-TV18. The CEO of low-cost airline IndiGo stated that tickets have not climbed as much as inflation in recent years. "There must be a relationship between the cost of doing business and the price of airfare.
In March, a Parliamentary Committee proposed giving the Directorate General of Civil Aviation (DGCA) the authority to impose interim price restrictions or fines on airlines who charge excessively high rates during peak periods.