Check out the new aviation rules for passengers that airlines must follow

The Indian aviation landscape has seen a major passenger-first overhaul in early 2026. The Directorate General of Civil Aviation (DGCA) and the Ministry of Civil Aviation (MoCA) have introduced several directives aimed at reducing junk fees and improving transparency. Earlier this year, passengers got a major relief in terms of airlines returning refunds and doing name corrections.

This new set introduces that airlines can no longer charge a seat selection fee for every single seat on a plane. At least 60 percent of seats on every flight must be available to passengers without any additional selection charge. This is designed to stop the practice where almost the entire cabin was behind a paywall, forcing passengers to pay extra just to get a confirmed seat during web check-in.

Following years of complaints about families being split up (unless they paid for seats), the new rules mandate that passengers booked under the same PNR (Booking Reference) must be seated together, preferably in adjacent seats. This reinforces the previous 2024 rule that children under 12 must be seated with at least one parent/guardian at no extra cost.

Airlines must have transparent and passenger-friendly policies for carrying sports equipment and musical instruments. No more hidden handling fees at the counter. Pets Carriers are now required to publish clear, standardised policies for pet carriage so you aren't left guessing at the airport.

Unfortunately, while the above helps travellers, the Ministry of Civil Aviation has officially lifted the temporary caps on domestic airfares. The government stepped in on December 6, 2025, following a massive operational crisis at IndiGo. Widespread flight cancellations led to a sudden shortage of seats, causing fares on other airlines to skyrocket. To prevent predatory pricing, the Ministry capped one-way economy fares based on distance (ranging from ₹7,500 to ₹18,000).

The Ministry issued the order to withdraw these caps on March 21, 2026, citing two main reasons that flight schedules and capacity across the industry have largely returned to normal. Additionally, airlines, led by the Federation of Indian Airlines (FIA), argued that the caps were unsustainable due to rising fuel costs and longer flight paths caused by the ongoing West Asia crisis.

Airlines can now charge whatever the market will bear. Expect higher prices for last-minute bookings and during peak holiday seasons. ith global jet fuel prices up by nearly 85% in some regions this month, many airlines (including Air India and IndiGo) have already started applying fuel surcharges. While the formal caps are gone, the DGCA has been tasked with monitoring fares in real-time. The Ministry warned that it reserves the right to intervene if they see an unjustified surge in prices.

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