No more 60% free seat rule after Govt puts directive on hold

New Delhi/Mumbai: The Centre has put on hold its directive requiring airlines to offer at least 60% of seats on every flight without additional charges, following strong objections from carriers over financial and operational impact.

The Ministry of Civil Aviation informed the Directorate General of Civil Aviation (DGCA) that the provision will remain in abeyance pending a detailed review.

The decision follows representations from the Federation of Indian Airlines and Akasa Air, which raised concerns over revenue loss and disruption to pricing models.

Why the rule was introduced

The directive, issued on March 18, aimed to address rising complaints over airlines charging extra for seat selection, a practice many passengers see as a hidden cost.

Under the rule, airlines were to increase free seat selection from the current 20% to 60%. It also proposed that passengers on the same booking be seated together wherever possible.

Airlines push back

Airlines argued that seat selection fees are a key part of ancillary revenue, especially in a sector operating on thin margins.

Industry bodies warned that mandating a majority of seats for free could result in higher base fares for passengers overall.

At present, seat selection charges range from around Rs 200 to over Rs 2,000, depending on seat type, including window, aisle, and extra legroom options.

What happens next

With the directive now on hold, airlines will continue with the current system, where about 20% of seats are available without extra charges.

The government has said a comprehensive review is underway to balance passenger interests with airline viability.