Aviation ministry raps airlines for misleading low fare ads

03 Nov 2008

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New Delhi: In a historic first the civil aviation ministry and regulator, the Directorate General of Civil Aviation (DGCA) have recently asked a leading low cost carrier to withdraw a campaign which advertised low fares of Rs99 for tickets without mentioning the steep add-on amounts, such as the high surcharges and taxes that would also be levied on the fares.  Henceforth, airlines will not be allowed to publish fares that can mislead the consumer.

The action follows in the footsteps of the European Union which has now banned airlines from hiding taxes, fees and surcharge while advertising.

"Airlines should not give a misleading figure. When you will not sell a ticket for Rs99, with surcharge and taxes of about Rs3,000 will be added to it, why should you give a wrong picture to consumers? We have accordingly told airlines to desist from doing so as a clear picture must be given," aviation minister Praful Patel said.

All surcharges, except the passenger service fee, are collected by airlines. The other surcharges and fees include a fuel and congestion surcharge and now a transaction fee.

The passenger service fee of Rs225, the smallest item amongst these,  is the only amount that is passed on to the government.

Though the campaign under question has been withdrawn by the domestic carrier, the DGCA may find it difficult to bring foreign airlines to heel as they may take shelter under bilateral agreements.

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