New Delhi: With the entry of AirAsia sparking a fresh wave of fare wars and domestic airlines like Spicejet and IndiGo joining in, the Directorate General of Civil Aviation (DGCA) is not convinced that the move is sustainable for a largely loss-making industry.
The regulator issued a circular to all airlines directing them to furnish “detailed data” on their fare strategy, financial performance in FY14 and their safety oversight mechanism latest by June 13. The regulator, however, has decided not to intervene in the fare wars for the time being. The move comes after the DGCA asked Spicejet to pull back its three-day R1 fare sale offer “immediately” on April 1 this year citing “sensationalism” and “predatory pricing” that had deceived the public.
“A circular has already been sent to all airlines on May 30 asking for detailed information on fares, their financial position and safety oversight. We are looking for data for the last financial year 2014 and have asked them to furnish the information by June 13,” sources in DGCA said.
03/06/14 Roudra Bhattacharya/Financial Express
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The regulator issued a circular to all airlines directing them to furnish “detailed data” on their fare strategy, financial performance in FY14 and their safety oversight mechanism latest by June 13. The regulator, however, has decided not to intervene in the fare wars for the time being. The move comes after the DGCA asked Spicejet to pull back its three-day R1 fare sale offer “immediately” on April 1 this year citing “sensationalism” and “predatory pricing” that had deceived the public.
“A circular has already been sent to all airlines on May 30 asking for detailed information on fares, their financial position and safety oversight. We are looking for data for the last financial year 2014 and have asked them to furnish the information by June 13,” sources in DGCA said.
03/06/14 Roudra Bhattacharya/Financial Express
