IndiGo Crisis Grounds Half of India's Domestic Flights
India's aviation sector faces unprecedented disruption as the nation's largest airline, IndiGo, grapples with operational challenges that have cancelled over 1,000 flights this week, stranding hundreds of thousands of passengers and triggering a regulatory investigation.
Scale of the Crisis
The crisis reached critical proportions on Friday, with over 100 flights cancelled in Mumbai and Bengaluru alone, and dozens more grounded across Hyderabad, Kolkata, Chennai, and Goa. All Delhi domestic departures were suspended until midnight, while Chennai operations ceased until 6pm.
IndiGo, which commands 60 per cent of India's domestic market share and operates approximately 2,200 daily flights, has acknowledged the severity of the situation. CEO Pieter Elbers has internally indicated that normalisation will prove challenging, with the airline requesting exemption from certain flight duty regulations.
Regulatory Response and New Flight Duty Rules
The Directorate General of Civil Aviation (DGCA) has launched a comprehensive investigation, attributing the disruptions to "misjudgement and planning gaps" in implementing Phase 2 of Flight Duty Time Limitations (FDTL) regulations.
The new rules, designed to enhance flight safety and fatigue management, increased mandatory weekly rest for pilots from 36 to 48 hours and reduced permitted night-time landings from six to two per week. IndiGo has requested full operational normalisation by 10 February 2025.
In response to the crisis, DGCA granted partial relief on Friday, temporarily exempting IndiGo from the "no leave substitution for weekly rest" provision for night flights until February, subject to fortnightly reviews.
Economic Impact and Market Disruption
The cascading effects have created severe market distortions. Ticket prices have skyrocketed, with passengers reporting fares of 35,000 rupees for routes typically costing 5,000-8,000 rupees. Air India business class tickets from Hyderabad to Bhopal reached 130,000 rupees, while standard routes saw increases of 400-600 per cent.
IndiGo shares have declined six per cent this week, erasing approximately 16,000 crore rupees in market capitalisation. The airline, which generated $9 billion in revenue last financial year, built its reputation on punctuality with its "IndiGo Standard Time" boarding announcements.
Government Intervention
Civil Aviation Minister Ram Mohan Naidu convened emergency meetings with IndiGo executives, expressing displeasure over the airline's handling of FDTL implementation. The government has demanded immediate operational normalisation and fare stabilisation.
The crisis has reached Parliament, with opposition members demanding accountability. Shiv Sena MP Priyanka Chaturvedi raised the matter as an issue of "urgent public importance," while Union Minister Kiren Rijiju confirmed ongoing government assessment of potential support measures.
Passenger Impact
Airports across India have witnessed scenes of passenger distress, with inadequate seating forcing travellers to sit on floors using newspapers. At Pune airport, one passenger reported being confined to an aircraft for three hours due to operational issues, while families have missed critical events including weddings and examinations.
The Airline Pilots' Association of India has opposed any regulatory exemptions for IndiGo, emphasising safety concerns over operational convenience.
The crisis underscores the critical importance of effective regulatory transition planning in essential services sectors, particularly when market concentration creates systemic vulnerabilities affecting national transportation infrastructure.