The Directorate General of Civil Aviation (DGCA) has proposed new rules for ticket cancellation under the draft Civil Aviation Requirement (CAR), including an option to cancel tickets without any charges within 48 hours of booking, a requirement for airlines to specify the refund amount in case of cancellation and the refund of charges such as the User Development Fee (UDF) if a ticket is not utilised. The DGCA has sought comments from stakeholders on the draft CAR till November 30.
“While the Government is committed not to interfere in the commercial practices of airlines, the volume of complaints necessitates affirmative action to safeguard the interests of the traveling public. The matter has been discussed in several meetings with airlines, with no improvement in the refund system. It is now considered that the onus rests with the Government to set minimum benchmarks for refund policies to address the growing dissatisfaction among passengers regarding refund procedures adopted by some airlines,” the draft reads.
It further states, “Airline shall not levy any additional charge for correction in name of the same person when the error is pointed out by the passenger within 24 hours of making the booking, when ticket is booked directly through airline website.”
According to the DGCA, an airline shall provide a ‘Look-in option’ for a period of 48 hours after booking a ticket.
“During this period, passengers can cancel or amend the ticket without any additional charges, except for the normal prevailing fare for the revised flight for which the ticket is sought to be amended,” it said. Airlines are also required to clearly announce the refund amount and its breakdown on the ticket or a separate form. All statutory taxes and fees, including UDF, Airport Development Fee (ADF), or Passenger Service Fee (PSF), must be refunded in case of ticket cancellation, non-utilisation, or no-show. This applies to all fare types, including promotional or special fares, even if the basic fare is non-refundable.
Another proposal is that airlines may refund the tickets or provide a credit shell in case of ticket cancellations by the passenger arising due to a medical emergency. The DGCA has proposed these changes in the rules on which stakeholder comments will be sough.
