India Orders IndiGo to Slash Flights by 10% Amid Cancellations

India’s Civil Aviation Ministry has mandated that IndiGo, the country’s largest airline, reduce its flight schedule by 10% following a significant wave of cancellations that affected at least 2,000 services last week. The decision, announced by Civil Aviation Minister Ram Mohan Naidu on social media platform X, aims to stabilize operations after the airline faced criticism over poor pilot roster management.

The cut, which was increased from an initial 5%, will result in the removal of approximately 220 daily flights from IndiGo’s network. This adjustment comes after a meeting between Naidu and IndiGo CEO Pieter Elbers, who had previously canceled a scheduled appearance at an industry event in London to address the ongoing crisis.

Naidu stated, “The Ministry considers it necessary to curtail the overall IndiGo routes, which will help in stabilising the airline’s operations and lead to reduced cancellations.” This announcement reflects the government’s commitment to ensuring reliable air travel for millions of passengers during the busy winter season.

Impact on Operations and Passengers

IndiGo’s recent actions included more than 1,000 flight cancellations on a single day, specifically on Friday, as part of an effort to reset its operational network. Elbers reassured stakeholders earlier on December 9 that operations were “fully stabilised,” although the airline has faced backlash for its inadequate planning concerning new pilot rest and duty regulations that took effect on November 1, 2023. These regulations have left many planes grounded, significantly disrupting travel for numerous passengers.

The Directorate General of Civil Aviation (DGCA) has also directed IndiGo to submit a revised winter schedule, whereby the airline must cut flights on routes where competitors operate while minimizing services on monopolised routes. No specific end date for these reductions has been disclosed.

In the winter season, which typically sees a spike in travel demand in India, IndiGo had initially received approval for 15,014 departures per week. In November alone, the airline cancelled 951 flights out of a total of 64,346 approved departures.

Market Response

Despite the operational challenges, IndiGo shares managed to close 0.9% higher at 4967.5 rupees on Tuesday, marking the airline’s first gain in eight sessions. Nonetheless, shares have experienced a decline of 15.8% since December 1, indicating investor concerns about the airline’s capacity to navigate the current turbulence.

The situation illustrates the broader challenges faced by airlines in managing schedules and resources effectively, particularly during peak travel periods. As the airline seeks to restore normalcy, the adjustments mandated by the Indian government aim to protect passenger interests and enhance operational reliability moving forward.