IndiGo, Air India get relief as CCI dismisses complaint on ticket cancellations and market dominance

The Competition Commission of India (CCI) on Wednesday dismissed a complaint alleging that InterGlobe Aviation (IndiGo) and Air India were abusing their dominant market positions.

The complainant accused domestic airlines of charging “unreasonable” and illegal ticket cancellation fees, as well as imposing arbitrary conditions and prices for the sale of services. PTI.

After reviewing the information, the regulator found no prima facie evidence of competition law infringements; He noted that both airlines maintain transparent refund systems and explain their conditions to passengers in advance.

Details of the complaint

According to the complainant, InterGlobe Aviation, which operates budget carrier IndiGo, has more than 65% share in the domestic aviation sector, while Air India has about 27% market share.

The two players together are estimated to control around 90% of the market, and the complainant argued that this raises concerns about market dominance and potential anti-competitive practices in the industry.

Why did CCI reject the complaint?

CCI said the allegation of abuse of dominance did not require further investigation as both airlines had appropriate systems for ticket refunds. The Fairtrade regulator said passengers could get a significantly refundable ticket if they opted for this category.

Additionally, the competition observer said that refund and cancellation conditions were notified to passengers in advance. The Commission added that these requirements apply to each consumer and are not in a discriminatory, unfair or exclusionary manner.

“In view of the information provided, the Commission is of the view that no prima facie case of violation of Sections 3 and 4 of the Act has been made against OP-1 and OP-2. Accordingly, the information is directed to be closed under Section 26(2) of the Act,” the order read.

Chapters 3 and 4 deal with anti-competitive agreements and abuse of dominant position respectively.

CCI rejects joint investigation objection

The CCI also rejected a separate plea filed by the complainant in December 2025, seeking a joint investigation with another ongoing case regarding IndiGo’s mass flight cancellations.

In its order, the regulator said the allegations and issues in the mass flight cancellation issue are completely different from those raised in the current complaint regarding ticket cancellation charges and pricing practices.

The agency said in its report that given the difference in the nature of the cases, the CCI did not have the opportunity to consolidate the cases or initiate a joint investigation.

Meanwhile, Indigo notified exchanges that its chairman Pieter Elbers had resigned with immediate effect citing personal reasons on Tuesday, prompting founder and chief executive Rahul Bhatia to step in as interim boss.