In a new Civil Aviation Requirement (CAR) issued today that will be effective from August 15, the Directorate General of Civil Aviation (DGCA) has made it mandatory for airlines to pay a compensation for delay and cancellation of flights or in case the passengers were denied boarding despite having a confirmed ticket.
However, airlines will not be liable to pay the compensation if the delay or cancellation takes place due to reasons beyond their control.
Strike, labour problems and ATC-related delays are some of such factors, sources said.
Airlines are also exempted from paying compensation in case of political instability, natural disaster, civil war, insurrection or riot, flood, explosion, government regulation or order affecting the aircraft, meteorological conditions and security risks.
Passengers will be entitled to get a compensation of Rs 2,000 to Rs 4,000 if their flights are delayed from two hours to four hours.
If a passenger, who have a confirmed ticket and reported well ahead of the scheduled departure of his flight, is denied boarding due to "overbooking", the airline will be liable to compensate the passenger.
Airlines overbook their flights to a limited extent to reduce the possibility of planes departing with empty seats because of 'No Shows', which means passengers do not report for travel despite confirmed bookings before the time limit stipulated by the airline.
The CAR allows the airlines to charge 'No Show' penalties on such passengers to minimise such incident in accordance to the fare as defined under rule 135 of the Aircraft Rules 1937.
This penalty will be deducted from the fare paid by the passenger.
In case of cancellation of flights, the CAR makes it mandatory for the airlines to inform the passengers about it three hours in advance from the scheduled departure of the flight to reduce inconvenience to them.
The airlines will have to collect detailed contact information of a passenger like telephone number (landline or mobile), and/or fax number and/or e-mail id at the time of reservation.
However, passengers, who refuse to furnish such information could be denied compensation by the airlines.