Effective August 1 , 2016, an airline will have to pay up to Rs 10,000 to a flyer in the case of cancelling/delaying a flight beyond two hours, while the compensation for not allowing a passenger to board the flight stands at up to Rs 20,000, according to DGCA. Previously, the compensation under both circumstances amounted to Rs 4000. Passengers who have not been informed by the airlines shall be provided compensation of Rs 5,000 or booked one-way basic fare plus airline fuel charge, whichever is less for flights having a block time of up to and including 1 hour. Similarly, for flights having block time of more than 1 hour and up to and including 2 hours, compensation of Rs 7,500 or booked one-way basic fare plus airline fuel charge, whichever is less for flights will be provided. For cancellation/ delay of a flight having a block time of more than 2 hours, Rs 10,000 or booked one-way basic fare plus airline fuel charge, whichever is less for flights, will be compensated. Additionally, the airline shall provide facilities at the airport in the event they have already reported for their original flight and whilst they are waiting for the alternate flight.
In case of denied boarding, airline will have to pay an amount equal to 200 per cent of booked one-way basic fare plus airline fuel charge, subject to maximum of Rs 20,000, in case airline arranges alternate flight that is scheduled to depart within 24 hours of the booked scheduled departure, and 400 per cent of booked one-way basic fare plus airline fuel charge, subject to maximum of INR 20,000,in case airline arranges alternate flight that is scheduled to depart beyond 24 hours of the booked scheduled departure. In case passenger does not opt for alternate flight, refund of full value of ticket and compensation equal to 400 per cent of booked one-way basic fare plus airline fuel charge, subject to maximum of Rs 20,000, will have to be paid to a flier.