Daijiworld Media Network - New Delhi

New Delhi, Dec 14: IndiGo, India’s largest airline by market share, may be facing fresh trouble as the country’s competition watchdog considers launching an investigation into the carrier following large-scale flight cancellations over the past week.

According to a senior government official, the Competition Commission of India (CCI) is examining whether IndiGo violated competition laws by misusing its dominant position in the domestic aviation market. The scrutiny relates to allegations of limiting services or imposing unreasonable conditions on passengers amid widespread disruptions.

IndiGo, which commands around 65 per cent of India’s domestic aviation market, has cancelled more than 5,000 flights this month. The cancellations were attributed to an acute shortage of flight crew after the airline struggled to implement revised pilot rest regulations. The disruptions affected thousands of passengers nationwide during a peak travel period.

Official data shows that while IndiGo required 2,422 captains to maintain its operations, only 2,357 were available, leading to cascading cancellations across its network.

The government official was quoted as saying that the CCI has “strong grounds” to initiate a probe, even as the Directorate General of Civil Aviation (DGCA) continues to lead the broader investigation into the airline’s operational failures. The CCI is closely monitoring developments and is expected to take a call soon on whether to initiate proceedings within its jurisdiction.

Under Section 4 of the Competition Act, a dominant enterprise is prohibited from abusing its position by imposing unfair or discriminatory conditions, restricting services, or subjecting consumers to unjust treatment.

Meanwhile, the DGCA on Saturday issued a show-cause notice to IndiGo Chief Executive Officer Pieter Elbers and Chief Operating Officer Isidre Porqueras, seeking an explanation within 24 hours. In their response on Monday, the executives said it was not feasible to ascertain the precise causes of the network disruption within such a short timeframe, citing the airline’s complex operations. They sought additional time, pointing to DGCA rules that allow up to 15 days to respond to such notices.

The CCI has the authority to initiate investigations on its own or based on complaints from stakeholders, other parties, or referrals from central or state governments. If the regulator finds prima facie evidence of anti-competitive conduct, it directs its director general to conduct a detailed investigation and submit a report for further action.

IndiGo has previously faced scrutiny from the competition watchdog. However, the CCI dismissed two earlier cases — one in 2015 related to alleged unfair passenger conditions, and another in 2016 filed by Air India over claims of predatory hiring practices.