DGCA Proposes Major Airline Reforms: Free 48-Hour Cancellations and Faster Refunds for Flyers

The Directorate General of Civil Aviation (DGCA) has introduced a set of flyer-friendly reforms that could significantly transform air travel in India. The proposed draft amendments to the Civil Aviation Requirement (CAR) seek to make ticket bookings, cancellations, and refunds more transparent and passenger-centric.

Under the new proposals, passengers will be allowed to cancel or modify flight tickets free of charge within 48 hours of booking, provided the scheduled departure is at least seven days away.

Airlines to Bear Refund Responsibility

One of the most important provisions states that for tickets booked through agents or online travel portals, the responsibility for refunds will rest with the airlines.
According to the draft, since agents act as “appointed representatives” of airlines, passengers should not have to pursue intermediaries for their money.

“The onus of refund shall lie with the airlines as agents are their appointed representatives,” the DGCA stated in its draft proposal.

Airlines will also be required to process refunds within 21 working days for tickets purchased through agents — a move aimed at curbing long delays and disputes that have frustrated passengers for years.

Passenger-Friendly Proposals at a Glance

Public Feedback Invited Until November 30

The DGCA has opened the proposals for public comments and stakeholder input until November 30, 2025. After reviewing responses, the regulator will finalize the amendments to the CAR.
If implemented, the new rules are expected to streamline refund timelines, improve customer experience, and increase accountability among airlines and agents.

A senior DGCA official said the reforms are designed to empower passengers and reduce friction between airlines, intermediaries, and consumers.

“We want to ensure that air travel remains transparent and stress-free. These changes will give passengers more control over their bookings,” the official said.

Why the Change Was Needed

The proposed reforms come amid rising complaints about refund delays and steep cancellation penalties.
Passenger grievances related to air ticket refunds have doubled since 2022, particularly after mass cancellations during festive seasons and weather disruptions.

Industry experts say the DGCA’s move aligns India’s air passenger rights with global standards practiced in the EU, UK, and the United States, where short cancellation windows and prompt refund rules are already mandatory.

Impact on Airlines and Agents

While airlines may initially face operational and financial challenges due to the stricter timelines, aviation analysts believe the reforms will boost consumer confidence and strengthen India’s fast-growing aviation ecosystem.

Travel agents, too, will benefit from clearer guidelines, as the rules clearly define the boundaries of their responsibility in refund processing.

Conclusion

The DGCA’s draft proposal marks a major step toward modernizing India’s aviation policies and improving passenger experience.
If approved, millions of air travellers will gain the right to cancel tickets freely within 48 hours, and airlines will be held directly accountable for timely refunds — ensuring greater transparency and trust in the aviation sector.