The Federation of Indian Airlines (FIA) has filed a petition with India's High Court over the government's introduction of a Regional Connectivity Scheme (RCS) levy. By applying a levy to trunk routes, Narendra Modi's government hopes to subsidise regional operators and stimulate domestic air travel. FIA's members – Jet Airways, GoAir, IndiGo Airlines, JetLite, and SpiceJet – have objected strongly to the move.

Under the scheme, major routes such as those serving Delhi Int'l, Mumbai Int'l, Chennai, Hyderabad Int'l, Bangalore Int'l, and Kolkata Int'l would incur an additional cost of up to INR8,500 (USD124) per flight. The levy would then be used to subsidise flights to India's 400+ underserved Tier II and III cities. Flights of up to one hour will be capped at INR2,500 (USD37) per ticket, putting air travel within reach of the middle classes. The FIA members object to passing the charge onto passengers for a service which they did not provide.

IATA chief Alexandre du Juniac has also been critical of the plan, telling the Press Trust of India that "Regional connectivity is good for air traffic but using a levy, tax or cross subsidy system, let’s name it as it is, is not convincing."