FCCPC Expands Probe Into Alleged Arbitrary Airfare Hikes by Nigerian Airlines
Public outrage over soaring domestic airfares has prompted the Federal Competition and Consumer Protection Commission (FCCPC) to widen its probe into what it described as alleged arbitrary increases by several Nigerian airlines operating local routes.
Concerns have continued to mount over the pricing structures behind the high cost of tickets currently imposed by some domestic carriers, particularly on short-haul routes within the country. These developments, PulseNets learnt, have drawn the attention of lawmakers and regulators alike.
The Nigerian Senate recently debated the issue at length, with legislators accusing domestic airlines of engaging in practices that amount to consumer exploitation. According to discussions on the floor of the Red Chamber, the alleged coordinated inflation of ticket prices is most pronounced during festive periods when passenger demand is typically high.
Reacting to the growing controversy, the FCCPC confirmed that it has commenced an expanded investigation into airline pricing practices. The disclosure was contained in a statement issued on Friday by the Commission’s Director of Corporate Affairs, Mr. Ondaje Ijagwu.
Ijagwu told PulseNets that the ongoing inquiry is aimed at determining whether any airline has violated provisions of the Federal Competition and Consumer Protection Act (FCCPA).
He further explained that the investigation currently focuses on operators plying specific routes, notably in the South-East and South-South regions, where complaints from air travellers have been most frequent.
The Commission reaffirmed that appropriate enforcement actions would be taken at the conclusion of the probe if evidence establishes any breach of the FCCPA.
Providing additional context, Ijagwu revealed that Air Peace had approached the court to restrain the Commission from scrutinising its pricing mechanisms. This legal action followed the FCCPC’s earlier decision to examine the airline’s pricing model after receiving widespread complaints from members of the public.
According to him, the ongoing investigation is being conducted without prejudice to the suit filed by Air Peace against the Commission.
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Quoting the Executive Vice Chairman of the FCCPC, Mr. Tunji Bello, Ijagwu emphasised the Commission’s resolve to protect consumers and ensure fair competition in the aviation sector.
“The Commission will not hesitate to act wherever evidence shows that consumer welfare or market competitiveness is being undermined,” Bello stated.
“For the avoidance of doubt, we are not a price control board. However, the FCCPC Act 2018 empowers us to prevent the exploitation of consumers.”
“Whenever we receive petitions or uncover credible evidence, we will not stand by and watch Nigerian consumers being exploited under any guise.”
“In view of the arbitrary spike in airfares, the Commission is expanding its review of pricing patterns, the justification for increases reported by consumers, and any practices capable of distorting fair competition.”
“Where evidence confirms a violation of the Act, the FCCPC will apply the necessary enforcement measures,” Bello added.
