FCCPC Uncovers Price Fixing by Domestic Airlines
Federal Competition and Consumer Protection Commission (FCCPC) says it uncovered patterns of price manipulation by some domestic airlines during the December 2025 festive season.
Chief Executive Officer of the commission, Mr Tunji Bello, disclosed this in an interim report released on Thursday by the agency’s Department of Surveillance and Investigations.
The report was signed by Mr Ondaje Ijagwu, Director of Corporate Affairs. Bello noted that the FCCPC had in January announced an industry-wide investigation into alleged exploitative airfares on local routes.
He affirmed that the assessment was part of the commission’s statutory mandate to promote competitive markets and protect consumers.
“This assessment is intended to provide clarity on pricing behaviour during predictable peak travel periods.
“The commission’s role is not to disrupt legitimate commercial activity, but to ensure that market outcomes remain consistent with competition and consumer protection principles under the law,” he said.
Bello said the forensic exercise benefitted from data collated by the commission from airlines operating local routes in the country, comparing pricing from the December 2025 festive period with post-peak January 2026 fare levels.
He noted that preliminary findings indicated that fares recorded during the festive peak were materially higher than those observed in the post-peak period across several routes.
This, Bello noted, was in spite of relative stability in key cost drivers such as aviation fuel prices, government taxes and foreign exchange rates.
He stated that the differences in fares appeared to reflect arbitrary pricing decisions, including yield management and capacity allocation strategies, rather than changes in regulatory fees.
“Route-level analysis showed that higher fares coincided with reduced seat availability during predictable seasonal demand peaks.
“On some high-density routes, peak fares were clustered within narrow price bands across multiple operators.
“The report cited the Abuja–Port Harcourt corridor as one of the routes where peak fares were several times higher than post-peak levels,” he said.
Bello noted that on selected routes, the price difference for a single ticket rose to about N405,000, while median fares across sampled routes increased significantly during the festive window compared with post-peak benchmarks.
He, however, acknowledged that seasonal demand pressures, scheduling constraints and fleet utilisation could also influence pricing during peak travel periods, noting that these factors remained under review.
The FCCPC boss emphasised that the report was interim and that further structural and route-level analysis was ongoing before any final conclusions would be reached.
He stated that the report identified the possible relevance of Sections 59, 72, 107, 108, 124 and 127 of the Federal Competition and Consumer Protection Act 2018.
The Act addresses agreements in restraint of competition, abuse of dominant position, price fixing, conspiracy, the right to fair dealings and the prohibition of unfair or unjust contract terms.
“Our next action will be dictated by full facts established at the end of the review exercise.
“The commission will then decide whether any regulatory guidance, engagement or enforcement steps are necessary, strictly in accordance with the law,” he said.
Meanwhile, Bello said foreign airlines would come under the commission’s scrutiny after the ongoing review of domestic carriers concluded.
He said the move followed widespread complaints that some foreign airlines allegedly charge Nigerians higher fares on certain routes compared with prices in neighbouring countries for similar distances.
