FCCPC’s Interim Report Indicts Local Airlines for Price Fixing in Festive Season

• Says operators hiked tickets despite relative stability in fuel price, government taxes, foreign exchange 

•Tunji Bello: Probe aims to ensure market outcomes remain consistent with competition, consumer protection principles 

•Commission expands investigation to foreign airlines

James Emejo in Abuja

Federal Competition and Consumer Protection Commission (FCCPC), yesterday, announced that it had uncovered patterns of price manipulation perpetrated by some local airlines during the last festive season.

The commission disclosed that the findings were contained in the interim report released by its department of surveillance and investigations, following an industry-wide investigation earlier in January.

A statement issued by FCCPC’s Director, Corporate Affairs, Mr. Ondaje Ijagwu, stated that the forensic exercise benefitted from data collated by FCCPC from airlines operating local routes in the country.

The report compared domestic airline pricing from the December 2025 festive period with post-peak January 2026 fare levels.

Preliminary analysis indicated that fares recorded during the December peak were materially higher than those observed in the post-peak period across several routes, despite relative stability in critical operating variables, like fuel price, government taxes, and foreign exchange.

The differences observed in fares appeared to reflect airlines’ arbitrary pricing decisions, including yield management and capacity allocation, rather than any variation in regulatory fees, the statement added.

Commenting on the interim report, Executive Vice Chairman/Chief Executive, FCCPC, Mr. Tunji Bello, said the commission’s role was not to disrupt legitimate commercial activity, but to ensure that market outcomes remained consistent with competition and consumer protection principles under the law.

Bello added that the review was part of the commission’s statutory responsibility to promote competitive markets and safeguard consumers, adding that it is conducting further structural and route-level analysis before reaching any conclusions.

He said, “This assessment is intended to provide clarity on pricing behaviour during predictable peak travel periods.

He noted that the Commission is conducting further structural and route-level analysis before reaching any conclusions.

“It is important to emphasise that this is an interim report. Our next action will be dictated by full facts established at the end of the review exercise.  Then, the commission will decide whether any regulatory guidance, engagement or enforcement steps are necessary, strictly in accordance with the law.”

Bello also hinted that foreign airlines will come under FCCPC’s radar after the ongoing review of local airlines in view of widespread complaints of exploitative fares they allegedly charged Nigerians on certain routes compared to fares in neighbouring countries that were of equal distance.

The interim report further established that route-level analysis showed that higher fares coincided with periods of reduced seat availability during predictable seasonal demand peaks, adding that on some high-density routes, peak fares were clustered within relatively narrow ranges across several operators.

The commission stated, “For instance, on certain corridors like Abuja-Port Harcourt, peak fares were several times higher than corresponding post-peak levels. On selected routes, the difference in the price of a single ticket reached approximately N405,000.

“Median fares across the sampled routes also rose markedly during the festive window when compared with post-peak benchmarks.

“However, the interim report recognises that seasonal demand pressures, scheduling constraints and fleet utilisation may also affect pricing during peak travel periods.

“These factors remain under consideration as part of the Commission’s ongoing review.”

FCCPC stated, “The report identifies the possible relevance of Sections 59, 72, 107, 108, 124 and 127 of the Federal Competition and Consumer Protection Act 2018, which respectively address the prohibition of agreements in restraint of competition, the prohibition of abuse of a dominant position, the offence of price-fixing, conspiracy to commit offences under the Act, the right to fair dealings, and the prohibition of unfair, unreasonable or unjust contract terms.”