The Federal Competition and Consumer Protection Commission (FCCPC) has announced an expansion of its ongoing investigation into the pricing templates used by some domestic airlines, following growing public concern over sharp increases in airfares on selected routes.
In a statement issued by the Commission’s Director of Corporate Affairs, Ondaje Ijagwu, the FCCPC said the widened scope of the inquiry was aimed at determining whether the pricing practices of certain operators on domestic routes, particularly in the South-East and South-South, violate provisions of the Federal Competition and Consumer Protection Act (FCCPA) 2018.
The development comes amid widespread complaints from passengers over what appears to be coordinated manipulation or exploitation in ticket pricing as the festive travel season approaches.
According to the FCCPC, the investigation specifically targets airline operators servicing the identified routes.
Earlier in the year, Air Peace had approached the court seeking to restrain the Commission from examining its pricing mechanisms after the FCCPC commenced an inquiry into its pricing model following public petitions.
The Commission noted that the current investigation was without prejudice to the pending court case instituted by the airline.
Clarifying the Commission’s mandate, the FCCPC’s Executive Vice Chairman and Chief Executive Officer, Tunji Bello, stressed that the agency was not a price-fixing body but is empowered by law to protect consumers from exploitative practices.
“For the avoidance of doubt, we are not a price control board. But the FCCPA 2018 empowers us to check the exploitation of consumers. When we receive petitions or where we find cogent evidence, we will not stand by and watch Nigerian consumers being exploited under any guise,” Bello said.
He further emphasised that the Commission would act decisively where evidence shows that consumer welfare or market competitiveness is being undermined.
Under Section 17(b) of the FCCPA, the FCCPC is empowered to monitor economic activities in Nigeria to identify anti-competitive, anti-consumer, and restrictive practices that may harm consumers. Section 17(e) further authorises the Commission to conduct investigations it considers necessary.
While reiterating that the FCCPC does not regulate prices, the Commission noted that fair pricing remains a core objective of the Act.
The FCCPA, it said, provides a comprehensive framework to protect consumers from excessive, opaque, misleading, or collusive pricing practices, while promoting competitive markets driven by fair market dynamics.
In view of the reported arbitrary spike in airfares, the Commission said it is extending its review to include pricing patterns, the basis for the increases reported by consumers, and any conduct that could undermine fair competition. Where violations are established, appropriate enforcement measures will be applied.
The FCCPC assured the public that further updates on the aviation sector investigation will be provided in due course.