The Federal Competition and Consumer Protection Commission (FCCPC) has announced an expansion of its ongoing investigation into the pricing templates used by some airlines operating on the South-East and South-South routes, following growing public concern over sharp increases in airfares.
The development was disclosed in a statement issued on Friday by the Commission’s Director of Corporate Affairs, Ondaje Ijagwu, who said the expanded probe is aimed at establishing whether airlines have violated provisions of the Federal Competition and Consumer Protection Act (FCCPA) 2018.
According to the Commission, public inquiries and complaints have intensified in recent days amid what appears to be coordinated manipulation or exploitation in the pricing of airline tickets, particularly as the festive season approaches.
“Concerns have been expressed widely in the past few days over what appears to be coordinated manipulation or exploitation in the pricing of airline tickets by some airlines on certain routes, especially in the South-East and South-South, as the festive season begins,” the statement said.
The FCCPC recalled that earlier in the year, a major domestic airline, Air Peace, instituted a court action seeking to restrain the Commission from examining its pricing mechanisms. This followed the commencement of an investigation into its pricing model after widespread complaints from members of the public.
However, the Commission clarified that the current inquiry is without prejudice to the pending court case instituted by Air Peace.
Further clarifying the Commission’s mandate, FCCPC Executive Vice Chairman and Chief Executive Officer, Mr Tunji Bello, stressed that the agency is not a price control body but is empowered by law to prevent consumer exploitation.
“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 emphasised that the Commission would not hesitate to act where evidence shows that consumer welfare or market competitiveness is being undermined.
The statement cited Section 17(b) of the FCCPA, which authorises the Commission to monitor economic activities in Nigeria and identify anti-competitive, anti-consumer, and restrictive practices that may adversely affect consumers. It also referenced Section 17(e), which empowers the FCCPC to carry out investigations deemed necessary.
While reiterating that the FCCPC does not regulate prices, the Commission noted that fair pricing remains a core objective of the Act, which provides a comprehensive framework to protect consumers from excessive, opaque, misleading, or collusive pricing practices, while promoting competitive markets.
Against the backdrop of what it described as arbitrary spikes in airfares, the Commission said it is extending its review to include pricing patterns, the justification for reported fare increases, and any practices that could undermine fair competition in the aviation sector.
“Where evidence confirms a breach of the Act, FCCPC will apply appropriate enforcement measures. The Commission will provide further updates on the ongoing aviation investigation in due course,” the statement added.
