Price Fixing: FCCPC indicts Nigerian airlines, to investigate foreign carriers

*The Federal Competition and Consumer Protection Commission discloses a recent investigation uncovered patterns of price manipulation perpetrated by some local airlines during the last festive season, assures of probing activities of foreign airlines in this regard

Alexander Davis| ConsumerConnect

Sequel to a recent review undertaken by the Federal Competition and Consumer Protection Commission (FCCPC), the Commission said it had uncovered patterns of price manipulation perpetrated by some local airlines during the last festive season.

The FCCPC said the findings were contained in the interim report, which its Department of Surveillance and Investigations released Thursday, February 26, 2026.

It is recalled that the market regulatory Commission announced an industry-wide investigation earlier January this year.

It also noted the forensic exercise benefitted from data collated by the Commission from airlines operating local routes.

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

It further said preliminary analysis indicates 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, such as fuel price, government taxes and Foreign Exchange (Forex).

Mr. Ondaje Ijagwu, Director of Corporate Affairs at FCCPC, in a statement Thursday, February 26, 2026, said the Commission also observed the differences identified in fares, therefore, appear to reflect airlines’ arbitrary pricing decisions, including yield management and capacity allocation, rather than any variation in regulatory fees.

Likewise, the FCCPC informed that route-level analysis showed that higher fares coincided with periods of reduced seat availability during predictable seasonal demand peaks.

The Commission reported that on some high density routes, peak fares were clustered within relatively narrow ranges across several operators.

It equally cited an instance of certain corridors like Abuja-Port Harcourt, where peak fares were several times higher than corresponding post-peak levels.

FCCPC stated that on selected routes, the difference in the price of a single ticket reached approximately ₦405,000. “Median fares across the sampled routes also rose markedly during the festive window when compared with post-peak benchmarks,” the Commission noted.

It, however, said the interim report recognised that seasonal demand pressures, scheduling constraints and fleet utilisation might also affect pricing during peak travel periods.

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

Commenting on the release of the interim report, Mr. Tunji Bello, Executive Vice-Chairman and Chief Executive Officer (EVC/CEO) of FCCPC, said the review was part of the Commission’s statutory responsibility to promote competitive markets and safeguard consumers.

The Director of Corporate noted Mr. Bello stated: “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.”

The EVC/CEO disclosed the Commission is conducting further structural and route-level analysis before reaching any conclusions on the issue.

He also stated: “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.”

The report as well identified 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.

The statement noted Bello announced that foreign airlines would come under FCCPC radar after the ongoing review of local airlines.

This is in view of the widespread complaints of exploitative fares the transnational airlines allegedly charge Nigerian travellers on certain routes, compared to fares in neighbouring countries that are of equal distance.

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