…says Agency’s actions detrimental to airlines’ survival
The Airline Operators of Nigeria (AON) has picked holes in an interim report released by the Federal Competition and Consumer Protection Commission (FCCPC) claiming significant patterns of price manipulation by domestic airlines during the December 2025 festive season.
The FCCPC released the report on February 26, 2026, adding that though, it has not yet issued the final fines, it has established a legal basis for significant penalties under the FCCPA 2018.
It concluded that while demand naturally spikes during holidays, the extreme fare hikes were “unjustified” by operational costs.
However, airline operators said the claim is baseless.
FCCPC’s key findings of the interim report identified an arbitrary spike in ticket prices on certain routes in December 2025, materially higher than in January 2026, despite stable costs for aviation fuel, foreign exchange, and government taxes during that period.
On specific high-density routes, such as Abuja–Port Harcourt, the difference for a single ticket reached approximately ₦405,000 according to its findings.
The commission noted that on several high-traffic corridors, fares were clustered within narrow price bands across multiple operators, suggesting possible price-fixing or anti-competitive agreements.
It also noted that route-level analysis indicated that higher fares often coincided with deliberate supply constraints (reduced seat availability) during predictable peak periods.
The FCCPC highlighted potential violations of the Federal Competition and Consumer Protection Act 2018, specifically, Section 59 on Prohibition of agreements in restraint of competition; Section 72, which deals with abuse of a dominant position and Sections 107 & 108, which deal with offences related to price-fixing and conspiracy.
“A review undertaken by the Federal Competition and Consumer Protection Commission has uncovered patterns of price manipulation perpetrated by some local airlines during the last festive season.
“The forensic exercise benefited from data collated by the commission from airlines operating local routes in the country. The report compares domestic airline pricing from the December 2025 festive period with post-peak January 2026 fare levels.
“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 like fuel price, government taxes, and foreign exchange.
“The differences observed in fares therefore appear to reflect airlines’ arbitrary pricing decisions, including yield management and capacity allocation, rather than any variation in regulatory fees.” part of the statement by Director of Corporate Affairs, FCCPC, Ondaje Ijagwu, reads.
The commission said it is conducting further route-level and structural analysis before making a final determination or taking enforcement actions.
But spokesperson for the airlines Prof. Obiora Okonkwo said the FCCPC may be playing to the gallery as it does not know the economics of airlines and does not possess the professional expertise to dabble into how prices are fixed.
”I have not read the details of the report but what the FCCPC is doing is very detrimental to the survival of domestic operators. They don’t know the economics of airlines and do not possess the professional expertise to dabble into how prices are fixed. They don’t understand airline operations and as far as the AON is concerned, they are playing to the gallery and should not be taken seriously. We have immense respect for all government agencies but we would not accept any statement not based on realities or facts,” Okonkwo said.
Following the domestic review, the FCCPC plans to investigate international carriers after numerous complaints that Nigerians are charged higher fares than passengers in neighbouring countries for similar distances.
The commission announced that as soon as the domestic review is finished, the commission will turn its focus to international carriers regarding exploitative fares charged to Nigerians.
If the final report confirms illegal price-fixing, airlines could face heavy fines or regulatory mandates to adjust their pricing models.
