FCCPC flags possible price manipulation by local airlines during festive season

The Federal Competition and Consumer Protection Commission (FCCPC) has revealed preliminary findings indicating potential price manipulation by some domestic airlines during the December 2025 festive period.

According to Ondaje Ijagwu, Director of Corporate Affairs, the disclosure stems from an interim report released on Thursday by the Commission’s Department of Surveillance and Investigations.

The forensic exercise leveraged data collected from airlines operating domestic routes across Nigeria, comparing fares during the peak festive season with post-peak prices in January 2026.

The report found that ticket prices during the December peak were materially higher than post-peak fares, despite relatively stable operating costs such as fuel, government taxes, and foreign exchange rates.

“Preliminary analysis indicates that these differences appear to reflect airlines’ arbitrary pricing decisions, including yield management and capacity allocation, rather than changes in regulatory fees,” the statement reads.

Route-level analysis highlighted that higher fares coincided with periods of reduced seat availability during predictable seasonal demand peaks.

On high-density routes, such as Abuja–Port Harcourt, peak fares were reportedly several times higher than corresponding post-peak levels, with some tickets showing differences of up to N405,000. Median fares across sampled routes also surged significantly during the festive window.

However, the interim report noted that seasonal demand pressures, scheduling constraints, and fleet utilization may also influence fare levels during peak travel periods, and these factors remain under review.

Commenting on the findings, FCCPC Executive Vice Chairman and CEO, Tunji Bello, said the assessment aims to clarify pricing behavior during predictable travel peaks, not to disrupt legitimate commercial activity.

READ ALSO: Aeroland Travels losses US$333,350.53 to Lufthansa Airlines petitions IGP, Interpol

“The Commission’s role is to ensure market outcomes remain consistent with competition and consumer protection principles under the law,” Bello said, emphasizing that next steps will depend on the full facts established at the conclusion of the review.

The report highlights potential relevance of Sections 59, 72, 107, 108, 124, and 127 of the Federal Competition and Consumer Protection Act 2018, which cover issues including price-fixing, abuse of dominant position, anti-competitive agreements, and unfair contract terms.

Mr. Bello also warned that foreign carriers could face scrutiny following the ongoing review of local airlines. This follows complaints alleging exploitative fares charged to Nigerians on some routes, particularly in comparison to prices for similar distances in neighboring countries.

The FCCPC had initially launched an investigation in December 2025 after growing public complaints over sharp airfare hikes on domestic routes in Nigeria’s South-South and South-East regions.

The probe focuses on the pricing templates used by airlines to determine potential violations of consumer protection or competition laws.

The interim report underscores the Commission’s commitment to ensuring transparency and fairness in the aviation sector, while cautioning airlines that arbitrary or exploitative pricing may attract regulatory action once the full investigation is completed.