FCCPC Alleges Price Fixing by Nigerian Airlines, Discloses Next Action

FCCPC Alleges Price Fixing by Nigerian Airlines, Discloses Next Action

  • The FCCPC says its interim report found patterns suggesting price fixing by some domestic airlines during the 2025 Yuletide season
  • The Commission observed that fares rose sharply to as high as N450,000 despite stable fuel prices, taxes and exchange rates
  • The FCCPC clarified that seasonal demand and operational constraints are still being considered before conclusions are reached

Oluwatobi Odeyinka is a business editor at Legit.ng, covering energy, the money market, technology and macroeconomic trends in Nigeria.

The Federal Competition and Consumer Protection Commission (FCCPC) has said it found evidence of price fixing and possible fare manipulation by some domestic airlines during the December 2025 festive period.

The Federal Competition and Consumer Protection Commission (FCCPC) has uncovered patterns of price manipulation perpetrated by some local airlines during the last festive season.
The Commission observed that fares rose sharply despite stable fuel prices, taxes and exchange rates. Photo: fhm, Kola Sulaimon
Source: Getty Images

According to an interim report released by the Commission’s Surveillance and Investigations Department, ticket prices on several local routes rose sharply during the Christmas season, despite relative stability in key cost drivers such as aviation fuel, government charges and foreign exchange rates.

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The Commission had earlier announced an industry-wide probe in January, following public concerns over high ticket prices during peak travel periods. The review relied on data obtained from airlines operating domestic routes across the country.

Findings from festive season pricing review

The interim findings show that fares recorded in December 2025 were significantly higher than those charged in January 2026, after the peak season had ended.

The report noted that the pricing differences appeared to stem from airlines’ commercial decisions, including yield management and seat allocation strategies, rather than changes in statutory fees or other regulatory costs.

Route-level analysis revealed that fare increases coincided with reduced seat availability during predictable high-demand periods. On some busy routes, peak fares were found to fall within similar price bands across multiple operators.

For example, on routes such as Abuja to Port Harcourt, ticket prices during the festive rush were several times higher than post-peak rates. In some instances, the gap between peak and off-peak fares for a single ticket reached about ₦405,000. Median fares across sampled routes also climbed markedly during the holiday window.

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However, the Commission acknowledged that seasonal travel pressure, operational scheduling limitations and fleet utilisation could legitimately influence ticket pricing during peak periods. It stated that these factors remain under review as investigations continue.

FCCPC explains next steps

Commenting on the development, FCCPC Executive Vice Chairman and Chief Executive Officer, Tunji Bello, said the exercise forms part of the agency’s statutory mandate to ensure fair competition and protect consumers.

Bello explained that the assessment was designed to clarify pricing behaviour during predictable high-demand seasons, stressing that the Commission does not intend to interfere with lawful business operations.

He emphasised that the report is interim and that no conclusions have been reached. According to the FCCPC boss, further structural and route-level analysis is ongoing, after which the Commission will determine the next actions dictated under the law.

“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,” he said.

The report referenced several provisions of the Federal Competition and Consumer Protection Act 2018, including sections addressing anti-competitive agreements, abuse of dominant position, price fixing, conspiracy, unfair contract terms and consumer rights to fair dealings.

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The Federal Competition and Consumer Protection Commission (FCCPC) says its interim report found patterns of price manipulation perpetrated by some local airlines in DFecember 2025.
The agency announced plans to investigate foreign airlines over complaints of allegedly exploitative fares. Photo: fhm
Source: Getty Images

Foreign airlines to face review

Meanwhile, the FCCPC disclosed that foreign airlines operating in Nigeria will be investigated after the domestic review is concluded.

Bello said the planned probe follows complaints alleging that some international carriers charge Nigerian travellers higher fares on certain routes compared to neighbouring countries covering similar distances.

NCAA plans tougher penalties against flight delays

Legit.ng earlier reported that the Nigerian Civil Aviation Authority (NCAA) announced plans to impose stiffer penalties on domestic airlines over persistent flight delays and operational lapses affecting passengers.

The regulator noted that airlines have received significant government support to improve performance; hence, repeated inefficiencies now require a tougher regulatory approach.

Flight delays remain a common issue in Nigeria’s aviation sector, with airlines often attributing disruptions to factors beyond their control.

Source: Legit.ng

Authors:
Oluwatobi Odeyinka avatar

Oluwatobi Odeyinka (Business Editor) Oluwatobi Odeyinka is a Business Editor at Legit.ng. He reports on markets, finance, energy, technology, and macroeconomic trends in Nigeria. Before joining Legit.ng, he worked as a Business Reporter at Nairametrics and as a Fact-checker at Ripples Nigeria. His features on energy, culture, and conflict have also appeared in reputable national and international outlets, including Africa Oil+Gas Report, HumAngle, The Republic Journal, The Continent, and the US-based Popula. He is a West African Digital Public Infrastructure (DPI) Journalism Fellow.