The Federal Competition and Consumer Protection Commission (FCCPC) has announced an expansion of its ongoing investigation into airline ticket pricing, focusing on certain domestic routes to determine potential violations of consumer protection laws.
The move follows public concerns over what appears to be coordinated manipulation or exploitation of airfares, particularly on routes serving the South-East and South-South regions, as the festive season approaches. The investigation specifically targets operators on the affected routes.
Earlier this year, Air Peace filed a court action to restrain the Commission from examining its pricing mechanisms after complaints prompted a probe into its fare model. FCCPC noted that the ongoing investigation will continue without prejudice to this case.
Clarifying the Commission’s role, FCCPC Executive Vice Chairman/CEO Tunji Bello said, “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 emphasised that the Commission will act decisively where evidence indicates that consumer welfare or market competitiveness is being undermined. Section 17(b) of the FCCPA empowers the Commission to monitor economic activity and identify anti-competitive or restrictive practices, while Section 17(e) allows investigations deemed necessary.
While not a price control body, FCCPC aims to ensure fair pricing as a key objective of the FCCPA. The law protects consumers from excessive, opaque, misleading, or collusive pricing, while promoting competitive markets that determine prices through fair market dynamics.
In light of recent arbitrary airfare spikes, the Commission is expanding its review of pricing patterns, assessing the reasons for increases reported by consumers, and investigating practices that could undermine fair competition. Enforcement measures will follow if any breaches of the Act are confirmed.
The FCCPC said further updates on the aviation investigation will be provided in due course.
Erizia Rubyjeana
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