The Federal Competition and Consumer Protection Commission has uncovered patterns of price manipulation by some domestic airlines during the December 2025 festive season, raising fresh concerns about consumer exploitation and competition in Nigeria’s aviation sector, according to an interim review released by the agency on Thursday.
It said the development raised fresh concerns over consumer exploitation and market competition in Nigeria’s aviation sector. The interim report, released by the commission’s Department of Surveillance and Investigations, followed an industry-wide probe announced in January.
According to the report, preliminary analysis of data obtained from local airlines showed that ticket fares during the festive peak were significantly higher than post-peak levels in January 2026, despite relative stability in key operating variables such as aviation fuel, government taxes, and foreign exchange.
The commission, in a statement signed by its Director of Corporate Affairs, Ondaje Ijagwu, said the forensic exercise compared domestic pricing trends during the December festive rush with subsequent fare levels. It noted that the differences observed in ticket prices appeared to reflect airlines’ discretionary pricing decisions rather than external cost pressures.
The statement read in part, “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.”
The commission said route-level analysis showed that fare increases coincided with periods of reduced seat availability during predictable seasonal demand peaks, suggesting deliberate supply constraints. It added that on high-density routes, peak fares were often clustered within narrow ranges across several operators, a pattern that may indicate coordinated behaviour.
“For instance, on certain corridors such as Abuja–Port Harcourt, peak fares were several times higher than corresponding post-peak levels. On selected routes, the difference in the price of a single ticket reached approximately N405,000,” the report stated.
It further noted that median fares across sampled routes rose sharply during the festive window compared with January benchmarks. However, the commission acknowledged that seasonal demand, fleet utilisation, and scheduling constraints could also affect pricing during peak travel periods, noting that “these factors remain under consideration as part of the commission’s ongoing review.”
Speaking on the findings, the Executive Vice Chairman and Chief Executive Officer of the Commission, Tunji Bello, said the exercise was part of the agency’s mandate to promote competition and protect consumers.
“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,” Bello said.
He stressed that the report was interim and that the Commission would conduct deeper structural and route-level analysis before taking any regulatory steps.
“It is important to emphasise that this is an interim report. Our next action will be dictated by the 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 added.
The report identified possible violations of provisions of the Federal Competition and Consumer Protection Act 2018, including those relating to anti-competitive agreements, abuse of dominance, price-fixing, and unfair contract terms.
According to the commission, the relevant sections include prohibitions against restraint of competition, abuse of a dominant position, conspiracy, and unfair or unjust dealings with consumers.
It noted, “The report identifies 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.”
Meanwhile, Bello disclosed that the commission would extend its probe to international airlines amid widespread complaints that Nigerians are charged higher fares compared to travellers in neighbouring countries on similar routes.
“Following the ongoing review of domestic airlines, the Commission will also examine the pricing behaviour of foreign carriers operating in Nigeria. There have been persistent concerns that Nigerians pay higher fares on certain routes compared to countries of similar distance,” he said.
Airfare pricing in Nigeria has remained a major concern for travellers, particularly during festive periods when demand surges. Industry operators often attribute high fares to limited fleet capacity, rising aviation fuel costs, and operational challenges.
However, consumer groups have accused airlines of exploiting predictable seasonal demand by restricting seat supply and inflating prices. Nigeria’s aviation sector has also struggled with aircraft shortages, high maintenance costs, forex constraints, and infrastructure gaps, which have reduced capacity and increased pressure on fares.
The FCCPC’s probe could reshape pricing transparency and competition in the sector if enforcement actions follow. The development comes amid broader regulatory efforts to strengthen consumer protection and ensure fair market practices across critical sectors of the economy.
Responding to the allegations, spokesperson of the Airlines Operators of Nigeria, Prof Obiora Okonkwo, tongue-lashed the FCCPC, saying it lacks the required expertise to dabble in how airfares are fixed. He further said the FCCPC’s actions are detrimental to the survival of domestic airlines.
Okonkwo said, “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 in 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.”
