FCCPC Interim Report Alleges Price Fixing by Nigerian Airlines During 2025 Holiday Season
The Federal Competition and Consumer Protection Commission (FCCPC) has released an interim report containing findings that suggest possible price fixing and fare manipulation by certain domestic airlines operating in Nigeria during the December 2025 festive period. The Commission's Surveillance and Investigations Department conducted a comprehensive review following public outcry over exorbitant ticket prices during peak travel seasons.
Sharp Fare Increases Despite Stable Operational Costs
According to the interim findings, ticket prices on numerous domestic routes experienced dramatic escalation throughout the Christmas season, despite relative stability in key cost drivers including aviation fuel prices, government-imposed taxes and charges, and foreign exchange rates. The Commission specifically noted that fares skyrocketed to as high as N450,000 on some routes, creating significant financial burden for holiday travelers.
The pricing review revealed that December 2025 fares were substantially higher than those recorded in January 2026 after the peak travel period had concluded. Analysis indicated these pricing differences appeared to originate from airlines' commercial decisions regarding yield management and seat allocation strategies rather than legitimate increases in statutory fees or regulatory costs.
Route-Level Analysis Reveals Coordinated Pricing Patterns
Detailed examination at the route level uncovered that fare increases consistently coincided with reduced seat availability during predictable high-demand periods. On particularly busy routes such as Abuja to Port Harcourt, investigators found peak fares falling within similar price bands across multiple airline operators, suggesting possible coordination.
The interim report documented instances where the disparity between peak and off-peak fares for a single ticket reached approximately N405,000. Median fares across sampled routes also showed marked increases during the holiday window, further indicating potential anti-competitive behavior within the domestic aviation market.
Commission Acknowledges Legitimate Seasonal Factors
The FCCPC clarified that its investigation continues to consider legitimate factors that could influence ticket pricing during peak periods, including:
- Seasonal travel demand pressures
- Operational scheduling limitations
- Fleet utilization constraints
- Standard yield management practices
Executive Vice Chairman and Chief Executive Officer Tunji Bello emphasized that the Commission's assessment aims to clarify pricing behavior during predictable high-demand seasons while maintaining respect for lawful business operations. He stressed that the report represents interim findings and that no definitive conclusions have been reached.
Next Steps in the Investigation Process
Bello explained that further structural and route-level analysis is ongoing, after which the Commission will determine appropriate actions under the Federal Competition and Consumer Protection Act 2018. The legislation contains provisions addressing anti-competitive agreements, abuse of dominant market position, price fixing conspiracies, unfair contract terms, and consumer rights to fair commercial dealings.
"Our next action will be dictated by full facts established at the end of the review exercise," Bello stated. "Then, the Commission will decide whether any regulatory guidance, engagement or enforcement steps are necessary, strictly in accordance with the law."
International Airlines Also Under Scrutiny
In related developments, the FCCPC disclosed plans to investigate foreign airlines operating in Nigeria once the domestic review concludes. This additional probe follows complaints alleging that some international carriers charge Nigerian travelers higher fares on specific routes compared to passengers in neighboring countries covering similar distances.
The Commission's actions coincide with regulatory measures announced by the Nigerian Civil Aviation Authority (NCAA), which plans to impose stiffer penalties on domestic airlines for persistent flight delays and operational deficiencies affecting passengers. Aviation authorities note that despite significant government support provided to improve performance, repeated inefficiencies now warrant stronger regulatory intervention.
Flight delays remain a persistent challenge within Nigeria's aviation sector, with airlines frequently attributing disruptions to factors beyond their immediate control. The combined regulatory attention from both the FCCPC and NCAA signals increasing scrutiny of airline operations and pricing practices affecting Nigerian consumers.
