Airfare pricing has remained a contentious issue in Nigeria, especially during peak travel seasons when demand surges. While airlines often cite cost pressures and operational limitations, consumer groups have accused operators of exploiting predictable demand cycles through restricted seat supply and inflated prices.
The Federal Competition and Consumer Protection Commission (FCCPC) has uncovered alleged patterns of price manipulation by some domestic airlines during the December 2025 festive season, raising concerns about consumer exploitation and fair competition in Nigeria’s aviation sector.
The findings were contained in an interim report released on Thursday by the Commission’s Department of Surveillance and Investigations, following an industry-wide probe announced in January.
Festive Fares Higher Despite Stable Costs
According to the report, preliminary analysis of data obtained from local airlines showed that ticket prices during the December festive peak were significantly higher than fares recorded in January 2026.
The Commission noted that the spike occurred despite relative stability in key operating variables such as aviation fuel prices, government taxes, and foreign exchange rates. It said the pricing differences appeared to reflect discretionary decisions by airlines, including yield management strategies and seat allocation adjustments, rather than external cost pressures.
In a statement signed by the FCCPC’s Director of Corporate Affairs, Ondaje Ijagwu, the agency stated that on certain routes, fare increases coincided with reduced seat availability during predictable seasonal demand peaks — suggesting possible deliberate supply constraints.
Route-Level Findings Raise Concerns
The report highlighted specific corridors, including the Abuja–Port Harcourt route, where peak fares were reportedly several times higher than post-peak levels. On selected routes, the price difference for a single ticket was said to reach as much as N405,000.
It also observed that on high-density routes, peak fares were often clustered within narrow price ranges across multiple operators — a pattern the Commission said may suggest coordinated pricing behaviour.
However, the FCCPC acknowledged that factors such as seasonal demand surges, fleet utilisation, and scheduling limitations may also influence fare adjustments. It stressed that these variables remain under review as investigations continue.
FCCPC: Report Is Interim
Speaking on the development, FCCPC Executive Vice Chairman and CEO, Tunji Bello, said the exercise aligns with the Commission’s mandate to promote competition and safeguard consumers.
He clarified that the findings are preliminary and that deeper structural and route-level analyses would be conducted before any regulatory or enforcement actions are taken.
The interim report identified possible violations under the Federal Competition and Consumer Protection Act 2018, including provisions relating to anti-competitive agreements, abuse of dominance, price-fixing, conspiracy, and unfair contract terms.
Probe to Extend to International Airlines
Bello also disclosed that the Commission would extend its investigation to foreign airlines operating in Nigeria amid complaints that Nigerians pay higher fares compared to travellers in neighbouring countries on similar routes.
Airlines Operators Push Back
Reacting to the report, the spokesperson for the Airlines Operators of Nigeria (AON), Prof. Obiora Okonkwo, criticised the Commission’s intervention, arguing that it lacks technical expertise in airline pricing and operations.
He described the probe as potentially harmful to the survival of domestic carriers, stating that airfare pricing is influenced by complex operational realities, including limited fleet capacity, aviation fuel costs, foreign exchange constraints, and infrastructure challenges.
Ongoing Debate Over Airfare Pricing
Airfare pricing has remained a contentious issue in Nigeria, especially during peak travel seasons when demand surges. While airlines often cite cost pressures and operational limitations, consumer groups have accused operators of exploiting predictable demand cycles through restricted seat supply and inflated prices.
The FCCPC’s ongoing investigation is expected to shape future regulatory oversight and pricing transparency in Nigeria’s aviation sector as the Commission concludes its review and determines the next course of action.
