Nigeria’s competition authority has concluded that five domestic airlines colluded to inflate ticket prices during the peak 2023 festive period, a practice that will result in regulatory sanctions and mandatory refunds to affected passengers.
The disclosure was made by presidential spokesperson Sunday Dare via a statement on the social media platform X on Thursday. Dare cited the final findings of a preliminary investigation by the Federal Competition and Consumer Protection Commission (FCCPC). According to the statement, Dr. Tunji Bello, the Executive Vice Chairman of the FCCPC, confirmed the outcome during a media engagement at the State House.
“With the preliminary investigations concluded, the FCCPC is set to sanction about five airlines guilty of colluding to fix prices during the last Christmas/New Year holidays,” Dare wrote, quoting Dr. Bello. Thecommission is expected to order the identified carriers to reimburse customers for excess charges incurred during that period. The statement noted that fares had surged dramatically, with some one-way tickets costing between N405,000 and N600,000 for domestic routes. A final comprehensive report from the FCCPC is anticipated soon.
This formal finding follows an earlier public alert from the commission. In a statement dated February 26, the FCCPC had initially uncovered evidence of significant price manipulation by local airlines throughout the 2023 festive season. That earlier revelation documented instances where passengers paid as much as N700,000 for a single one-hour flight, a situation that provoked formal concern from the Nigerian Senate.
The FCCPC’s action underscores a heightened regulatory focus on anti-competitive conduct in Nigeria’s aviation sector. By establishing a case for collusive price-fixing, the commission moves to enforce penalties and secure consumer restitution. The process is set against a backdrop of longstanding consumer complaints about erratic and prohibitive pricing during high-demand periods.
The mandated refunds and impending sanctions represent a direct response to these market abuses. The final report will likely detail the precise mechanisms of the collusion and specify the financial remedies. For international observers, the case highlights the challenges of market regulation in a key African economy and signals a commitment to upholding consumer protection laws against cartel-like behavior among service providers. The outcome is poised to set a precedent for accountability in the domestic airline industry.
