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Airlines, travelers in blame game over astronomic airfares
- NANTA, carriers, others bicker over probe
While many Nigerians are finding it extremely difficult to travel air occasioned by astronomic airfares, particularly this Yuletide which some have described as a ‘crazy development’, some airline operators, travelers, and Federal Competition and Consumer Protection Commission (FCCPC) are trading blame over the issue.
Nigerians in November this year woke up to the reality of high fares which went up from between N65,000 and N70,000 to between N90,000 and N100,000 to places like Abuja, Owerri, Enugu, Port-Harcourt, Uyo, Calabar and to routes that are just 55 minutes.
A few weeks after that, the carriers compounded the woes of travelers by raising airfares to places like Abuja to Lagos to between N120,000 to as high as N180,000 for a one-way economy class ticket.
Shorter routes like Lagos to Ibadan, Akure, Benin, and Asaba to which some airlines hold monopoly went as high as N200,000 and N250, 000 while high-demand routes at Yuletide to places like Owerri, Anambra, Enugu, Port-Harcourt, Uyo, Calabar, Asaba, and Benin are beyond the reach of many people as air tickets are as N250, 000 and N300, 000 for economy class ticket.
Many who could not afford the high ticket cost chose the option of traveling by road which is far cheaper than air transport despite its attendant risks, while many others shelve their trips.
Some of the carriers have cited the principle of demand and supply as the reason for high fares especially at Yuletide while some travelers have described their actions as insensitive at a period when many are grappling with dire economic challenges, the same way the airlines are groaning over high costs of operations.
The outcry of many Nigerians on the skyrocketing fares had led the Federal Competition and Consumer Protection Commission (FCCPC) to want to investigate what it termed the ‘raging and unbelievable\ airfare regime in Nigeria.
The Executive Vice Chairman of FCCPC, Babatunde Irukera assured the sector that investigations would commence into the present structure of Airfares in Nigeria and bring it to an acceptable regime
According to the Executive Vice Chairman of FCCPC, it is only fair to conduct a thorough investigation before decisive intervention steps are taken.
“We believe that airfare in Nigeria is too high, but it will amount to an abuse of office by the regulatory authority to take action just because we feel the price is high. We must establish evidence and confront the body, and that’s hard work”, Irukera stated.
“That said, the numbers do beg the question and loudly ask for inquiry and scrutiny. For instance, fares to and from Uyo are sometimes double other more competitive routes in the country. Of course, being a monopoly (until recently) on that route promotes the natural thing which is high (and sometimes excessively unjust) fares.
“Right now, from the outside, throwing all the taxes, forex, spare parts handling charges, salaries, etc. doesn’t present a persuasive, much less compelling argument. Pax feel certain they are being extorted, especially considering their experiences whether inflight or concerning delays and cancellations. As a passenger myself and considering what I pay to get on a plane in Nigeria, I share their frustrations and aggravations.”
Irukera’s move has the strong backing of the National Association of Nigeria Travel Agencies (NANTA). NANTA President, Mrs. Susan Akporiaye has described the announcement by FCCPC to investigate the raging and unbelievable airfare regime in Nigeria, as a welcome development.
NANTA leadership in recent times and in response to the cries of the Nigerian travelling public had taken decisive advocacy steps and complained to the Federal Ministry of Aviation, Nigeria Civil Aviation Authority (NCAA), and the National Assembly Committee on Aviation to wade into the issue which has made life difficult for the members of Nigerian travelling public and also impacting negatively the survival of travel trade professionals in the country.
According to Akporiaye, NANTA was elated beyond measure by the response of the Federal Government through its consumer protection and regulatory agency to wade into this matter, which has become seemingly unending.
An airline operator who pleaded anonymity welcomed this investigation into rising airfares, adding that at the end of it, FCCPC will be surprised how airlines survive.
“Maybe we think the airlines are doing business on Mars while operating in Nigeria. They should come. Let them inform Nigerians that airlines are almost charity organisations.”
A former Rector of the Nigerian College of Aviation Technology, Zaria, Capt. Samuel Caulcrick said transparency may help to launder the current local airlines’ image of taking advantage of vulnerable air travellers., stressing that most air travellers find it hard, as he does, not to think of exploitation with the “supply and demand” algorithms in airfare calculations.
“It is what it is globally, but our FCCPC may have an ingenious formula away from the “supply and demand algorithm in airfare minute-by-minute calculations. The profit margins in the airline business are razor-edged thin. Regulations for safety, on their own, eat up the working capital.”
Chief executive Officer of Centurion Security Services, Group Capt. John Ojikutu (Rtd) said very little can the FCCPC do in a situation where and when foreign airlines contribute over 80% to the earnings of the aviation commercial agencies, noting that fuel prices have increased by over 100% so has the dollar rate to naira for buying aircraft spares abroad.
To him, there are cases of airlines with wet-leased aircraft that should be paid in forex, questioning how the FCCPC wants to resolve these with the airline operators for the Passengers’ airfares.
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