FCCPC Uncovers Price Manipulation By Airlines During 2025 Festive Season

• Carriers to face heavy fines over exploitative fares

The Federal Competition and Consumer Protection Commission (FCCPC) released an interim report on February 26, 2026, uncovering significant patterns of price manipulation by domestic airlines during the December 2025 festive season.

While the Commission has not yet issued the final fines, it has established a legal basis for significant penalties under the FCCPA 2018.

The investigation, led by Executive Vice Chairman Tunji Bello, concluded that while demand naturally spikes during holidays, the extreme fare hikes were “unjustified” by operational costs.

Key findings of the interim report identified an arbitrary spike in ticket prices on certain routes in December 2025, materially higher than in January 2026, despite stable costs for aviation fuel, foreign exchange, and government taxes during that period.

On specific high-density routes, such as Abuja–Port Harcourt, the difference for a single ticket reached approximately ₦405,000 according to its findings.

The commission noted that on several high-traffic corridors, fares were clustered within narrow price bands across multiple operators, suggesting possible price-fixing or anti-competitive agreements. It also noted that route-level analysis indicated that higher fares often coincided with deliberate supply constraints (reduced seat availability) during predictable peak periods.

The FCCPC highlighted potential violations of the Federal Competition and Consumer Protection Act 2018, specifically, Section 59 on Prohibition of agreements in restraint of competition; Section 72, which deals with abuse of a dominant position and Sections 107 & 108, which deal with offences related to price-fixing and conspiracy.

The commission is conducting further route-level and structural analysis before making a final determination or taking enforcement actions.

Following the domestic review, the FCCPC plans to investigate international carriers after numerous complaints that Nigerians are charged higher fares than passengers in neighbouring countries for similar distances.

Bello has announced that as soon as the domestic review is finished, the commission will turn its focus to international carriers regarding exploitative fares charged to Nigerians.

If the final report confirms illegal price-fixing, airlines could face heavy fines or regulatory mandates to adjust their pricing models.

The Airline Operators of Nigeria (AON), represented by spokesperson Prof. Obiora Okonkwo, has pushed back against these findings.

Their core arguments include high interest rates, the high cost of maintenance/spare parts, and issues with airport infrastructure that limit aircraft utilisation.

They argue that seasonal pricing is a global standard and not unique to Nigeria.

The FCCPC has been criticised by some for not yet naming the specific culprit airlines in the interim report. This may happen in the final report.

Once the full facts are established from the ongoing structural and route-level analysis, the FCCPC will decide on the exact scale of the enforcement steps.

Wole Shadare