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In response to the recent public outcry across the nation, the Federal Competition and Consumer Protection Commission (FCCPC) has launched an extensive investigation into the alleged unjust increase in airfare by several Nigerian airlines.
According to DAILY POST, there are growing concerns regarding the factors contributing to the high ticket prices currently imposed by some domestic airlines, particularly on local routes.
The Nigerian Senate recently held a thorough discussion on the issue, calling for a complete investigation.
The legislators have accused domestic airlines of serious exploitation.
This alleged coordinated manipulation of airline ticket prices is predominantly observed during festive seasons.
Addressing the situation, the FCCPC, in a statement released on Friday by its Director of Corporate Affairs, Mr. Ondaje Ijagwu, announced that it has commenced an expanded investigation.
The agency clarified that this ongoing probe aims to identify potential violations of legal provisions.
According to the agency, the investigation focuses on operators on specific identified routes, including those in the South-East and South-South regions.
The FCCPC pledged that upon concluding the investigation, it would implement appropriate enforcement actions if evidence indicates any violation of the Federal Competition and Consumer Protection Act (FCCPA).
Ijagwu mentioned that Air Peace has filed a court action seeking to prevent the Commission from scrutinizing its pricing strategies, following the initiation of an investigation into its pricing model due to numerous public complaints.
He stated that the ongoing inquiry remains unaffected by the lawsuit filed against the Commission by Air Peace.
The director quoted Mr. Tunji Bello, the Executive Vice Chairman of FCCPC, who stated, “The Commission will not hesitate to take action where evidence indicates that consumer welfare or market competition is being compromised.”
He added, “To clarify, we are not a price control board, but the FCCPA 2018 empowers us to address consumer exploitation.”
“When we receive petitions or discover substantial evidence, we will not stand idly by while Nigerian consumers are exploited under any pretense.”
“Given the arbitrary surge in airfares, the Commission is broadening its review of pricing patterns, the reasons for the increases reported by consumers, and any practices that may hinder fair competition.”
“If evidence confirms a violation of the Act, the FCCPC will take appropriate enforcement measures,” Bello concluded.
Frequently Asked Questions
What is the FCCPC investigating?
The FCCPC is investigating the alleged unjust increase in airfare by various Nigerian airlines, particularly focusing on the factors leading to high ticket prices on local routes.
What actions will the FCCPC take if violations are found?
If violations of the Federal Competition and Consumer Protection Act (FCCPA) are confirmed, the FCCPC will implement appropriate enforcement measures to protect consumer welfare and ensure market competitiveness.
What is Air Peace's involvement in this situation?
Air Peace has initiated a court action seeking to prevent the FCCPC from examining its pricing mechanisms, following the start of an investigation into its pricing model due to widespread public complaints.
Eze Chidiebere Paul
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