The sudden increase in the price of airfares by domestic airlines have been outlawed.
The Federal Competition and Consumer Protection Commission (FCCPC) issued the order in a statement on Wednesday.
Executive vice-chairman of FCCPC, Babatunde Irukera, said the sudden price hike was unlawful and would be probed.
Nigerian airlines recently increased economy flight tickets for domestic routes from about N35,000 to a base fare of N50,000.
The FCCPC attributed the action of the carriers under the aegis of the Airline Operators of Nigeria (AON) to price-fixing, saying detailed investigations by the commission showed that the airlines’ move was “coordinated”.
It told the airlines that the FCCPA Act 2018 prohibits conduct or any coordination between competitors including on the platform of trade associations.
“Specifically, Section 107 (1)(a) forbids competitors from fixing prices, and Section 108 prohibits any conspiracy, combination, agreement or arrangement between competitors in any manner that unduly restrains or injures competition,” the statement reads.
The commission added that coordination in increasing prices (otherwise known as a cartel) is an unambiguous infringement of the FCCPA.
