Travel Agents Back FCCPC’s Inquiry Of ‘Arbitrary, Discriminatory’ Domestic Air Fares

The umbrella body for travel practitioners in Nigeria, National Association of Nigeria Travel Agencies (NANTA), has thrown its weight behind the ongoing inquiry into alleged anti-consumer complaints lodged against a local airline, by the Federal Competition and Consumer Protection Commission (FCCPC), saying the investigation should be extended beyond one airline.

The group also accused local airlines of arbitrary and discriminatory pricing of air fares, hence the need for the Federal Government agency to look into the matter.

NANTA said it was keen on advocacy in the downstream aviation sector and is focused on equitable market practices, policies and protection of consumers

A statement signed by the President of NANTA, Yinka Folami, a copy of which was sent to LEADERSHIP on Monday, noted that FCCPC is the leading authority for competition and consumer protection in Nigeria, and was established by the Federal Competition and Consumer Protection Act 2018 (FCCPA), an Act of Parliarment, to ensure fair market practices and safeguard consumers’ interest.

“Under the FCCP Act of 2018, FCCPC has a mandate to conduct surveillance and investigation.

“Our knowledge, understanding and experience is that the Consumer Protection Commission is methodical in approach and has the capacity to consult for sector-expert opinion. Similar consumer commissions or consumer boards have arbitrated successfully on sector-specific issues in other climes and Nigeria, like any other market, has the equal need to prioritise the Nigerian consumer. In this context, the Nigerian traveler.

“Our local airline players refer to global pricing structure only when it is convenient. For example, our experience with global pricing is that you can purchase in advance.

“What happens in our domestic routes pricing/publication is that you cannot purchase three months in advance. Since September 2024, it has been practically impossible to purchase December 2024 tickets on lower classes/fares. Initially, fares were not displayed in advance (contrary to global practice), and when they were displayed, all lower classes, particularly to a particular region in Nigeria, were frozen. All you can buy is just one class (highest price class).

“This, in our view, is arbitrary and validates the FCCPC’s suspicion of discriminatory pricing. It also runs in conflict with our professional teachings that airline pricing is predominantly determined by flown mileage.

“We, at NANTA, are experienced enough to understand that aviation should not be presented to Nigeria as philanthropy. Aviation is the backbone of connectivity and must be driven by strong corporate governance, respect for consumer rights, and respect for government structures that are created by Act (by Law) to protect consumers. We therefore lend our support to the following:

“Protection of consumer rights against anti-consumer services and discriminatory pricing

“Extension of inquiry beyond just one airline

“We support inquiry into the arbitrary pricing structure of airfares in our market (both domestic and international). There is an increasing imbalance between taxes and basic fares, particularly YQ taxes (fuel surcharge/emergency taxes), which need to be explicit in the interest of fairness to the Nigerian traveler and market. We offer our knowledge and expertise here

“Inquiry into significant delays, cancellations, and poor customer care to the Nigerian traveler

“Inquiry into Cross-Border Trading, which is price discriminatory to our market, circumventing, and extractive to our national economy,” Folami stated.

He pointed out that aviation was a serious business, with high requirements for consumer-centrism. “Therefore, we should stop being skeptical and cynical about consumer rights and about the responsibilities of the Federal Competition and Consumer Protection Commission (FCCPC). We should all work collaboratively to respect and strengthen this laudable government commission.

“We at NANTA stand ready for this patriotic task.”

“In conclusion, we firmly lend our support and expertise where needed to price and service inquiry in the sector which, in our opinion, is long overdue. And if collaboratively prosecuted, it is a win for the Nigerian traveller and a win for all,” he added.