Exploitation: Travel agents back FCPCC’s Air Peace probe,

By Chinelo Obogo

The National Association of Nigerian Travel Agents (NANTA) has backed the Federal Competition and Consumer Protection Commission’s (FCPCC) investigation into exploitation allegations against Air Peace, urging that other airlines be similarly scrutinised.

NANTA President, Yinka Folami, stated in a statement on Monday that the association was committed to advocating for fair practices within the downstream aviation sector, prioritising equitable market policies and the protection of consumers.

The commission last week, said it launched a major inquiry into widespread consumer complaints against Air Peace, Guaranty Trust Bank and MTN. The commission’ Director, Corporate Affairs, Ondaje Ijagwu, said in a statement that the inquisitions are intended to address issues of poor service delivery, exploitative practices, and potential consumer rights violations.

But the airline denied the allegations stating that the aviation sector is regulated by the Nigerian Civil Aviation Authority (NCAA) and if there are any issues regarding any aviation company, there are proper channels and processes to follow.

Nonetheless, Folami noted the 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 Parliament, to ensure fair market practices and safeguard consumers’ interest and has a mandate to conduct surveillance and investigation.

He said: “Our knowledge, understanding and experience is that the 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 the 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 support the protection of consumer rights against anti-consumer services and discriminatory pricing, extension of inquiry beyond just one airline, 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

“There should be an inquiry into significant delays, cancellations, and poor customer care to the Nigerian traveler. There should also be inquiry into cross-border trading, which is price discriminatory to our market, circumventing, and extractive to our national economy. Aviation is 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.

“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 traveler and a win for all.”