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High Fares: Intn’l Airlines Heed NCAA Directive, Open Cheaper Tickets

EconomyFoot Print by EconomyFoot Print
February 28, 2024
in Aviation, Top News
Reading Time: 3 mins read
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Flight Disruptions: NCAA reads riot act to airlines
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The major foreign airlines have heeded the directive of the Nigeria Civil Aviation Authority (NCAA) to open their lower inventory tickets that they had hitherto blocked for months.

For months, Nigerians were made to pay higher fares on international flights as only the higher inventory tickets were opened in Nigeria while the lower inventory tickets were blocked.

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The NCAA had expressed displeasure over the discriminatory practices against Nigerian travelers and convened a three-day meeting with the foreign airlines operating in Nigeria. The meeting had in attendance representatives from the CAA, the Federal Competition and Consumer Protection Commission (FCCPC), and the National Association of Nigerian Travel Agencies (NANTA). The meeting also saw a presentation from The International Air Transport Association (IATA) on behalf of foreign airlines.

Rising from the meeting which was held from the 12th to 14th of February 2024 at the NCAA headquarters in Abuja, the Authority expressed strong reservations against the high cost of fares in Nigeria.

The meeting was chaired by Mr. Horatius Egua, the Director of Special Duties, NCAA on behalf of the Director General, Civil Aviation, Nigeria (DGCA), Capt. Chris Najomo.

At the meeting, the DGCA charged all the foreign airlines to reduce their ticket cost and unblock all lower inventory tickets to the Nigerian traveling public in two days. The CAA considered the fare charged in Nigeria as discriminatory compared to the regional flights of the same airlines.

Following the CAA’s directive, the majority of the international airlines have unblocked the lower inventory tickets. The following airlines have unblocked their lower inventory tickets. Lufthansa, KLM, Egypt Air, Ethiopian Airlines, British Airways, Royal Air Mar, RwandAir, and Turkish Airlines. Air France has refused to release all its lower inventory tickets.

However, none of the airlines have reflected market reality fares in their ticket pricing as earlier directed. Thus, the DGCA has set up a ten-person committee to follow through on his earlier directive.

The 10-person committee includes: Mr. Horatius Ogwa, the Director of Special Duties, NCAA, who is the Coordinator and Mrs. Ifueko Abdulmalik, SA to the DGCA is to serve as the Secretary.

Other members of the committee include Mr. Mike Achimugu, the Director of Public Affairs and Consumer Protection, NCAA, Mr. Rotimi Arogunjo, GM, Licensing and Statistics NCAA, Ogechi L. Azude, DGM, Legal Services, NCAA, Susan Akporiaye, President – National Association of Nigerian Travel Agencies, NANTA, Olaoluwa Oladipupo, AGM, Fairs and Tariffs, NCAA, Me David-Ojuigo (Asst. Director FCCPC), Yinka Folami, incoming President, NANTA, and Florence Abbey, Chief Legal Officer, FCCPC.

The holistic picture of the committee is to look at inappropriate pricing of airfare in Nigeria compared to the sub-region.

The terms of reference of the committee are to review and update existing fare analysis in collaboration with FCCPC; to investigate anticompetitive practices in respect of discriminatory fares in Nigeria and take further steps to curb it and to do fare analysis within the sub-region.

Another task of the committee is to compel all foreign airlines in Nigeria to review downward the prices of their tickets to reflect fairness and non-discrimination.

At the meeting with the airlines, the federal government was urged to continue to facilitate the ease of doing business in Nigeria and proactively address the challenges faced by foreign airlines.

The government was also told to encourage Nigerian flag carriers on competitive routes to ease the traveling needs of Nigerians.

The meeting also tasked the NCAA to actively monitor compliance given to the airlines and suggest further necessary activities.

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