By ITOHAN ABARA-LASERIAN

The Nigeria Civil Aviation Authority (NCAA), the Federal Competition and Consumer Protection Commission (FCCPC), and the National Association of Nigerian Travel Agencies (NANTA) have called for transparency in air fare increments.

They made this call at a virtual Aviation Town Hall with the theme: “High Air Fares – Are Airlines Really the Problem?” on Thursday in Lagos.

The Director of Public Affairs and Consumer Protection, NCAA, Mr Michael Achimugu, expressed his displeasure with domestic airlines over high fares, especially during December hikes.

Achimugu emphasised that the government’s support for the industry, including resolving dry lease issues, should translate to lower fares.

“Largely the dry lease, wet lease situation has been resolved. When you look at these issues, they have been some of the components of the larger conversation surrounding airfares.

“You would expect that as these issues have been resolved one after the other, it should reflect no matter how infinitesimally, and with airfares. Now, there is dry lease, airfares are going higher.

“Of course, there are other factors which bring me to the communication style of the operators. I do not agree that the operators are communicating clearly enough.

“As it happens at the domestic terminals where there are disruptions, it always require the intervention of the NCAA, myself and my department where it has always been down to lack of proper communication between operators and passengers,” he said.

Achimugu urged Airline Operators of Nigeria (AON) on proper communication, with government and other stakeholders.

He also faulted the assertion of 18 taxes and multiple taxation as part of the reasons for the astronomical fares, noting that the supposed taxes did not change but the fares rose in December.

Achimugu reaffirmed the willingness of NCAA to continue to meeting with operators and discussing ways to support them.

Also, the Director of Corporate Affairs, FCCPC, Mr Ondaje Ijagwu, clarified that the mandate of the commission in the aviation ecosystem did not include price fixing of air fares.

He dispelled common misconception that FCCPC influences prices of air fares to airlines.

He said that the commission was only concerned and therefore monitoring for fairness and economic justice.

“What we do essentially is to monitor the market to ensure that there is fairness in how operators are behaving,” he added.

Speaking on specific ‘red flags’ that trigger the commission, Ijagwu said: “Anti-competitive conduct, unfair practices, price fixing, among others.

He said the stance of FCCPC serves as a reminder to the private sector that while the “invisible hand” of the market is free to set prices, the “watchful eye” of the regulator remains fixed on how those prices are reached.

On his part, the president of NANTA, Mr Yinka Folami, said that prices of fares had gone down about 50 per cent at the peak season.

Folami questioned airlines-imposed surcharges, stating that the charges significantly affected the prices of air fare.

He recommended: “We will just recommend, a deconstruction and a breakdown.

“I will advise as practitioner. You know, we are in between government, customers. That is the travelling public, and the airlines are our principal.

“Anybody, any serious person, in downstream aviation understands why we need to make domestic airline operations successful in Nigeria.

“I would like to advise, as it is practices all over the world, when you know that we are approaching the peak seasons, allow advanced purchases.”

According to him, most times, advanced purchases are not available on domestic ticket purchases, which will allow buying of ticket three or four, or five months ahead of Christmas.

“Then, for the late commers, then whatever charges that are available then applies,” he said.

The Spokesperson of AON and Chief Executive Officer of United Nigeria Airlines, Prof. Obiora Okonkwo identified what impacted air fare prices as operational cost, maintenance cost, multiple charges among others.

Okonkwo explained that there was no maintenance system that was designed for Nigeria operators.

He also spoke on how most airlines fly empty during off peak season, like February, making them lose money, while in some cases and in other climes, aircraft were grounded. (NAN)

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