Airlines free to increase fares at will, NCAA says

The Nigerian Civil Aviation Authority (NCAA) has noted that airlines in the country are free to fix prices for their services and tickets, since the process has been deregulated

The agency noted that all tariffs for airlines’ services, including fares, rates, add-on charges or terms and conditions of service have been liberalized, and are determined by market forces.

NCAA General Manager, Public Affairs, Mr. Sam Adurogboye, made this known in a statement in reaction to insinuations that the agency had approved an increase in domestic airfares in the country.

According to him, the NCAA however required all air carriers in the country to file their fares with the agency.

The statement read in part: “All air carriers or their agents are expected to file with the authority a tariff for their services showing all rates, fares and add-on charges, including the terms and conditions of free and reduced rate transportation for that service as specified in IS.18.14.1.1.

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“They are also to obtain approval from the authority to introduce and or increase add-on charges or surcharges such as fuel, Internet booking, insurance, security and similar surcharges, prior to implementation.”

It continued, that “This analysis is to curb anti-competitive pricing and to ensure that fares are not too low as to impact on safety arising from inability to carry out prerequisite maintenance on their aircraft.

“On the other hand, the NCAA will similarly intervene if the fares are too high to avoid overpricing that will deny the teeming passengers access to air transportation.”

It would be recalled tha some airlines in the country had recently increased their fares, citing the new foreign exchange policy of the CBN as reason.

 

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