Lagos — The Nigeria Civil Aviation Authority (NCAA) has stressed the need for robust economic regulation in the aviation sector to curb monopoly tendencies, promote fair competition and safeguard consumer interests.
The Director-General of NCAA, Chris Najomo, made the call on Wednesday at the Airport Business Summit and Expo 2026 held in Lagos.
Najomo, who spoke on the theme, “Regulatory Framework for Tackling Natural Monopoly to Protect Investors, Airlines and Consumers,” said effective regulation was critical to balancing commercial viability with public interest, especially amid rising operational costs and multiple charges in the industry.
He explained that natural monopolies were inherent in aviation due to the high capital requirements for infrastructure such as airports and air navigation systems, which could not be easily duplicated.
According to him, a result-oriented regulatory framework must prevent excessive charges, discriminatory practices and declining service standards, noting that such issues could erode investor confidence, increase airline operating costs and worsen passenger experience.
Najomo outlined the aviation value chain to include government, regulators, airports, air navigation service providers, ground handlers and airlines, each playing distinct roles in sector development.
He said while the government provided policy direction and an enabling environment, regulators were responsible for enforcing safety, security, economic and consumer protection rules. Airports and navigation service providers, he added, ensured safe and efficient aircraft operations, while airlines connected economies through air transport services.
The NCAA boss identified key challenges facing the sector to include high aviation fuel costs, expensive materials, multiple charges and inadequate infrastructure.
He maintained that effective regulation would ensure fair pricing, prevent abuse of dominant market positions, encourage infrastructure investment and protect passenger rights.
“Investors require predictable returns and transparent regulations, airlines need fair access and charges, while consumers expect safe, affordable and quality services,” Najomo said.
He noted that the regulatory framework established under the Nigeria Civil Aviation Act 2022 provided the legal basis for economic regulation, consumer protection, market entry and airline licensing.
According to him, the framework promotes fair competition, ensures transparent licensing, assesses financial fitness of operators and prevents anti-competitive practices.
Najomo added that prospective airlines must present viable business plans before being licensed, while existing operators were required to comply with financial reporting obligations to enhance transparency and accountability.
On consumer protection, he said regulations guaranteed passengers access to flight information and appropriate compensation in cases of delays, cancellations or service disruptions.
He also emphasised the need for strict oversight of airports and service providers through regular audits and inspections, adding that identified deficiencies must be corrected promptly.
Najomo further highlighted the importance of regulating air navigation services to ensure safety and efficiency, warning that penalties would apply where operators failed to meet required standards.
He stressed that regulation without enforcement would be ineffective, noting that the NCAA had powers to impose sanctions, conduct inspections and suspend or withdraw licences where necessary.
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The NCAA boss said effective economic regulation would promote non-discriminatory access, enforce service-level agreements and ensure performance standards that enhance fairness, efficiency and accountability in the sector.
The event featured participation from airport managers, airline operators, regulators and other stakeholders, with Najomo and participants touring exhibition stands at the summit.
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