Federal Competition and Consumer Protection Commission (FCCPC) says it is examining Uber’s exit from the Nigerian market, particularly its obligations to customers over unfulfilled services.
The Chief Executive Officer of the commission, Mr Tunji Bello, disclosed this in a text message to Bloomberg.
Bello said the commission was looking into the circumstances surrounding the ride-hailing company’s departure from Nigeria.
“We are looking into the manner of their exit, particularly in respect of unfulfilled services to the customers,” he said.
The development followed Uber’s announcement on Sept. 2 that it would wind down its operations in Nigeria and Uganda.
The decision brought an end to the company’s 12-year operation in Nigeria, having commenced services in Lagos in 2014.
Uber, however, did not give a specific reason for its decision to leave Nigeria.
The company had operated in a highly competitive ride-hailing market, facing competition from platforms such as Bolt, while economic pressures had also affected consumers and operators in the sector.
In a statement announcing the decision, Uber said it had conducted a thorough review of its business before deciding to wind down operations in the two countries.
It said the decision was limited to Nigeria and Uganda and would not affect its operations in other African markets.
The company added that its immediate priority was to support drivers, riders and local team members during the transition.
Uber also denied that its decision to leave Nigeria was linked to a recent directive by the Federal Airports Authority of Nigeria (FAAN) concerning e-hailing operations at airports.
When asked whether the FAAN directive influenced the decision, an Uber spokesperson said the company’s exit followed a review of its evolving business priorities and investment focus across Africa.
The development came amid recent concerns over the operations of Uber, Bolt and other e-hailing platforms at Nigerian airports.
FAAN had faced complaints from passengers following restrictions on commercial e-hailing pick-ups at some airports, with concerns raised over transport availability and increased fares.
The authority later clarified that it had not imposed a blanket ban on e-hailing platforms.
FAAN said discussions were ongoing with operators to establish a framework addressing passenger safety, security, driver accountability and airport pick-up operations.
