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Mozambique: Competition watchdog fines LAM 11.1 million meticais
10:54 CAT | 12 Aug 2025
FILE - For illustration purposes only. [File photo: Lusa]
Mozambique’s Competition Regulatory Authority (ARC) has fined Mozambique Airlines (LAM) 11,109,738.05 meticais (US$173,698 at current exchange rates) for unduly levying a surcharge and obstructing an official investigation.
According to the ARC, the airline applied a surcharge on domestic flights, designed to offset fluctuations in fuel prices on international flights, even after the government banned its collection in 2021.
In some cases, the surcharge represented up to 60% of the ticket price. To give an example, of a 10,000 meticais ticket, the surcharge would comprise approximately 6,000 meticais alone.
The regulatory authority emphasizes that there was no legal or accounting basis for the charge, accusing LAM of financially disadvantaging passengers and abusing its dominant market position.
Furthermore, LAM failed to submit documents and information requested by the investigation, the ARC alleges.
According to LAM, the surcharge was maintained to increase revenue and cover operational and social responsibility costs, such as fuel and salaries.
The fines imposed by ARC are 8,332,303.54 meticais for the undue collection of the surcharge and 2,777,434.51 meticais for failure to cooperate with the investigation.
Payment must be made within 15 days, and LAM must eliminate the surcharge within two months.
The case was referred to the Attorney General’s Office (PGR), which may adopt further measures if further evidence of irregularities is found.
Source: O País
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