Airlines Signal Possible Shutdown Over Rising Fuel Costs

Nigeria’s domestic aviation sector faces uncertainty as airline operators warn of a potential shutdown over escalating aviation fuel prices. The operators say the cost of Jet A1 has surged sharply in recent months, placing severe pressure on their operations and raising concerns about service continuity.

A meeting convened in Abuja by Aviation Minister Festus Keyamo involving airline operators and fuel marketers ended without a resolution. Although the Federal Government announced a reduction in aviation-related taxes, industry players insist that the move does not address the primary issue of high fuel costs.

Vice President of the Airline Operators of Nigeria, Allen Onyema, said the price of aviation fuel has risen from about N900 per litre to as high as N3,500, leaving airlines struggling to cope. He noted that much of the revenue generated is now directed toward fuel expenses, limiting operational sustainability.

Operators have called for urgent government intervention, including regulatory measures on fuel pricing and additional financial relief. With a deadline approaching, concerns are growing that flight operations could be suspended, potentially disrupting travel plans and affecting economic activities nationwide.