Jet A1: One-way flight may hit N500,000

Going by the over 300 per cent rise in price of aviation fuel also known as Jet A1, a one-way flight should have  risen  between N400,000 to N500,000, some operators told Daily Trust yesterday. However, they stated that there is a limit by which the operators transfer the cost to passengers given the current economic […]

Going by the over 300 per cent rise in price of aviation fuel also known as Jet A1, a one-way flight should have  risen  between N400,000 to N500,000, some operators told Daily Trust yesterday.

However, they stated that there is a limit by which the operators transfer the cost to passengers given the current economic climate.

Daily Trust reports that the crisis over Jet A1 shortage and price volatility has worsened in recent times, triggering massive flight disruptions while airlines are being forced to trim their flight schedule.

The operators under the aegis of Airline Operators of Nigeria (AON) which earlier threatened to shut down last Monday had complained that they now pay over 300 per cent more on Jet A1 from N900 per litre when the war in Iran started.

While the aviation fuel shortage is a global challenge, Nigerian airline operators are concerned about the surge in prices, saying the situation is pushing them to a brink.

Already, fuel takes over 40 per cent of an airline’s operating cost and with the rise in the price, it means aviation fuel is now taking the largest chunk of the cost of operation.

And as of the time of filing this report, a one-way ticket from Lagos-Abuja still costs between N130,000 to N162,000 depending on the airlines.

However, a member of the AON who spoke with our correspondent under conditions of anonymity said, “On a normal day, if we want to transfer the cost to passengers, which is impracticable, a one-way ticket shouldn’t cost less than N500,000.”

As of today, checks on the websites of some domestic airlines indicated that the highest Business Class fare ranged between N200,000 and N250,000.

“What this means is that you cannot break even on any flight with a litre of fuel sold at almost N3000,” the operator said.

Yesterday, one of the domestic airlines, Ibom Air, revealed that the cost of fueling a single flight has skyrocketed from an average of N2.1 million in January to approximately N7.6 million as of April 26, representing a staggering increase of over 350 percent within just seven weeks.

Based on the figure, a one-way flight from Lagos to Abuja on Ibom Air for Tuesday April 28, 2026 (today) was advertised at N124,100.

Assuming the flight recorded 80 per cent load factor which is very unlikely, it means the flight would be operated on a virtually zero profit margin if other charges and levies are factored.

Ibom Air in a statement by its Group Manager, Marketing and Communication, Aniekan Essienette said this sharp rise has occurred despite operating one of the most fuel-efficient fleets in the domestic market, underscoring the severity of the crisis across the industry.

“From an average of N2.1m per flight in January, as at today, the 26th of April, we are paying approximately N7.6m to fuel every flight. This is a more than 350% increase since the beginning of March, a space of just 7 weeks! And our aircraft are some of the most fuel efficient in the domestic market,” the airline said.

The airline hinted of possible reduction in capacity “to be able to continue to provide services to our customers and our country.”

“We also note that, if this situation persists much longer, airlines will not be able to continue operating just to pay for fuel and nothing else.

“We call on the fuel marketers to seriously reconsider the pricing of aviation fuel to make the airline business model continue to work in Nigeria,” the airline said.

Jet fuel should not be more N2,039 per litre – NMDPRA

Meanwhile, the apex regulator in the downstream sector of Nigeria’s oil and gas, the Nigerian Midstream and Downstream Petroleum Regulatory Authority (NMDPRA) has disclosed that the indicative price of aviation fuel (Jet A1) in Nigeria should range between N1,760 and N2,037 per litre, based on prevailing market conditions.

The agency disclosed this following a high-level stakeholder engagement convened by the Minister of Aviation and Aerospace Development, Festus Keyamo, SAN, on April 22–23, 2026, to address persistent supply and pricing challenges in the aviation sector.

According to the NMDPRA, the pricing benchmark—covering Lagos and Abuja—is derived from Platts average prices recorded between April 17 and 23, 2026. Specifically, the expected range is N1,760–N1,988 per litre in Lagos and N1,809–N2,037 per litre in Abuja.

The regulator, however, cautioned that actual prices may exceed these bands for products sourced outside the reference window, citing ongoing volatility in the global oil market.

This instability has been exacerbated by geopolitical tensions, particularly the U.S.–Iran conflict, alongside varying operational and logistics costs among fuel suppliers.

To stabilise the market, the NMDPRA recommended direct sales of aviation fuel from marketers to airline operators, a move aimed at improving transparency and reducing intermediary costs. It also proposed engaging refiners to review recent cost increases tied to Platts premiums.

Other measures include streamlining the number of airside fuel distributors, facilitating discussions to resolve outstanding debts between airlines and marketers, and introducing a 30-day credit window to ease liquidity constraints for operators.

In addition, the authority is pushing for the inclusion of aviation turbine kerosene under the Federal Government’s naira-for-crude initiative, a policy expected to reduce foreign exchange exposure and moderate fuel pricing in the long term.

The recommendations come amid mounting pressure on domestic airlines, as surging aviation fuel costs continue to drive up operating expenses and airfares across Nigeria’s aviation industry.

 

…Operator seeks waiver on jet fuel taxes

Speaking with our correspondent, CEO of Aero Contractors, Capt. Ado Sanusi said while he is not in support of airlines shutting down as it sends wrong signals to global investors especially the lessors, there should be a transparent pricing of Jet A1.

As of yesterday, the gantry price of Jet A1 from Dangote Refinery is N,1799 per litre. However, a litre is sold to airlines at almost N1,500 per litre.

Sanusi queried the wide price differences, asking the regulator in the oil and gas industry to be alive to its responsibility.

He said, “The problem is a global challenge and it is not affecting only Nigerian airlines. We are very lucky that we have Dangote Refinery but there should be a transparent pricing. We are buying at N2,400 plus. The regulator should come into it and play its part. Why are we charging over N800 extra when the gantry price is N1,799?”

He also urged the Federal Government to waive charges on aviation fuel for the meantime in order to ameliorate the problem being faced by the airlines.