Nigeria’s aviation industry is staring at a possible collapse within days as airline operators warn that flight operations might grind to a halt nationwide if the Federal Government failed to urgently intervene in the escalating aviation fuel crisis.
Operators under the Airline Operators of Nigeria (AON) say the cost of Jet A1 has reached “unsustainable” levels, with prices reportedly surging by as much as 250 percent in Nigeria, far above global increases estimated at about 70 percent.
Industry players say the distortion is pushing airlines to the brink, with operating costs now heavily dollarised while access to credit remained trapped in a high-interest environment reportedly ranging between 30 and 35 percent.
Air Peace Chairman, Allen Onyema, warned after a tense industry meeting that carriers may have no choice but to suspend operations if nothing changes within seven days.
“We are being pushed to the wall. At these levels, no airline can continue to operate sustainably,” Onyema said, adding that carriers might be forced to ground operations if no solution emerged within days.
Onyema said Nigerian airlines are under severe pressure due to a sharp rise in aviation fuel prices, which he argued is disproportionately higher than global trends following the U.S.–Iran conflict.
He explained that while aviation fuel prices typically move in line with crude oil increases, Nigeria has recorded a surge of between about 250 and 270 percent, compared to roughly 70 percent in other countries, including elsewhere in Africa.
Onyema said the situation is making airline operations unsustainable and has pushed operators to the brink, prompting urgent discussions between government officials, airline operators, and fuel marketers to find a resolution.
“We have deliberated extensively today, and they have also shared their pain points. We have also shared ours. We are going to go back and wait for the outcome of their deliberations with the regulators,” he said.
“When they do that, we expect that within the next 48 hours, something drastic will be done, because no airline in this country will be able to fly within the next seven days if nothing is done.
“Not because airlines do not want to fly, but because the pricing, not only of our tickets but also of the fuel products we need to operate, may become unsustainable.
“We are already operating under heavy financial pressure, borrowing at 30 to 35 percent interest just to stay afloat, and we cannot continue to spend all our revenue on fuel alone.”
“The good news, as we observed yesterday, is that the President is listening, and this is very encouraging for us. We are hopeful. The country should also be hopeful, because the President, even while we were there, made a call to the honourable minister,” he added.
The warning comes amid a worsening standoff between airlines, petroleum marketers, and regulators over pricing mechanisms for aviation fuel, which operators insist has become artificially inflated through inefficiencies and market manipulation.
A crucial meeting convened by the Minister of Aviation and Aerospace Development, Festus Keyamo (SAN),non the issue ended in a deadlock.
