Airlines Hike Fares as Aviation Fuel Costs Surge

Domestic airlines in Nigeria have raised minimum one-way base fares to approximately N200,000, citing persistent increases in aviation fuel prices and mounting operational costs.

Checks across airline booking portals confirmed that most operators have adjusted their fares, though a few carriers had not yet revised their ticket prices as of press time.

United Nigeria Airlines has set its minimum fare at N200,000 irrespective of destination, while Air Peace has increased one-way fares to about N211,600. Ibom Air has also adjusted its base fare upward to roughly N200,300.

However, some carriers retain relatively lower fares on select routes. Arik Air continues to offer Abuja–Lagos flights at fares between N113,000 and N114,000, while Aero Contractors’ fares range from N123,127 to N146,702. ValueJet’s Lagos–Abuja fares stand between N118,571 and N132,857.

The fare increases come as aviation fuel (Jet A1) now sells for approximately N2,650 per litre at some airports nationwide, intensifying financial pressure on airline operators. This is despite a reduction in the ex-depot price by Dangote Refinery and Petrochemicals earlier this week.

One airline official, speaking on condition of anonymity due to lack of authorisation to comment publicly, told Daily Trust that the decision followed extensive consultations and a careful assessment of the economic situation. The source emphasised that the fare adjustment was an individual business decision by each airline, not a coordinated industry action.

“We have adjusted our minimum fares to N200,000 per flight irrespective of the route. This decision was taken after serious consideration of many factors,” the official said.

The source explained that airlines can no longer sustain operations under current Jet A1 costs, warning that failure to review fares could deepen the industry’s crisis. “We cannot continue to subsidise travellers with the current situation of Jet A1. Cash flow has dried up and debts are increasing,” the official added.

Operators appealed to passengers for understanding, describing the increase as painful but necessary for the survival of domestic airlines.

Meanwhile, aviation analyst Group Captain John Ojikutu (retd.) called for urgent repairs to the pipelines conveying Jet A1 to Murtala Muhammed Airport in Ikeja, Lagos, to reduce logistics costs. “Without bridging the supply with pipelines from Ejigbo to the airport, you may not get it lower than that,” he said. He proposed granting a concession to the Airline Operators of Nigeria (AON) or another private operator, suggesting a bridging fee of no more than N50 per litre or N100 million for two million litres, compared to the current N350 per litre or N700 million for two million litres by road transportation.