Domestic airline operators in Nigeria have welcomed the recent reduction in aviation fuel prices by Dangote Petroleum Refinery, describing it as a major boost for carriers struggling with soaring operational costs and financial pressure.
The operators said the cut in the price of JetA1 fuel could improve business stability across the aviation sector if sustained over time.
Speaking on the development, spokesperson for United Nigeria Airlines, Uloka Chibuike, said many airlines had been operating under severe financial strain despite public assumptions that ticket fares had risen significantly.
“There was never an increase in airfares. If airlines still have ticket classes of N95,000, it simply means there was never any increase. Instead, airlines have been operating at a loss,” Chibuike said.
The positive reaction follows weeks of concern from domestic carriers over the sharp rise in aviation fuel prices in Nigeria.
Under the Airlines Operators of Nigeria umbrella, airline operators had repeatedly warned that JetA1 prices were increasing at levels far above the rise in global crude oil prices.
According to the operators, airlines had continued absorbing the additional costs in order to sustain nationwide flight operations despite worsening foreign exchange challenges and mounting expenses.
Recently, Ibom Air disclosed that it spends about N7.6 million to fuel a single flight, highlighting the scale of pressure facing domestic airlines.
Industry stakeholders had warned that persistent fuel price hikes could disrupt flight operations if urgent interventions were not introduced.
Reacting to the latest reduction, Chibuike said the move would provide some relief for struggling operators.
“The reduction, perhaps, will give operators some breath,” he added.
Managing Director of Aero Contractors, Capt. Ado Sanusi, also described the development as a welcome relief for the aviation industry and passengers alike.
“Any price reduction is a relief to operators and everybody within the ecosystem. Because as the prices of fuel reduce, the flying public will also experience the same relief,” Sanusi stated.
He also praised Dangote Refinery for introducing transparent pricing practices by publicly displaying fuel prices on its website.
According to him, the transparency would reduce arbitrary pricing and prevent marketers from exploiting airline operators.
“One of the things we have been advocating is transparent pricing, and we thank Dangote Refinery for being very transparent,” Sanusi said.
“It publishes prices on its website for everybody to see and compare with what is obtained in other parts of the world.”
He added that fuel marketers would now find it difficult to impose unfair charges since pricing information is openly available to industry players and the public.
