Domestic carriers threaten to shut down over aviation fuel

Domestic airlines have threatened to shut down flights from Monday, May 9, 2022.

They cited the high cost of aviation fuel now selling for N700 per liter as the reason for their planned action.

Speaking through their umbrella body, Airline Operators of Nigeria (AON), the association said they could no longer operate under the difficult cost regime.

In a statement issued on Friday, the carriers said :

“It is with a great sense of responsibility and patriotism that the Airline Operators of Nigeria (AON) have carried on deploying and subsidizing their services to our highly esteemed Nigerian flying public in the last four months.

“Aviation aviation fuel price (JetA1) has risen from N190 per liter to N700 currently. No airline in the world can absorb this kind of sudden shock from such an astronomical rise over a short period. While aviation fuel worldwide is said to cost about 40 percent of an airline’s operating cost globally, the present hike has shut Nigeria’s operating cost down to about 95 percent.

“In the face of this, airlines have engaged the Federal Government, the National Assembly, NNPC, and Oil Marketers with the view to bringing the cost of JetA1 down which has currently made the unit cost per seat for a one hour flight in Nigeria today to an average of N120,000. The latter cannot be fully passed to passengers who are already experiencing a lot of difficulties.

“To this end, therefore, the Airline Operators of Nigeria (AON) hereby wishes to regrettably inform the general public that member airlines will discontinue operations nationwide with effect from Monday, May 9, 2022, until further notice.”



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