Domestic airlines in Nigeria are gradually raising their minimum fares from N50,000 to N55,000 and above as the aviation fuel crisis in the country lingers.
In February, airlines increased the base fare for economy flight tickets for domestic routes from about N35,000 to N50,000, citing high costs of operations – a development that sparked agitations from passengers and government agencies.
As fuel prices continue to increase, airlines have been forced to increase the minimum cost of tickets, with most airlines selling tickets for flights from Lagos to Abuja, Port Harcourt, Owerri and Asaba for N55,000 and above.
“The aviation fuel increase is affecting ticket prices and sales. Not everyone can afford N50,000, minimum fares and increasing these fares to N55,000 and more is affecting passenger patronage,” Gina Onyeka, a travel agent, told BusinessDay.
According to Onyeka, as the seats start to fill up in the aircraft, the minimum fares start to change from N55,000 to N65,000 and sometimes up to N85,000.
She said apart from Green Africa, which runs a low cost model with ticket fares of about N35,000-N40,000, other airlines raised fares daily, depending on the available seats and the cost of aviation fuel for that day.
Yadudu Abdul, a frequent traveller, told BusinessDay that he tried to book a flight from Lagos to Kano on Monday and the minimum fare he got on Max Air was N80,000. This, he said, was outrageous for a one-way flight.
“I couldn’t make my planned trip to Kano because of the cost of fares. I am sure several other passengers are facing the same difficulties. I hope this issue with fuel scarcity can be addressed and things come back to normal,” he said.
Two weeks ago, airlines threatened to shut down operations over the increase in aviation fuel prices but after interventions from the Nigerian National Petroleum Company Limited (NNPC), the House of Representatives and ministry of aviation, the airlines continued operating.
BusinessDay had reported on Tuesday that one week after the NNPC intervened to resolve the aviation fuel crisis in the country, investigation showed that the supply from the NNPC had been used up and airlines are now grappling with price hikes amid scarcity.
From N250 per litre sold last year, aviation fuel is currently sold in Lagos at N598 per litre, N645 in Kano, N640 in Kaduna, N627 in Abuja, N635 in Enugu and Anambra and N628 in Port Harcourt.
Investigations show that almost 80 percent of the five million litres of fuel sold daily at the Lagos airport are purchased by foreign airlines.
No fewer than 20 foreign airlines operate into the Lagos airport daily and on the average, each of the airlines purchase 20,000 litres of aviation fuel, which it uses to operate back to base.
Ocheme Aba, general secretary of the National Union of Air Transport Employees, alleged that there was massive fraud in the supply chain.
Read also: Airlines face fresh fuel crisis as NNPC supply dries up
He said he was reliably informed that the landing cost of the product was N300 per litre and wondered why the same product was sold to airlines at N700 per litre.
The Airline Operators of Nigeria (AON) had, in a statement on Monday, alerted the public to impending flight disruptions to scheduled operations owing to the growing scarcity of aviation fuel, popularly known as JETA1.
It said: “The scarcity is impacting negatively on seamless conduct of air transport operations and would lead to flight rescheduling, and or, cancellations.
“However, the association and its members are working very hard and in alliance with the product marketers, government and relevant stakeholders, to ensure availability and proper pricing of aviation fuel in the country.”
While pleading the understanding of the flying public in the face of this reality, the AON promised to do all that was necessary and within its powers to restore normal flight schedules as soon as possible.
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