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Local Airlines Threaten Nationwide Shutdown Over 300% Surge In Jet A1

Yusuf Babalola by Yusuf Babalola
2 months ago
in Business
AON
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Amid Middle-East Tensions that have made Aviation fuel also known as Jet-A1 experience over 300 per cent surge in price, domestic airlines under the umbrella of the Airlines Operators of Nigeria (AON) have issued a warning of a possible nationwide shutdown of flight operations beginning Monday, April 20, 2026.

The operators said the cost of Jet A1 has surged from about N900 per litre as of February 28 to N3,300 per litre within a space of less than two months, a development they described as unsustainable and threatening the survival of the aviation industry.

The planned withdrawal of services was conveyed in a letter dated April 14, 2026, signed by AON President, Abdulmunaf Sarina, and addressed to the executive secretary and Chief Executive Officer of the Major Energies Marketers Association of Nigeria (MEMAN), Clement Isong.

Copies of the letter were also sent to President Bola Tinubu, Vice President Kashim Shettima, Minister of Aviation and Aerospace Development, Festus Keyamo, Director General of the Nigerian Civil Aviation Authority (NCAA), Capt. Chris Najomo, and the Director General of the Department of State Services (DSS).

In the correspondence, the AON lamented that aviation fuel, which accounts for over 40 per cent of airlines’ operational costs, has drastically eroded revenues and placed carriers under severe financial strain.

According to the association, airlines have continued to absorb the rising costs over the past four weeks out of a sense of national responsibility, but warned that such efforts are no longer sustainable.

The group disclosed that at least one airline has already been forced to suspend operations since March 13, 2026, as a direct consequence of the rising fuel cost, adding that more carriers may follow if urgent intervention is not made.

AON stressed that adjusting ticket prices to reflect the current realities is not a viable option, as higher fares would significantly reduce passenger demand and result in near-empty flights.

The association accused fuel marketers of exploiting geopolitical tensions in the Middle East to drive up prices beyond global benchmarks. It noted that while crude oil prices have risen by about 30 per cent internationally, the more than 300 per cent increase in Jet A1 prices in Nigeria is disproportionate and unjustifiable.

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“The actions of fuel marketers are effectively decimating the aviation industry and putting the country’s economy, safety, and security at risk,” the letter stated.

It warned that airlines are now facing existential threats, with far-reaching implications for the broader economy, including potential job losses, financial sector exposure, and increased insecurity.

“If the airlines go out of business, banks will take a hit, millions of people will lose their means of livelihood, and insecurity will be on the rise,” the association added.

The AON called on MEMAN to urgently intervene and ensure that aviation fuel prices are adjusted in line with international market realities, stressing that operators can no longer sustain purchases at the current rates.

It declared that unless immediate action is taken, all airlines in Nigeria would be compelled to suspend operations from April 20, describing the notice as a “final plea.”

The latest warning follows an earlier protest by the association on March 30, when Jet A1 prices had risen to N2,557 per litre. At the time, AON demanded a reversal within 48 hours, citing the severe impact of the increase on the industry.

Despite that appeal, prices have continued to climb, deepening concerns about the viability of airline operations and raising the spectre of a major disruption to air travel across the country.

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Yusuf Babalola

Yusuf Babalola

Yusuf Babalola is a Senior Correspondent with Leadership Newspaper, specialising in maritime, aviation, transport, and economic reporting in Nigeria. He is recognised for well-researched stories that illuminate policy developments, industry challenges, and stakeholder perspectives across Nigeria's logistics, shipping, and aviation sectors. His reporting is noted for its clarity, balance, and commitment to professional journalistic standards.

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