Nigerians have raised concern over skyrocketing prices of airfares despite assurances by the Minister of Aviation, Festus Keyamo, to address the matter.
Although the Nigeria Civil Aviation Authority (NCAA) has set up a committee to look into price hikes by foreign airlines, nothing has been done to regulate the prices of domestic flights.
Currently, a one-way flight from Lagos to Abuja on economy class costs between N92,000 and N113,000; business class costs between N168,000 and N253,000. Round trip for economy class cost between N212,000 and N215,000; while business class costs between N452,000 and N455,000.
In February 2022, airlines increased the fares by over 100 per cent, pegging the lowest fares at N50,000. Two years later, fares have increased by over 300 per cent amid inflationary pressure in the country’s foreign exchange.
Chief Executive Officer of SYT communications, Mr Simon Tumba, attributed the increase in airfares to high cost of aviation fuel, high exchange rate as well as high aircraft maintenance fees.
He said about two weeks ago, aviation fuel used to be N1,000 per litre but today, it’s about N1,600, adding that given that most services in the aviation industry had been dollarized, there was nothing airlines could but do to pass the cost to passengers.
He said: “It is not that we are happy with what is happening; if you look at the industry today, there is no service that we don’t pay in dollars except for staff salaries, and it’s not all staff, foreign pilots and crew are paid in dollars. More so, you have to maintain your aircraft and all this are in dollars.”
In his reaction, an aviation expert, Mr Olumide Ohunayo, described the airfare as crazy even as he blamed the development on airline operating cost, which has skyrocketed.
He said: “You wouldn’t want the airlines to run at a loss. The price of fuel has spiked, the dollar rate against the naira has also hit the roof top and other expenses have also risen.”
“So there is no choice but to fix a price that would at least make them be in business. So it’s not an airline issue alone; it’s the situation of the economy. Something should be done about it so that companies could return their operations to normal.
