By OLA MUDOPE, Lagos –
The Airline Operators of Nigeria (AON) have announced that it would discontinue operations nationwide with effect from Monday May 9, 2022 until further notice, following a rise in cost of jet A1 and other costs.
The airlines – Azman Air, Max Air, United Nigeria Airways, Ibom Air, Arik Air, Air Peace, Dana Air and Overland Airways – made this known in a letter addressed to the Minister of Aviation, Hadi Sirika while copying the Director General of the Nigerian Civil Aviation Authority, Captain Musa Nuhu.
Aviation fuel price (JetA1) has risen from N190 per litre to N700 and the airlines have revolted, stressing that no airline in the world can absorb the astronomical hike.
“Overtime, aviation fuel price (JetA1) has risen from N190 per litre 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% of an airline’s operating cost globally, the present hike has shut up Nigeria’s operating cost to about 95%”.
“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”.
“While AON appreciates the efforts of the current government under the leadership of President Muhammadu Buhari to ensure air transport in Nigeria grows, unfortunately, the cost of aviation fuel has continued to rise unabated thereby creating huge pressure on the sustainability of operations and financial viability of the airlines. This is unsustainable and the airlines can no longer absorb the pressure”, the statement said.
The airline operators, however, appealed to passengers for understanding as the situation is currently biting.
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