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Home The business traveller & hospitality

Domestic aviation faces fresh turbulence over rising jet fuel costs

by Business a.m.
May 12, 2026
in The business traveller & hospitality
Domestic aviation faces fresh turbulence over rising jet fuel costs

By Oluwadarasimi Omiyale 

Rising aviation fuel costs and persistent supply constraints are placing fresh pressure on the country’s aviation sector, forcing domestic carriers to adjust flight schedules, cut route frequencies and manage increasing operational disruptions across the air transport network. 

Industry stakeholders say the increase in the cost of Jet A1 fuel is worsening financial pressure on airlines already struggling with foreign exchange volatility, high aircraft maintenance costs, infrastructure deficiencies, and limited operational margins.

Operators warn that unless market conditions improve, more airlines may be compelled to scale back less profitable routes while concentrating operations on high-demand commercial corridors.

The National Association of Aircraft Pilots and Engineers (NAAPE) said the continued volatility in aviation fuel supply and pricing is creating significant scheduling and operational difficulties for carriers nationwide.

According to NAAPE President, Captain Abunmi Ginde, airlines are increasingly finding it difficult to maintain operational efficiency amid rising fuel procurement costs and supply uncertainties affecting day-to-day flight planning.

“Persistent shortages and rising costs of Jet A1 fuel are creating operational difficulties for airlines, leading to flight delays, route reshuffling and pressure on crew scheduling,” Ginde said.

Industry analysts estimate that fuel expenses account for a substantial share of airline operating costs, especially on domestic short-haul services connecting major commercial cities including Lagos, Abuja, Port Harcourt, Kano, and Enugu.

Several operators have already begun restructuring route strategies in response to escalating operational expenses.

Rano Air recently disclosed that rising jet fuel prices had forced the airline to reassess aspects of its operational structure and route deployment plans as profitability pressures intensify across the sector.

The situation is particularly sensitive for Nigeria’s domestic aviation market, where air travel remains a critical mobility option for business executives, investors, government officials, and professionals seeking faster alternatives to road transportation.

With worsening road congestion, security concerns on highways, and long intercity travel hours continuing to affect surface transportation, reliable domestic air connectivity has become increasingly important to economic activity and business mobility.

Analysts warn that prolonged operational disruptions linked to fuel costs could weaken passenger confidence, particularly during high-demand travel periods when delays, cancellations, and sudden schedule adjustments become more frequent.

The pressure on airlines is also expected to intensify following recent comments by the Nigerian Midstream and Downstream Petroleum Regulatory Authority (NMDPRA), which stated that prices of deregulated petroleum products, including aviation fuel, would remain market-driven and would not be subject to price caps.

The policy direction signals that airlines may continue facing volatile fuel pricing conditions tied to foreign exchange movements and global oil market dynamics.

Beyond fuel costs, the industry is simultaneously contending with rising aircraft maintenance expenses, limited access to foreign exchange for spare parts procurement, and infrastructure limitations affecting both domestic and international operations.

Aviation analysts say the combined effect of these pressures could accelerate route rationalisation across the industry, with airlines increasingly prioritising destinations offering stronger passenger traffic, better load factors, and more sustainable commercial returns.

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