Domestic airlines operating in the country are facing mounting financial pressure following a sharp increase in the price of Jet-A1, also known as aviation fuel, the Airline Operators of Nigeria has said. Aviation fuel remains the largest cost component in airline operations, accounting for about 30 to 35 per cent of total operating expenses. He noted that developments in the global oil market, particularly the recent release of reserve crude oil, could influence fuel prices in the coming weeks. Okonkwo also urged the Federal Government to explore engagement with the Dangote Refinery as part of efforts to stabilise aviation fuel supply locally. According to him, if the spike persists, some airlines may struggle to continue absorbing the losses associated with the rising cost of aviation fuel.

Source: Punch March 14, 2026 10:47 UTC