Jet A1 Fuel Prices in Nigeria May Reach N500,000

The price of aviation fuel, Jet A1, in Nigeria has surged dramatically, with reports indicating that costs may reach N500,000 for a one-way flight. This increase, attributed to a 300% rise in fuel prices, has caused significant operational challenges for airlines, forcing them to reduce flight schedules.

The Aviation Operators of Nigeria (AON) reported that the price of Jet A1 has escalated from N400,000 to N500,000, with the cost of fuel per liter reaching approximately N900. The situation has been exacerbated by global fuel shortages and geopolitical tensions, particularly the U.S.-Iran conflict.

Airlines are struggling to maintain profitability, with fuel costs now accounting for 40% of operational expenses. For instance, Ibom Air reported that the average fuel cost for a flight has increased from N2.1 million in January to N7.6 million by April 26, representing a staggering 350% rise within just seven weeks.

The Nigerian Midstream and Downstream Petroleum Regulatory Authority (NMDPRA) has indicated that current prices for Jet A1 range between N1,760 and N2,037 per liter, but actual prices may exceed this range due to ongoing market volatility.