Nigeria’s Minister of Aviation and Aerospace Development, Festus Keyamo, has convened a high-level meeting with representatives of the Federal Ministry of Petroleum Resources, oil marketers, airline operators, and other critical stakeholders over the sharp increase in the price of Jet A1 aviation fuel.
The meeting is part of the Federal Government’s urgent intervention to address mounting concerns in the aviation industry following warnings by domestic airline operators that they may be forced to suspend operations if the fuel crisis persists.
Industry stakeholders say the rapid rise in the cost of Jet A1 has placed enormous pressure on airlines already grappling with operational challenges, foreign exchange volatility, maintenance costs, and infrastructure constraints.
The emergency discussions come after members of the Airline Operators of Nigeria raised alarm over what they described as an unsustainable and unprecedented increase in aviation fuel prices.
According to the operators, the cost of Jet A1 rose from about ₦900 per litre as of February 28, 2026, to approximately ₦3,300 per litre within a matter of weeks, representing an increase of more than 300 per cent.
The operators said the development threatens the survival of domestic carriers and could trigger major disruptions in air transport services nationwide if immediate steps are not taken.
In a letter dated April 14, 2026, addressed to the Executive Secretary of the Major Energies Marketers Association of Nigeria, Clement Isong, the airline operators expressed deep concern over the price surge.
They argued that the increase was inconsistent with global oil market realities and described the pricing pattern as artificial.
According to the airlines, international crude oil prices had increased by only about 30 per cent during the same period, making the over 300 per cent jump in Jet A1 prices difficult to justify.
The operators noted that airlines had continued to absorb the additional costs for more than four weeks in the interest of passengers and national service, but warned that such a position could no longer be sustained.
They said many carriers are now operating at severe losses, with daily revenues no longer sufficient to meet fuel costs alone.
The group stressed that beyond fuel expenses, airlines must also contend with salaries, aircraft maintenance, insurance, airport charges, regulatory fees, and debt obligations.
With Jet A1 accounting for one of the largest portions of airline operating expenses, they warned that the current situation has pushed many businesses to the brink.
The airline operators also accused some marketers of actions that are damaging the aviation industry and undermining national economic interests.
According to them, if the trend continues unchecked, the consequences could extend beyond commercial inconvenience to broader concerns involving economic productivity, mobility, emergency response capability, and national security.
They disclosed that the impact of the fuel crisis is already visible across the sector.
One domestic airline, they said, has reportedly grounded all operations since March 13, 2026, because it could no longer cope with soaring fuel prices.
The association warned that more carriers may suspend services in the coming days unless decisive intervention is implemented.
Analysts note that any widespread shutdown of domestic airline operations would significantly affect business travel, tourism, logistics, medical evacuations, and government movement across the country.
Given Nigeria’s vast geography and road transport limitations in some corridors, aviation remains a strategic sector for national connectivity.
This explains the urgency of the government’s response and the decision by the Aviation Minister to bring all key parties to the table.
Stakeholders expect the meeting to explore immediate and medium-term solutions aimed at restoring price stability and preventing service disruptions.
Possible measures under consideration may include improved supply coordination, reduction of distribution bottlenecks, enhanced transparency in pricing, temporary fiscal support mechanisms, and stronger collaboration between marketers and operators.
There may also be discussions around encouraging local refining capacity and reducing dependence on imported aviation fuel over the long term.
Industry experts have repeatedly argued that domestic production of Jet A1 could help shield the sector from exchange rate shocks and international supply volatility.
The meeting also comes at a critical time for Nigeria’s aviation industry, which has been recovering gradually from years of post-pandemic financial stress, currency depreciation, rising spare parts costs, and weak access to affordable financing.
Many domestic airlines operate on thin margins and remain highly vulnerable to sudden cost increases.
Passengers have also expressed concern that persistent fuel hikes could lead to higher ticket prices, reduced flight frequencies, route cancellations, and worsening travel uncertainty.
Some travelers fear that if airlines begin shutting down operations, fares on surviving routes could rise sharply due to reduced competition and limited seat capacity.
For the Federal Government, preventing a breakdown in domestic air transport is considered essential to sustaining commerce and public confidence.
Minister Keyamo has in recent months repeatedly emphasized the need to strengthen Nigeria’s aviation sector through reforms, improved infrastructure, and investor confidence.
Observers say the outcome of the latest engagement will be closely watched by airlines, fuel suppliers, passengers, and the wider business community.
Should the parties reach a workable agreement, it could ease immediate pressure on operators and restore confidence across the sector.
However, if no urgent resolution emerges, the threat of suspended operations may intensify, with serious implications for national transportation and economic activity.
For now, the government’s intervention signals recognition of the seriousness of the crisis and a determination to prevent disruption in one of the country’s most strategically important sectors.
