Airline operators in Nigeria have announced an imminent shutdown of operations due to an increase in the price of jet fuel.
In a statement issued by the operators, they said it was with great sense of responsibility that they had embarked on downsizing their services.
"It is with a great sense of responsibility and patriotism that the Airline Operators of Nigeria (AON) have carried on deploying and subsidizing their services to our highly esteemed Nigerian flying public in the last four months despite the steady and astronomical hike in the price of JetA1 and other operating costs.
Over time, 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%," the operators said.
The operators explained that airlines have engaged the Federal Government of Nigeria and oil marketers concerning the rise in the cost of aviation fuel but it appears not much has changed.
"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.
To this end, therefore, the Airline Operators of Nigeria (AON) hereby wish to regrettably inform the general public that member airlines will discontinue operations nationwide with effect from Monday, May 9, 2022, until further notice. AON uses this medium to humbly state that we regret any inconveniences this very difficult decision might cause and appeal to travelers to kindly reconsider their travel itinerary and make alternative arrangements," the AON statement concluded.
