Nigerian carriers weigh flight pause amid 270% jet fuel rise
Nigerian airlines are thinking about pausing all flights from April 20 because jet fuel prices have shot up by 270% since late February.
The Airline Operators of Nigeria (AON) say local fuel marketers are artificially inflating prices and warn that if airlines shut down, it could seriously hurt the economy, especially since fuel makes up a huge chunk of their costs.
Fuel shortage pressures Nigerian airlines
AON points out that the African Airlines Association says jet fuel is now about 30% to over 40% of airline operating expenses.
If ticket prices go up to cover the extra cost, fewer people might fly.
To make things worse, Nigeria's daily jet fuel needs were not met in March due to no deliveries from Dangote Refinery, while exports of refined products more than doubled month-on-month in March — leaving less for local use and adding more pressure on both travelers and the economy.