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Nigeria’s Aviation Industry on the Verge of Collapse as Fuel Costs Skyrocket and Airport Chaos Spirals Out of Control

Oke Tope

Nigeria’s aviation industry endured a challenging first half of 2026, with airlines struggling under mounting operational expenses while aviation regulators and airport authorities faced growing public scrutiny over service delivery and oversight.

From soaring aviation fuel prices and repeated bird strikes to controversial policy implementation and safety concerns, the sector experienced a series of setbacks that tested operators, passengers, and regulators alike.

Soaring Jet Fuel Prices Push Airlines to the Brink

Domestic airlines were among the hardest hit as the cost of Jet-A1 aviation fuel surged dramatically during the period, placing enormous pressure on operating budgets.

Ibom Air revealed that the cost of fueling a single flight increased from an average of ₦2.1 million in January to ₦7.6 million by April, illustrating the financial strain carriers faced.

The Airline Operators of Nigeria (AON) warned that its members could suspend flight operations after claiming the price of Jet-A1 had jumped from about ₦900 per litre in late February to ₦3,300 per litre by April.

According to the association, the unprecedented increase forced several airlines to reduce routes, while others temporarily suspended some services.

Among the affected operators, Air Peace cut the frequency of its Abuja-London flights, while Rano Air announced temporary adjustments to portions of its domestic schedule.

Fuel Marketers Reject Claims of Extreme Price Hikes

The Major Energies Marketers Association of Nigeria (MEMAN) disputed the figures presented by airline operators, insisting that its internal market survey showed average prices were significantly lower than those being reported.

However, MEMAN acknowledged that international developments, particularly tensions in the Middle East that disrupted global petroleum supply chains, contributed to the rising cost of refined aviation fuel and placed additional pressure on airline operations.

Bird Strikes Continue to Disrupt Flight Operations

Beyond fuel costs, Nigerian airlines also battled an unusually high number of bird strikes during the first six months of the year.

At least 11 incidents were recorded, leading to flight delays, aircraft maintenance issues and financial losses.

United Nigeria Airlines and Air Peace were among the carriers most affected.

United Nigeria Airlines experienced three bird strikes within just 48 hours, while its Chairman, Professor Obiora Okonkwo, disclosed that the airline recorded seven bird strikes between January and April.

According to him, the repeated incidents left two aircraft grounded and contributed substantially to operational downtime, with bird strikes accounting for as much as half of the delays experienced by some Nigerian airlines.

FAAN’s Cashless Toll Payment Rollout Ends in Gridlock

The Federal Airports Authority of Nigeria (FAAN) also came under intense criticism after introducing a cashless payment system at the Lagos and Abuja airports on March 1.

Rather than improving efficiency, the rollout triggered severe traffic congestion as motorists struggled to obtain payment cards and complete electronic transactions.

Long queues stretched for several kilometres around the Murtala Muhammed International Airport in Lagos, with both arriving and departing passengers caught in hours-long delays.

Although the congestion eased slightly after several days, the disruption prompted widespread complaints from airport users.

Following public backlash, President Bola Tinubu directed that the policy be suspended after just four days.

Aviation Minister Festus Keyamo explained that the decision was taken to ease the hardship experienced by travelers and motorists.

Airport Fire Raises Fresh Questions

Earlier in the year, another major incident drew attention to FAAN after a fire engulfed the old terminal of the Murtala Muhammed International Airport in Lagos.

The blaze destroyed several valuable assets, including critical air-to-ground communication equipment.

The incident also sparked concerns from insurance experts, who argued that the airport and several other FAAN-managed facilities reportedly lacked adequate insurance coverage, raising questions about risk management across the nation’s airport infrastructure.

NCAA Faces Questions Over Unauthorized Aircraft Movement

The Nigerian Civil Aviation Authority (NCAA) also found itself under public scrutiny following an unusual aviation incident in Delta State.

On June 10, a privately operated aircraft landed on a road in Ogwashi-Uku before later taking off and returning to Lagos without obtaining the necessary regulatory approval.

The aircraft, operated by VMO Aero Ltd, had four crew members on board during the incident.

Authorities subsequently suspended both the 75-year-old pilot and his 70-year-old co-pilot while investigations continue into the circumstances surrounding the unauthorized flight.

Industry Experts Call for Government Intervention

Aviation stakeholders say the challenges experienced during the first half of the year reflect broader economic pressures affecting the industry.

Chris Aligbe, Chief Executive Officer of Belujane Konzult, noted that global events, including disruptions linked to the Strait of Hormuz, significantly increased fuel costs across multiple sectors, making it difficult for airlines to absorb rising expenses.

Meanwhile, Aviation Safety Round Table Initiative President, retired Air Commodore Ademola Onitiju, urged the Federal Government to intervene by helping lower aviation fuel costs, including engaging local producers such as the Dangote Refinery to improve supply.

He also stressed that reducing bird strikes requires consistent wildlife management around airports, saying regular fumigation and environmental control remain essential responsibilities of FAAN to minimize risks to aircraft and improve operational efficiency.

A Sector Seeking Stability

As the second half of 2026 begins, Nigeria’s aviation industry continues to face significant headwinds.

While airlines work to manage rising operating costs and maintain services, regulators and airport authorities are under increasing pressure to improve infrastructure, strengthen oversight and restore confidence among travelers and industry stakeholders.

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About Oke Tope

Temitope Oke is an experienced copywriter and editor. With a deep understanding of the Nigerian market and global trends, he crafts compelling, persuasive, and engaging content tailored to various audiences. His expertise spans digital marketing, content creation, SEO, and brand messaging. He works with diverse clients, helping them communicate effectively through clear, concise, and impactful language. Passionate about storytelling, he combines creativity with strategic thinking to deliver results that resonate.