The Federal Government has said it is considering debt waivers and tax relief measures to prevent a shutdown of domestic airline operations in Nigeria, following a sharp rise in Jet A1 aviation fuel prices.
The Minister of Aviation and Aerospace Development, Festus Keyamo, disclosed this after a high-level meeting in Abuja.
The development follows rising concerns over the sustainability of local airline operations, as fuel prices have surged in recent weeks.
The price of Jet A1 prices, has risen from about N900 per litre in February to over N3,000 per litre as of April, driven by global supply disruptions linked to geopolitical tensions in the Middle East.
The Airline Operators of Nigeria had initially planned to suspend flight operations on April 20, but the planned shutdown was later called off after government engagement, including commitments to urgent negotiations to address the crisis.
Speaking after the meeting, Keyamo said President Bola Tinubu had been briefed and directed immediate consideration of relief measures.
He said the first proposal is a “generous discount” on debts owed by airlines to aviation agencies, including the Nigerian Airspace Management Agency (NAMA), Federal Airports Authority of Nigeria (FAAN), and the Nigerian Civil Aviation Authority (NCAA), with the final decision to be taken by the President.
“The percentage of discounts and all that Mr President will decide, he is so concerned about what is happening,” the Aviation Minister said.
“The second request Mr President has asked that we should bring for him to consider fully and grant is that he wants to set up a committee to address the issues of levies, taxes, and fees on domestic tickets once and for all.”
He added that the President commended airlines for maintaining fares despite rising costs, noting that government intervention was necessary to support the sector.
