The Federal Government has moved to stabilise Nigeria’s aviation sector by capping jet fuel prices and introducing a 30-day credit window for airlines, following mounting concerns over soaring operating costs and potential flight disruptions.
The intervention, contained in a Midstream and Downstream Petroleum Regulatory Authority (NMDPRA) document reported by Reuters, comes after emergency engagements between regulators, fuel marketers and airline operators, amid warnings that rising aviation fuel costs could trigger capacity cuts and broader disruptions across the sector.
The move also follows President Bola Tinubu’s recent approval of a 30% relief on debts owed by airlines to aviation agencies, as government seeks to ease cost pressures and avert a wider industry crisis.
Jet fuel is expected to sell between N1,760 and N1,988 per litre in Lagos
In Abuja, prices are set within a range of N1,809 to N2,037 per litre
Airlines will be granted a 30-day credit window to pay for fuel supplies
Regulators directed marketers and airlines to agree on a “fair” fuel price to avoid sector-wide disruption
The technical committee also recommended direct fuel sales from marketers to airlines within the benchmark range to lower costs and improve transparency in the supply chain.
