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Nigerian air passengers will pay as much as N285,000 or more to book economy seats for the first time in history as domestic airlines have begun an upward review of prices for their December schedule.
Some airlines have raised their prices for economy tickets by 200 per cent for some routes, according to an analysis conducted by NewsNGR on five major domestic airlines.
The airlines are Air Peace, United Nigeria, Ibom Air, Arik and Max Air.
For more than two years, Nigerians have watched airfares steadily rising, turning what was once a necessity into a luxury for many, according to industry experts.
Air Peace is a household name in the aviation industry but it will take a minimum-wage earner more than four months’ salary to pay for one-way economy tickets by December.
An investigation conducted by NewsNGR showed that the airline will raise its prices from December 1, 2024, effectively ending its honeymoon period for air passengers.
According to data obtained from Air Peace’s official website, the cost of an economy ticket from Lagos to Abuja will increase from N95,000 on November 30, 2024, to between N181,000 and N285,000 (200 per cent) by December 1, 2024.
Passengers taking Abuja to Owerri flights by December will face a similar fate. From December I, 2024, Air Peace will charge N285,000 minimum for the route which is 200 per cent up from the N95,000 that passengers will pay in November. At the peak of the season, passengers will pay N285,800.
Travellers flying from Lagos to Port Harcourt will see fares jump to N285,000, up from the N95,000 charged in November. By December 25, the price of the ticket will rise to N285,800.
Passengers who are travelling to Kano will also experience price hike as airfares for an economy seat will hit N200,000 by November and N285,000 by December 1, 2024.
United Nigeria Airlines has also fixed its price for December flights. Findings by NewsNGR showed that passengers will pay N142,501 for an economy ticket from Abuja to Owerri towards the end of November, but the fare will rise by 5.2 per cent to N150,000 by December 1, 2024.
Starting December 18, other United Nigeria passengers on the same route will face a staggering 75.4 per cent increase in fares, with prices soaring to N250,000 as the holiday season peaks.
Ticket prices for passengerstravellingg from Lagos to Abuja will increase from N100,000 in November to N110,000 on December 1, 2024. However, passengers who delay booking their tickets may pay even higher prices.
Airfares from Abuja to Port Harcourt will rise from N100,000 in November to N142,500 by December 19. Passengers travelling to Anambra will pay between N175,500 to 220,500 for economy seats at the peak of the December season.
Ibom Air is another airline that has reviewed prices upward. Flight booking schedule on the airline’s website shows that from November 27, the cost of tickets from Abuja to Enugu will rise to N123,900 and by December 1, the cost will rise by 23.1 per cent to N152,500.
From Lagos to Port Harcourt, the airline fixed the price of a one-way economy ticket at a minimum of N133,700 on November 30 but from December 1, passengers will pay a minimum of N152,700 for the same route.
A passenger booking a flight from Lagos to Abuja will pay N124,100 in late November, but prices will range from N124,100 to N152,700 starting December 1.
Arik Air has also increased the prices of its tickets. Based on the airline’s review, passengers travelling from Lagos to Port Harcourt will pay a minimum of N104,647 in November and early December. But those planning to travel from December 24, will pay between N142,740 and N152,264.
For the popular Lagos Abuja route, the airline’s price for November 30 is N85.357 for an economy ticket but from December 1, the ticket will sell between N94,881 to over 104,405.
For Max Air, from November, the lowest price for a one-way economy ticket is N120,000 while the ticket is N135,000 on December 20.
The Chairman of the United Nigerian Airlines and the Airline Operators of Nigeria (AON), Prof Obiora Okonkwo during an interview said the shortage of aircraft is responsible for the high cost of air tickets in the country.
He said, “What you have seen happening in recent times is just my prediction happening. Sometimes, when there were skyrocketing prices of aviation fuel and foreign exchange, I said it will result in a situation when there would be more aircraft on the ground than those flying because accessing funds to maintain them would be difficult and it becomes an issue of demand and supply.
“We now have fewer aircraft to service the larger number of people who are flying. You will bring the pressure to the cost.”
The Convener, Nigeria-South Africa Aviation Forum, Toni Ukachukwu said that the prices of air tickets will not moderate anytime soon.
The aviation expert said issues around Nigeria’s foreign exchange shortage and the depreciation of the naira will not give room for the reduction in airfares.
Ukachukwu said, “It is feasible, but I don’t think we are going to see that anytime soon. The aviation industry is dollar-denominated and everything they do in the sector is around the dollar.
“As a country, we have FX issues that directly impact on the operators or the aviation industry. There is another aspect which is the jet A-1 fuel.
“The fuel accounts for close to 60 per cent of the operating costs of airlines. You can see where we are with fuel.”
The analyst stated that the challenges of foreign exchange and jet fuel prices could significantly drive-up ticket costs if not properly managed.
Ukachukwu further described the issues surrounding high prices of tickets as a “very tough situation for the airlines” adding that “They are in the intensive care unit because they need the full support of a favourable environment before they can lower prices.”
The General Secretary of Aviation Safety Round Table Initiative, Olumide Ohunayo, said that the aviation sector is part of the bigger economy that is battling high operation cost.
He alluded that airline operators are also battling high interest rates from deposit money banks.
The Central Bank of Nigeria raised Monetary Policy Rates (MPR) further to 27.75 in September 2024.
“Aviation is not an island. It is part of the economy. So, let us look at the fuel cost, the power cost and what are other cost components even within not talk of the dollar which is a major cost component of the industry.
“If you are talking about the cost coming down soon, I do not see that coming quickly,” Ohunayo said.
The expert said the only solution for a lower price is for the aviation industry to introduce smaller carriers of 20 to 30-seaters.
Ohunayo said, “You can only see that kind of price when we allow a new set of registration of schedule operators at the lower cadre, maybe the 20-30 seaters which can operate at the airports termed unviable.”
This report was written by Ukpe Philip and Nneoma Benson.