By Job Osazuwa
Air travellers are at the moment groaning over what they call exorbitant fares being charged by airline operators in Nigeria.
Flights are randomly delayed or cancelled with impunity. Indeed, there is fire on the mountain of aviation.
Checks revealed that, in the last one week, most of the fares, on local and international routes, have doubled and tripled in some cases, leaving the passengers with gnashing of teeth.
But the airline operators are also lamenting and calling for help, saying that most of them were now running at a loss due to high cost of aviation fuel and the skyrocketing foreign exchange rate.
For instance, aviation fuel which was sold for N190 per litre in December 2021 now goes for N840. The scarcity of foreign currency and crashing of naira against dollars, as learnt, has further dealt a devastating blow on airline operations in Nigeria.
Stakeholders have argued that it is the final consumer that bears the brunt of the perennial increase in air ticket. They have called on government to swiftly intervene to avert a total collapse of the sector.
Nigerians are more worried particularly as they continue to grapple with the fear of insecurity associated with traveling by road. The fear of being kidnapped or robbed on the highways have made many people prefer travelling by air.
Indeed, Nigerians are flying in tears.
As seen by our reporters on most of the booking sites, for local flights which were as low as N20,000 late last year, but later rose to N35,000 and N50,000 in quick succession. It was so till last few weeks. Today, one-way fare has jumped to between N100,000 and N150,000 in some instances.
For international routes, it rose from between N250,000 and N300,00 for return ticket to between N700,000 and N1,200,000 in the months in view.
“This is unbearable. This is what the late Afro beat legend, Fela Anikulapo Kuti, described in one of his songs as suffering and smiling. It is sad and things must not continue like this.
“I fly between Benin and Lagos on regular basis. But with the new prices as displayed by the few airlines that plight the route, I had no other choice than to forego most of my journeys in July.
“The government and all authorities concerned must quickly act to rescue the situation. If things continue like this I’m afraid that most airlines will pack up because only a very few Nigerians can afford these crazy fares.
“The most annoying part of everything is that the prices of things keep increasing but many people have been receiving the same salary in the last five years. Whatever is responsible for all these, the government needs to wade in and do something as quickly as possible.
“I am the most affected because my earning can’t take care of flight of N200,000 or more for to and fro. I can’t even risk it for once in a month any more. The only alternative for me now is to go by road, which is not safe. This is not the best time to live in Nigeria especially for average or below average earners like us ” a regular passenger, Mr. Bright Briuyi Zehiuwa, whose family members reside in Benin, but works in Lagos, said.
Also lamenting the high cost of boarding domestic flights, the founder of David Folaranmi Foundation, Mr. David Folaranmi, said: “The increase in the air travel ticket in Nigeria is alarming. This has brought so much pains and heartache to many of us. And it is now unbearable.
“In January, I travelled from Enugu to Abuja using one of the leading carriers and the fare was N23,000. Lagos to Lagos was also the same range. That was the basic charges or a little more we have been paying for years.
“Even the fare then was not also convenient for many people to meet up with but because of the difficult security situation in Nigeria, people are afraid to travel by road. There is kidnapping, banditry and armed robbery taking place everywhere on our highways. No one can mention any part of the country that is safe at the moment.
“But about two months ago, the airline operators announced their decision to increase airline tickets to N50, 000 on most of the routes and everybody began to lament. For a salary earner like me, that is already almost half of my salary. And I have to travel often because I don’t live in the same place with my family. We paid grudgingly and hoped the fare would reduce soon but that didn’t happen.
“On June 26, I paid N50,000 for Enugu to Abuja and that was charges across all the airlines. But only for me to come back last week, I found out that the ticket had increased to N85,000. Not only did that happen, two of the four airlines that ply Abuja-Enugu were already out of the route.
“I eventually returned to Enugu from Abuja on July 27, I paid a non-negotiable N100,000. Tears almost dropped from my eyes while making the payment. While I was at the airport, I could hear passengers complaining bitterly about the fare. I saw many people canceling their trips and returning home.
“As if the N100,000 increase was not enough. My mum called me a few days ago that she was travelling from Port-Harcourt to Abuja and she paid N150,000. As at Friday July 30, a particular airline charged N130,000 for Enugu to Abuja.
“The way it is today, only the very rich can fly in Nigeria because salaries are not being increased and businesses are closing down while others are struggling to survive. Many of us are now left with the only option of travelling by road which is very dangerous as we know.
“I pray and hope that government does something and regulate the air ticket fares which are skyrocketing now and then. For instance, the price of aviation fuel can be subsidized so that fares can be affordable.
In a telephone interview with Daily Sun, the spokesperson for one of the major domestic airlines, who pleaded not to be mentioned, said two major factors were responsible for the continuous increase in air ticket fares. He lamented that this was perhaps the most difficult time to operate a commercial airline in Nigeria, and submitted that many operators were running at a loss.
His words: “What led to this is very simple and nothing to hide about it. Fares have gone high as a result of aviation fuel which has gone up to almost N840 per litre as at July 28.
“The only solution to bring the fare down is to ensure that the price of aviation fuel comes down drastically. Once the price of aviation is high it will naturally impact on the cost of ticket. Aviation should not only be made affordable but also available. When we are talking of hight cost we should also talk about situations where there are scarcity. This is why you see delays and a lot flights cancelling and rescheduling.
“The naira to dollar exchange rate is also very high. It is now N710 to one dollar as at July 28. Most of the things we purchase while operating airline is done in dollars. We require dollars to buy spare parts and other maintenance and checks abroad. Aircraft go on routine maintenance to make sure they are air worthy. And for the parts you must change, they are manufactured abroad, so purchasing them you pay in dollars.
“If you have to buy dollar for N710, you will end up transfering the cost to passengers because we have to remain in business. There is no other way out of it, otherwise you keep running at a loss. If you try to cut corners, you cannot only be sanctioned by the regulatory bodies, it also creates bad impression about the image of the country.
“As at December, 2021, aviation fuel per litre was between N190 and N200 while it rose to N420 in February this year. And today we are buying for N840. International carriers also face their own challenges but I don’t speak for them.”
On July 22, Airline Operators of Nigeria (AON), raised the alarm over acute shortage of aviation fuel and flight disruptions.
The release, signed by the spokesperson of the body, Prof. Obiora Okonkwo, read: “This is to notify the members of the public, especially consumers of air transport services in the country, that the aviation sector has been hit by a major crisis with the acute scarcity of aviation fuel otherwise known as Jet-A1.
“For this reason, there will be major disruptions in scheduled flight operations, including cancellations and unnecessary delays across all airports in the country. This is a foreseen but unintended consequence of the aviation fuel scarcity in the country.
“We, therefore, plead for the understanding of the travelling public to bear with our members as efforts are currently being made to address the development and restore normal flight operations.
“AON is committed to rendering seamless and uninterrupted air transport service across the country.”
As gathered, many of the foreign carriers have even warned of the situation becoming worse and making Nigerian travellers pay even more unless the Federal Government begins to settle the outstanding $450 million that has been trapped in the country.
Air travel experts said most of the foreign carriers have stopped selling the lower fares inventory in Nigeria, leaving travellers with the expensive fares option described as the highest in the sub-region.
Mr. Onoriode Francis, who travelled from Nigeria to the United Kingdom in January said he paid N263,756 for Turkish Airline one way ticket covering his trips from Benin City to Abuja and to London.
“I was shocked when I saw about about N650,00 last week being charged by a popular airline for just one way. How many people can afford this money? I’m sure it must be very few. I am saying this because I remembered how I struggled to get the money for my own ticket despite the fact it was less than N300,000.
“I will advise government to intervene and find a way of resolving this crisis. The aviation sector plays a very critical role in revenue generation and boosting the country’s foreign exchange. Therefore, it must not be left to struggle. Everyone is aware of how the operators have been crying for months on the continuous increase of the price aviation fuel. It is business and not a charitable organisation.
“For them to continue flying, they must make profit. And the other way round will affect both passengers and the workers that will lose their job. But it is unfortunate that our government is not proactive, it is also slow in responding critical situations such as this.”
On his part, a Lagos-based businessman, Murtala Hamed, said: “I have discovered that most people travelling by air are business men and women. They do this majorly to save time and meet up with appointments. Flying is not luxury as many people might want to believe. If there was a train from Lagos to Abuja, I will gladly embrace it.
“But can we now spend all our profits on air ticket and be left with nothing? Some airlines now charge N150, 000 from Lagos to Abuja. This is incredible. Things are really getting out of hand. How did we get to this level in Nigeria that everything keeps crumbling? This is one question I have been battling to answer in the last few months.”
On her part, the chief marketing and consultancy officer at a travel agency in Lagos, Ibukunoluwa Ayodele, said: “The high price is also affecting our business because only a very few people now fly. For a very long time, the fares charged by most airlines were between N20,000 and N30,000.
“Where we use to book up to 30 to 50 clients per week is now between 10 and 15 bookings. For the past two weeks, many people just called or came to the office to make inquires and never returned. People travelling abroad for holidays are now having a rethink because a flight to UK without stop costs N1,250,000 for return ticket. This is against between N450,000 and N600,000 in the past.
“The truth is that everybody is affected. The airline operators, travel agencies and travellers are all complaining. I have been in this business for nine years and I can tell you that this is the worst moment ever experienced. Even the time of restricted flights occasioned by COVID-19 pandemic, flights were not as expensive as it is now.”
On his part, a forklift with a multinational company, Mr. Peter Felix, blamed the Nigeria government for folding its arms and watching things to deteriorate to this level.
“Airline business is a very critical aspect of every economy. I believe that those managing our economy know these things but I don’t why they have refused to do the right thing.
“Looking at the situation holistically, what is happening today is as result of many interconnected variables and the ailing economy that our consuming government operates. We don’t produce anything and we keep consuming. Almost everything is imported into Nigeria and we export little or nothing. The effect is what is at play today. One pound sterling now goes for over N800 and dollar is over N700. It is outrageous. All these things have attendant effects on our day-to-day living and the airline is not exempted,” Felix said.
Also suggesting a way out of the unpalatable situation, the Director, Centre for International Advanced and Professional Studies (CIAPS), Prof. Anthony Kila, recently urged the Federal Government to enable the establishment of a Bank of Aviation.The bank, he said, is necessary to make airlines have easier access to foreign exchange. Kila, a political economist and professor of strategy and development, made this known at an event organised by the League of Airport and Aviation Correspondents (LAAC).
In his presentation titled, ‘passenger experience in daylight airports’, Kila said that with the present situation, it was not enough to have aviation funds from government or aviation desks in commercial banks anymore, but time to think of activating an aviation bank that would raise and manage funds and offer niche financial products for the aviation industry.
“With over 20 years in the industry, I can knowledgeably confirm that luckily, aviation is not a pauper’s business. Hence, finding depositors and shareholders will not be an insurmountable problem for capable promoters, but the political will is needed.
“it is time to represent their challenges as rewarding opportunities to capable innovators, inventors and investors. Maintenance of equipment, refining of aviation fuel, training and development of human capital, and other problems that are adversely affecting the sector can be thrown open to the market as opportunities for players outside the aviation sector,” he said.
Similarly, in February, the Senate joined other Nigerians to complain about the continuous hike in airline tickets.
It lamented that local airfare in Nigeria has, as at then, risen by 63 per cent in response to a spike in the price of aviation fuel and attendant cost of operation.
To this regard, the lawmakers asked the Federal Government to immediately release the funds required by the Federal Emergency Road Management Agency (FERMA) in order to enable the agency carry out its primary responsibility of rehabilitating federal roads, especially in the face of the astronomical increase in airfares.
The Senate also called on the Federal Government, as a matter of urgency, to declare a state of emergency on the country’s federal roads.