Chairman and Chief Executive Officer of Air Peace, Allen Onyema, has said Nigerians are paying the cheapest domestic air fares in the world, even as airlines implement significant price hikes during the yuletide season.
He revealed that Air Peace has set fares at N350,500 for key routes such as Lagos–Abuja and flights to the South-East and South-South during the period. United Nigeria Airlines has similarly pegged fares at N350,500, while other carriers, including Ibom Air, have raised prices from N125,500 to N335,500 for flights to Enugu, Owerri and Asaba starting December 11.
For instance, a one-way Lagos–Asaba ticket on United Nigeria Airlines is listed at N399,999 for December 24, marking a sharp increase from pre-festive levels.
Onyema argued that one-hour flights abroad often exceed $400, while equivalent routes in Nigeria remain available for as low as N125,000, a situation he said contributes to the high failure rate of local carriers.
His comments come amid rising domestic fares, with major airlines such as Air Peace and United Nigeria Airlines announcing fare increases effective from December 1, 2025, through January 2026. During the interview, Onyema provided specific comparisons to support his claim.
He cited Delta Air Lines’ Atlanta–Charleston route, a flight of under 50 minutes, priced at about $399 one-way for mid-January 2026, which he said translates to over N600,000 at prevailing exchange rates.
“Atlanta to Charleston is about less than 50 minutes by flight. It’s like going to Owerri or thereabouts. Today, it’s selling, in two weeks’ time, for about 400 and something dollars,” Onyema said.
“One-hour flight costs over $400 out there. For a main cabin, it’s $459. One way is $399 for two weeks’ time. Then maybe in the morning, in the afternoon, it’s about $400 and something. But the basics, $399, when you multiply that by N1,500, you’ll be getting over N600,000.
"If it’s $400, you’re getting almost N600,000. In Nigeria, we still have tickets for N125,000. We have tickets for N115,000 in Nigeria, which is less than $60.”
Onyema dismissed claims that aviation pricing should differ by country, highlighting operational challenges unique to Nigeria, including high borrowing costs, maintenance expenses, and the absence of local infrastructure.
“Aviation is the same aviation worldwide. We buy our spares from the same market. You buy your aircraft from the same market. In fact, they’re even in a better state than us. What’s all the financing? They borrow money at 2%. Nigerian airlines borrow at 35%.
"The next shop, they could get their spare parts or engines from the next shop. In fact, the same airport where they operate from, the MRO might be there.
"For the Nigerian airline to do any maintenance that requires base maintenance, you have to ferry your aircraft, spending about $400,000 just on ferrying alone. If you want to bring back your engine, you can pay as much as $1.5 million.
"And when you talk about Europe or whatever, you cannot compare. It’s the same aviation, the same amount of money, the same dollar. Nothing is produced in Nigeria.”
He also attributed the collapse of over 80 Nigerian airlines to these unsustainable margins, warning that continued low pricing amid rising costs could further worsen the industry’s mortality rate.
Posts
Comments
Post a Comment