The federal government has approved a 30 per cent debt relief for domestic airlines and directed stakeholders to begin immediate negotiations on the rising cost of aviation fuel.
The move follows mounting pressure in the aviation sector as the price of Jet A1 continues to surge, raising concerns over possible disruption to flight operations.
President Bola Tinubu approved the intervention after airline operators warned that the situation was becoming unsustainable.
The Minister of Aviation and Aerospace Development, Festus Keyamo, led discussions involving airline operators, oil marketers and regulators, which resulted in the relief package and a directive for further engagement.
“The President has approved a 30 per cent relief on debts owed by local airlines to aviation agencies,” Keyamo said. “We have also been directed to convene talks among fuel marketers, airlines and regulators to arrive at a fair pricing framework within 72 hours.”
He said the measures are aimed at stabilising the aviation industry and ensuring uninterrupted air transport services across the country.
Also speaking, the Chief Executive of the Nigerian Midstream and Downstream Petroleum Regulatory Authority, Said Aliyu Mohammed, said a stakeholders’ meeting would be held within 48 to 72 hours to address pricing concerns.
“We will engage airlines, fuel marketers and regulators to agree on what can be considered fair and reasonable pricing for jet fuel, and the outcome will be made public,” he said.
Airline operators said they had absorbed the impact of rising fuel costs for weeks but warned that the situation was no longer viable.
The sharp increase in jet fuel prices has been linked to global geopolitical tensions, including developments in the Middle East, which have disrupted supply chains and driven up costs worldwide.
The outcome of the planned negotiations will be critical in determining the stability of flight operations and ticket pricing in the coming weeks.