*Reject closure of Lagos airport runway
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Airline passengers on less viable routes such as Sokoto, Katsina, Bayelsa, Kebbi, Gombe, Yola, Maiduguri, Bauchi, Ilorin, Jos, Ibadan, Calabar and Akure, may find it difficult connecting their destinations by air as operators are pulling their aircraft away due to the hike in price of aviation fuel, also known as, Jet A1.
This is as airline operators, under the aegis of Airline Operators of Nigeria (AON), have kicked against the closure of the Lagos airport 18/Left by the Federal Airports Authority of Nigeria (FAAN), for the commencement of the installation of airfield lighting.
As at the time of filing this report, it was gathered that Jet A1, has hit all time high as it currently sells for N822 per litre in Lagos, N859 in Abuja, N852 per litre in Port Harcourt while it sells for N890 and N892 in Yola and Maiduguri respectively.
This increment, according to airline operators, has eaten up their profit, thereby, making profitability very slim for operators.
However, the viable routes they are presently pulling aircraft to are Abuja, Port Harcourt, Lagos, Kano, Warri, Akwa-Ibom, crisis ridden states, such as, Kaduna,Owerri, Anambra and Enugu.
Investigation, however, showed that the increase in the price of Jet A1 has made fuel constitute 70 per cent of airlines operating cost as against 40 per cent it was before the global energy crisis.
Also, the aviation fuel recorded a price hike of 268 per cent between January 2022 and April 2022, moving from N190 to over N800 in five months and this has made domestic airline carriers in Nigeria threaten to shutdown their operations, citing rising jet fuel costs and the increasing cost of operation.
Speaking exclusively to LEADERSHIP, one of the operators who craved anonymity, said all airlines are suffering from high cost of operation, saying it’s also difficult to increase price of airfare.
The source said, “We are all suffering under high cost of operations. We are now introducing more flights on the destinations we have more passengers and removing flights from where it’s not profitable because we have to be efficient with our operations to keep the airline running. We can’t push the impact to the customers as this will reduce their buying power.”
However, another source said airlines are anticipating delays and maybe cancellations given this new increase which will jack up their cost of operations.
The manager in one of the leading airlines described the situation as extremely serious and has further reduced the profit margin that was hitherto seemingly non-existent.
He said, ”Aero just suspended operations, you do know that the non-stop hike in the price of Jet A1 is partly a contributory factor to that? We used to complain when jet A1 40% our operating cost but now that has seemingly doubled and there is no respite in sight.”
“This will indeed affect operations because what was planned for has gone straight out of the window and this may lead to increment because the airlines cannot handle this cost on their own and this is just fuel, we’ve not talked of salaries and maintenance of the aircraft. If we get the product tomorrow, we will operate as scheduled but it is not that easy as someone has to pay for it and they may be delays, truly airlines are crying.”
In an exclusive chat with LEADERSHIP, the President, Aviation Round Table Initiative (ARTI), Dr Gabriel Olowo, said the aviation sector may be heading for disaster.
According to him, unless the government, operator do something critical, the sector may be heading for shutdown as no route is currently viable in the country
He said, “The problem has been on for so long and I pity the airline operators, as well as, the government because it is becoming uncontrollable. The fuel issues has remained with us forever as far back as 20 to 30 years. The government couldn’t resolve the problem on the road talk less of the air, I hope we are not heading for disaster in the industry because there is no route that is viable at this period, with the recent price of Jet A1.
“Hardly will any airline break even on any route at all because if we look at the volume of fuel consumed on a one hour flight then how much will you charge a passenger taking the purchasing power of the Nigerian people into consideration.
“I hope it doesn’t get to a level that we won’t be able to travel by air and then we are totally left with the risk of battling with all the dangers on our roads or we back to the land and we start riding horse because the government could not help it.
The ARTI boss, however, states that the government couldn’t subsidize aviation fuel when it was still battling with PMS subsidy.
He, however, advised round table discussion between operators, government and policy makers to find lasting solutions to the crisis that is afteccting the growth of the sector Government cannot subsidize Jet A1 when PMS and Diesel have not been subsidized.
This is a naughty issue, I don’t have a solution because it’s a surgery we need to do as a government and as a people. The airline operators have been complaining since the start of this administration and even during former president Olusegun Obasanjo’s administration. The former president said he hasn’t handled PMS, Diesel and Aviator are coming, I can’t even talk about you. That’s what led to the exit of some airlines at that time, for instance, an airline approaching landing exhausted it fuel, those are the dangers we are faced with, so I hope we don’t get to the level of shutting down the sector.
The controversy over the closure of the domestic runway of the Murtala Muhammed International Airport (MMIA) has deepened as the Airline Operators of Nigeria (AON) cried out over the closure, saying it has added to its cost of operation in about a week after the closure.
The Federal Airports Authority of Nigeria (FAAN) had shut down Runway 18 L for the installation of the Airfield Lighting System which would make the runway operate for 24 hours.
FAAN had said the decision to shut down the runway for 90 days was reached after consultation with critical stakeholders.
However, one of the key stakeholders, the AON, representing the indigenous operators, faulted the total closure of the runway, saying FAAN had not shown evidence of work on Runway 18L despite its closure for one week.
The operators in a letter dated July 15 to the Managing Director of FAAN, Captain Rabiu Yadudu, and signed by its president, Alhaji Abdumunaf Sarina, lamented that the airlines have suffered untold hardships since the closure of the runway.
Runway work in progress – FAAN
But just as the operators said there is no evidence of work by FAAN, the authority has insisted that the work is progressing.
In an update released by the authority, it revealed that the digging of cable trenches is in progress just as installation of the threshold 18L has commenced with cutting and excavation of the secondary cable trench and fixing of fittings.
It added that marking of the taxiway Centreline, stop-bars and No Entry lights on taxiway *C* has commenced and is almost completed.”
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