Onyema Says Nigerians Pay Some of the Lowest Domestic Airfares Globally, Warns of Rising Industry Costs

The Chairman and Chief Executive Officer of Air Peace, Allen Onyema, has insisted that Nigerians are currently paying some of the cheapest domestic airfares in the world, despite ongoing public complaints about rising ticket prices during the festive travel season.

Speaking on recent developments in the aviation sector, Onyema said that when compared with domestic flight prices in many other countries, Nigerian fares remain relatively low.

According to him, passengers in advanced economies often pay several hundred dollars for short one-hour flights, whereas tickets on similar-length routes within Nigeria can still be purchased at significantly lower rates when converted to the same currency.

Onyema explained that airline ticket pricing operates on a band structure, where fares vary depending on demand, timing of purchase and seat availability. He noted that early-bird passengers are still able to access lower-priced tickets, even during peak periods, contrary to perceptions that all fares have been uniformly increased.

At the same time, the Air Peace boss drew attention to the growing financial pressures confronting Nigerian airlines. He said that multiple taxes, regulatory charges and operational levies consume a substantial portion of airline revenue, leaving operators with only a fraction of the amount passengers see on their tickets.

Onyema warned that recent fiscal and regulatory changes could further escalate operating costs and eventually force domestic airfares sharply upward if government does not intervene.

He cautioned that such a development would place air travel beyond the reach of many Nigerians and threaten the survival of local carriers, with wider consequences for employment, banking exposure and economic activity linked to aviation.

He appealed to policymakers to review the current cost environment in the sector and create a more supportive framework that would allow airlines to operate sustainably while continuing to offer competitive fares to the travelling public.

According to him, Nigerian airlines are striving to keep prices as affordable as possible, but will require policy relief and industry-friendly reforms to maintain stability in the face of rising operational challenges.