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Nigeria Moves to Stabilise Jet Fuel Prices as Stakeholders Warn of Supply Risks

The Federal Government has begun moves to stabilise the rising cost of aviation fuel, popularly known as Jet A1, amid growing concerns from airline operators over the impact of high prices on the aviation sector.

The decision follows weeks of complaints by domestic carriers, who say the continued increase in fuel costs is threatening flight operations, increasing airfares, and placing heavy financial pressure on airlines.

Industry sources said the government is engaging key stakeholders, including fuel marketers, airline operators, and regulatory agencies, to find lasting solutions that would ease the burden on the sector and prevent further disruption.

Jet fuel remains one of the biggest operating costs for airlines in Nigeria, with operators warning that unstable prices could lead to reduced flight schedules, delayed services, and possible route cancellations if urgent action is not taken.

However, some stakeholders have expressed concerns over direct government intervention in fuel pricing, warning that it could distort the market, discourage private investment, and create supply shortages.

They argued that while stabilising prices may provide temporary relief, long-term solutions should focus on improving local refining capacity, addressing foreign exchange challenges, and strengthening fuel distribution networks.

Analysts also noted that Nigeria’s aviation sector remains vulnerable to fluctuations in global oil prices and the depreciation of the naira, both of which contribute significantly to the cost of imported aviation fuel.

Airline operators have repeatedly called for sustainable reforms, insisting that reliable fuel supply and fair pricing are essential to maintaining safe and efficient air travel across the country.

As consultations continue, passengers and industry players are expected to closely monitor the government’s next steps, hoping the intervention will bring stability without triggering wider disruptions in the market.

 

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