Ibom Air Faces Capacity Cuts Over Jet Fuel Surge

Ibom Air has warned that it may be forced to reduce its flight frequency in the coming days as the rising cost of aviation fuel pushes operations to the brink.

In a statement issued on Monday, and signed by its Group Manager of Marketing and Communication, Aniekan Essienette, the airline described the current pricing regime as an “unprecedented crisis” that is no longer financially sustainable for domestic carriers.

According to the airline, the cost of fuelling a single flight has surged dramatically within a short period.
It said that while it spent an average of N2.1 million per flight in January, the figure had climbed to about N7.6 million as of April 26, representing an increase of over 350 per cent in just seven weeks.

The Airline operator expressed concern over what it termed a pricing contradiction, noting that despite increased local supply of Jet A1 fuel—largely attributed to operations of the Dangote Refinery—domestic prices remain significantly higher than global benchmarks.

“Domestic airlines are baffled at why the price of aviation fuel in Nigeria has ballooned to this level, far above what is obtainable in other parts of the world,” the statement said.

The airline added that while international carriers typically adjust capacity in response to relatively modest fuel price increases, Nigerian operators have continued to absorb higher costs to keep airfares stable and services running.

However, Ibom Air said the situation has reached a breaking point, warning that it may be compelled to scale down operations.

“It is clear to us that the current conditions are unsustainable. We will have to take whatever ameliorating actions we can in the days ahead, including reducing our capacity if necessary,” Essienette stated.

The company urged fuel marketers to review their pricing structure and cautioned that if the current trend persists, airlines may soon find themselves operating solely to cover fuel expenses, with little margin for other operational costs.