Fuel scarcity hits aviation industry, as Jet A1 sells for N440 per litre

Abiola Seun

As Nigerians groan over scarcity of Premium Motor Spirit (PMS), also known as Petrol, the aviation industry is also hit by scarcity of  aviation fuel called Jet A1, in the domestic market.

The scarcity, has however, made the price of Jet A1, skyrocketed from N426 last week to N440 per litre in most airports across the country.

The scarcity led to delay of flight between four to eight hours, thereby, making air travel across the country, strenuous and cumbersome.

Recall that price of aviation fuel spike, for sometime now. The price has moved from N400 two weeks ago to N426 last week and presently N440.

It was also gathered that the scarcity has again led to flight delays and possible cancellations in the domestic scene.

A source close to one of the operating airlines said on Wednesday that fuel marketers now ration the product to airlines.

On Tuesday, virtually all the domestic airlines had to delay flights for several hours due to the scarcity of the product.

For instance, Dana Air and Azman Airlines had to delay flights for several hours at the Lagos Airport to Abuja and Kano, respectively due to the unavailability of the product.

One of the domestic airlines on Tuesday delayed its flight out of Lagos for over seven hours, while another had more than four hours delay at the same airport.

Aviation stakeholders, however, said, fuel contributes about 40% to 50% of airlines operational cost.

Speaking, the Secretary General, Aviation Round Table Initiative (ARTI), Capt. John Ojikutu (rtd), said, outside the government costs from subsidies, there are additional costs from the marketers which include local transportation from Apapa to the airport.

Other costs, that trigger hike in aviation fuel, according to him, are demurrage on the number of waiting days before discharge into the magazines at the airport fuel depots.

He said, “Fuel is one of the factors which contributes about 40% to 50% of the operational costs.