₦airaland Forum

Lies have been told over this matter, over and over. I have addressed this on national TV, major news platforms, and via my X handle. While the NCAA does not regulate airfares, I have invited ALL of the domestic airlines, bar none, and asked them about these taxes they keep talking about on TV. They ALL admitted to NOT paying the volume of taxes being bandied around.

I don't understand this 350k and 81k narrative, but I know that, for the kind of support that President Bola Ahmed Tinubu; the aviation minister, Festus Keyamo; and the DGCA, Capt. Chris Najomo have given to domestic carriers, I see no reason why the government keeps getting thrown under the bus via statements like this.

It is even ironic that, in the same statement, it is alleged that Nigerians pay the lowest domestic airfares in the world while also justifying the astronomical airfares that came to play in December even though there was no hike in taxes or jet fuel.

If my inviting the airlines themselves, speaking with travel agents, and the relevant departments within the Authority did not agree with the narrative being pushed, I don't see how this is sustainable.

If high taxes were the reason why airfares were 150k-200k, why did tickets sell for as high as 500k for a 45 minute trip when the said taxes did not increase?

And this is happening at a time when Festus Keyamo has ensured that domestic carriers now have access to dry lease aircraft; something they have not had in decades.

Not a single airline staff I spoke with two weeks ago agreed with the excuses I am reading on social and traditional media.

Sequel to questions asked me by the media about the claims made by a particular airline about paying eighteen taxes "to the NCAA," and using this as justification for its current airfares, we invited the domestic operators for a conversation about that allegation, flight disruptions, and customer service.

One thing we all agreed on was; NO DOMESTIC OPERATOR PAYS EIGHTEEN TAXES and, therefore, same cannot be reason for a hike in airfares. That narrative needs to be ended.

Commitments were made with regards to timely and honest communication during flight disruptions, and compliance with Part 19 of the NCAA Regulations 2023.

We will continue to engage and improve.

The Nigerian Civil Aviation Authority has dismissed claims that domestic airfares are inflated due to multiple taxes, insisting that airlines do not pay the alleged levies and attributing fare increases to normal market forces of demand and supply.

Director of Public Affairs and Consumer Protection Michael Achimugu, in a statement on X on Sunday, stated that repeated allegations of excessive taxes by the government on domestic flights are unfounded.

Resharing a past interview, Achimugu said: “Any domestic carrier operating domestic flights that says that they are paying 18 taxes is a liar. No domestic carrier pays 18 taxes for domestic flights.

“We understand the high air fares this period are down to market forces—demand and supply. Let us assume there are 18 taxes, where those taxes increased recently, so why is it different in December?”


He added that while the NCAA does not regulate airfares, it had invited all domestic airlines to clarify the matter.

“They all admitted to not paying the volume of taxes being bandied around. I don’t understand this 350k and 81k narrative, but I know that, for the kind of support that President Bola Ahmed Tinubu, the aviation minister, Festus Keyamo; and the DGCA, Capt. Chris Najomo have given to domestic carriers, I see no reason why the government keeps getting thrown under the bus via statements like this.”

The clarification follows comments by Air Peace CEO Allen Onyema, who told ARISE News that many return flights on South-East routes operate nearly empty, yet airlines bear the full cost of both legs.

Onyema added, “Almost 65 to 70 per cent of that money is not coming to the airlines. They’re going somewhere else—levies, taxes, and other charges,” describing airlines as the “sacrificial lamb” of the industry.

He stressed that high fares reflect operational realities rather than exploitation. Ticket prices also vary based on timing and demand, with cheaper fares available for early bookings. Comparing Nigeria with international markets, Onyema said domestic fares remain among the lowest globally.

Achimugu questioned claims of profiteering, noting the lack of tax hikes or fuel increases. “It is even ironic that, in the same statement, it is alleged that Nigerians pay the lowest domestic airfares in the world while also justifying the astronomical airfares in December, even though there was no hike in taxes or jet fuel.

“If high taxes were the reason why airfares were 150k–200k, why did tickets sell for as high as 500k for a 45-minute trip when the said taxes did not increase?” he asked.

He concluded by emphasising that the December surge in fares is driven by market forces.

“As far as I am concerned, the astronomical airfares in December are limited to certain destinations because of high demand. It is never just the airfares—it is bus fares, Airbnb rates, the price of food. It is market forces. It is Nigerians on Nigerians. This is not government.”

ozo13:
I watched that program, and most of Allen Onyema's statements were contradictory.
How can air tickets be the cheapest in Nigeria when some flights from one European country to another cost around €40–60, whereas a 45-minute domestic flight in Nigeria can go up to ₦200,000–500,000—during this festive season when no new taxes have been introduced? Also no change in exchange rate or increase in price of aviation ticket.
Secondly, Allen Onyema himself admitted that under Buhari, spare parts and new aircraft purchases were made tax-free starting from 2021/2022. That the current proposed tax law seeks to reintroduce those taxes. The question that immediately came to mind when he said this was: Sir, if taxes were removed back then, why did airlines increase ticket prices from around ₦20/30k in 2022 to ₦150,000–200,000 now (an 8–10 times increase) for the same routes?
Everything points to greed.

ozo13:
I watched that program, and most of Allen Onyema's statements were contradictory.
How can air tickets be the cheapest in Nigeria when some flights from one European country to another cost around €40–60, whereas a 45-minute domestic flight in Nigeria can go up to ₦200,000–500,000—during this festive season when no new taxes have been introduced? Also no change in exchange rate or increase in price of aviation ticket.
Secondly, Allen Onyema himself admitted that under Buhari, spare parts and new aircraft purchases were made tax-free starting from 2021/2022. That the current proposed tax law seeks to reintroduce those taxes. The question that immediately came to mind when he said this was: Sir, if taxes were removed back then, why did airlines increase ticket prices from around ₦20/30k in 2022 to ₦150,000–200,000 now (an 8–10 times increase) for the same routes?
Everything points to greed.

Michaelmercy:
Okay we've heard but it's just like you said something without saying anything.
How much are the taxes so we can know who is ripping who?
Also should there not be a cap to the pricing of various routes to protect Nigerians?
Thirdly, What resolutions are you guys making to solve this gruesome increase by airline operators?
It's so sad

oz4real83:
Nigerian market can't regulate itself because the forces of demand and supply don't work in Nigeria but the forces of greed and wickedness. That is why the govt must intervene and force them to do the right thing. Unfortunately, we don't have such a govt

Estello:
source



source


https://punchng.com/airfares-hike-ncaa-tackles-air-peace-boss-rejects-tax-claim/


https://punchng.com/airfares-hike-ncaa-tackles-air-peace-boss-rejects-tax-claim/

Estello:
Basically, if there has not been any increase in taxes or price of aviation fuel, why did the price of airplane ticket increase during the holidays? Greed.

The same reason the prices of bus fares too increase in december despite the fact that the price of petrol did not increase

Curious345:
Don't kind onyema. It's greed

Estello:
Basically, if there has not been any increase in taxes or price of aviation fuel, why did the price of airplane ticket increase during the holidays? Greed.

The same reason the prices of bus fares too increase in december despite the fact that the price of petrol did not increase