The Federal Government has projected that aviation fuel prices may rise to between N1,760 and N2,037 per litre, following high-level engagements aimed at addressing ongoing supply and pricing challenges within Nigeria’s aviation sector.
This projection was disclosed after a stakeholders’ meeting convened by the Minister of Aviation and Airspace Management on April 22 and 23, 2026. The meeting brought together key players across the aviation and petroleum value chain to deliberate on sustainable solutions to the persistent issues affecting the availability and cost of aviation turbine kerosene (ATK).
Participants included representatives from the Ministry of Aviation, Ministry of Petroleum Resources, Nigerian Midstream and Downstream Petroleum Regulatory Authority (NMDPRA), Federal Airports Authority of Nigeria (FAAN), Nigerian Airspace Management Agency (NAMA), Nigerian Civil Aviation Authority (NCAA), as well as airline operators and aviation fuel marketers.
As part of its resolutions, the meeting approved the formation of a technical committee to further examine the underlying issues and recommend practical interventions.
Subsequently, the NMDPRA convened the committee on April 24, 2026, where key recommendations were outlined to stabilise the market and ensure consistent fuel supply.
According to the committee’s findings, the indicative end-user price of ATK is expected to range between N1,760 and N1,988 per litre in Lagos, and between N1,809 and N2,037 per litre in Abuja. The pricing benchmark was derived from Platts average rates recorded between April 17 and 23, 2026.
The committee, however, noted that actual prices may fluctuate beyond the projected range due to prevailing market volatility, including geopolitical developments and varying operational costs among suppliers.
To improve distribution efficiency, the committee recommended that the NMDPRA direct marketers to sell aviation fuel directly to airline operators within a specified timeframe. It also called for a regulatory review of pricing components, including recent premium adjustments and cost variations introduced by refineries, to enhance price stability.
In addition, the committee urged stronger collaboration among the NMDPRA, FAAN, and NCAA to streamline airside operations. This includes validating distributors with adequate infrastructure and reducing the number of operators based on agreed operational criteria.
Addressing the issue of mounting debts within the sector, the Ministry of Aviation was advised to facilitate a consultative meeting between oil marketers and airline operators to resolve outstanding financial obligations.
To further ease financial pressure on airlines, the committee recommended that marketers consider introducing a 30-day credit window. It also proposed the inclusion of aviation fuel under the Federal Government’s naira-for-crude initiative as part of broader efforts to stabilise supply and pricing across the sector.
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