The Nigerian Civil Aviation Authority (NCAA) has dismissed allegations that domestic airfares have skyrocketed due to multiple taxes. Instead, the regulator insists fare increases are a product of market demand and supply.
Director of Public Affairs and Consumer Protection, Michael Achimugu, stated that domestic airlines do not pay the 18 taxes often cited in public discourse. “Any carrier claiming to pay 18 taxes is not truthful,” he said in a statement on X.
The clarification comes after comments by Air Peace CEO Allen Onyema, who claimed airlines face substantial operational costs, including empty return flights, which contribute to high fares. He described airlines as the “sacrificial lamb” in the sector.
Achimugu countered that operational realities, not taxation drive ticket prices, especially during peak periods such as the festive season. He further pointed out that no recent increases in taxes or aviation fuel costs justify the December fare surge.
While NCAA does not regulate ticket pricing, the authority invited domestic airlines to clarify their costs and confirm that the government does not burden them with excessive levies. The regulator emphasized transparency in the sector.
Onyema acknowledged that fares vary based on timing and demand, with early bookings generally cheaper. Despite challenges, he argued that Nigeria’s domestic fares remain among the lowest globally compared to other countries.
The NCAA concluded that high December fares are market-driven and urged consumers to understand that the pricing reflects broader economic realities, including transport, lodging, and food costs—not government exploitation.
