More Airlines Will Force Down Airfares -Keyamo

More Airlines Will Force Down Airfares -Keyamo

The Minister of Aviation and Aerospace Development, Festus Keyamo, has defended the Federal Government’s aviation reforms, saying the entry of more domestic airlines into the Nigerian market will lead to cheaper airfares and better services for passengers.

Newera News learnt that Keyamo said the government’s decision to encourage competition among local airlines was already having a positive impact, with domestic airfares dropping significantly from the high prices recorded during the Christmas period.

The minister stated this on Thursday while speaking on Channels Television’s Politics Today.

According to him, increased competition among airlines would force operators to reduce ticket prices and improve the quality of services provided to passengers.

“Guess what? What did you pay during Christmas? Four hundred and something, five hundred thousand. What is it now? It’s a hundred and something. We are forcing it down by competition. We have opened the doors,” he said.

Keyamo said the country’s commercial aviation sector was experiencing an unprecedented increase in the number of new airlines.

He attributed the development to policies introduced by the APC administration of President Bola Tinubu to create a more favourable environment for local airlines.

The minister noted that unlike in previous years, when several domestic airlines struggled to survive, new operators were now entering the market with what he described as stronger and more sustainable business models.

“Under the previous government, you have not seen this kind of surge we are having now into the airline business, commercial airline business, as you have now,” Keyamo said.

He identified Enugu Air as one of the latest airlines to enter the sector.

Keyamo also disclosed that Caliphate Airlines was preparing to begin commercial operations in Sokoto.

The minister said the growth and survival of indigenous airlines had become a major priority for the Tinubu administration.

‘Only Tinubu’s Government Has Supported Sustenance Of Local Airlines’
He explained that the government was focused on creating conditions that would allow local airlines to operate successfully and compete effectively.

“It’s only President Bola Tinubu’s government that has made it a point, a one-point agenda, to support the sustenance of local airlines. The growth and sustenance of local airlines,” he said.

Keyamo said a stronger domestic airline industry would not only create more choices for passengers but would also encourage competition and help reduce the cost of air travel.

The minister also addressed concerns over the high cost of aviation fuel, known as Jet A1. He clarified that the pricing and regulation of aviation fuel fell under the Ministry of Petroleum Resources and not the Ministry of Aviation and Aerospace Development.

Keyamo, however, said he had held discussions with fuel marketers and organised meetings to address the problem.

He explained that although the aviation ministry could engage stakeholders on the issue, it did not have the legal authority to regulate the price of Jet A1.

The minister also attributed the recent increase in aviation fuel prices to developments in the international market, including tensions involving Iran.

He said the situation had begun to improve, with aviation fuel prices showing signs of easing in recent weeks.

Keyamo also spoke about recent incidents involving aircraft in the country.

He described the runway excursion involving an Enugu Air aircraft at the Benin Airport as an isolated incident.

According to him, the incident was linked to a slippery runway, but he urged Nigerians to wait for the conclusion of investigations before drawing conclusions about what happened.

The minister stressed the importance of allowing aviation safety authorities to complete their investigations into the incident.

Keyamo also confirmed that a recent incident involving a private jet in Asaba amounted to a security breach.

He disclosed that the pilot and crew members of the aircraft had been taken into custody by the Department of State Services for questioning.

The minister did not provide further details about the circumstances surrounding the incident but said the relevant security agencies were investigating the matter.

Keyamo further disclosed that the Federal Government was considering the concession of more airports across the country.

He said the move would focus mainly on airports that were currently not financially viable and would be part of broader efforts to improve efficiency and strengthen airport operations.

The minister said airport concessioning could help the government reduce the financial burden of running facilities that were not generating enough revenue while allowing private investors to bring in capital and improve infrastructure.

He maintained that the government’s broader aviation reforms were aimed at creating a stronger, safer and more competitive aviation industry that would benefit passengers and contribute to Nigeria’s economic growth.