The Airline Operators of Nigeria has identified the Dangote Petroleum Refinery and Petrochemicals as the primary supplier of aviation fuel in the country, accounting for more than 95 percent of Jet A1 consumption.
Industry representatives say the refinery’s output has been crucial in sustaining domestic flight operations amid global supply disruptions linked to tensions in the Middle East. The facility has also expanded its international reach, exporting about 1.1 billion litres of aviation fuel to Europe between March and April 20.
Despite steady supply, operators report mounting financial pressure driven by sharp increases in fuel prices. According to the association, Jet A1 costs have surged by as much as 300 percent in recent months, raising concerns about the sustainability of airline operations.
Industry stakeholders attribute the spike not to supply shortages but to inefficiencies and alleged manipulation within the downstream distribution chain. They argue that the price airlines pay does not reflect the refinery’s relatively lower ex-depot rates, suggesting the presence of artificial scarcity in the market.
Concerns over pricing practices have also been echoed by airline executives following engagements with government officials. Operators have called for greater scrutiny of fuel marketers, questioning the basis for steep price increases despite consistent supply from the refinery.
Data from the sector show that the refinery exported approximately 876,000 metric tonnes of jet fuel to Europe during the review period, including about 456,000 tonnes in March and 420,000 tonnes by April 20. The export volumes highlight the facility’s growing production capacity and logistics capabilities.
The development reinforces Nigeria’s expanding role in the global aviation fuel market, even as the domestic aviation industry continues to face cost pressures that could impact fares and operations.
Stakeholders say addressing inefficiencies in the distribution chain will be critical to stabilising prices and ensuring that the benefits of increased local refining capacity are fully realised within the country.
