The Nigerian Civil Aviation Authority (NCAA) has rejected claims that high domestic airfares are driven by multiple government taxes, insisting that airlines do not pay the alleged levies and that recent fare spikes are the result of market forces.
The Director of Public Affairs and Consumer Protection at the NCAA, Michael Achimugu, made the clarification in a statement shared on X (formerly Twitter), following renewed public debate over rising ticket prices during the festive season.
Achimugu described repeated allegations that domestic airlines pay as many as 18 different taxes as false. “Any domestic carrier operating domestic flights that says that they are paying 18 taxes is a liar,” he said. “No domestic carrier pays 18 taxes for domestic flights.”
According to him, the sharp increase in airfares, particularly in December, is best explained by demand and supply dynamics rather than government charges. “We understand the high airfares this period are down to market forces—demand and supply. Let us assume there are 18 taxes; where did those taxes increase recently, so why is it different in December?” he asked.
Achimugu noted that while the NCAA does not regulate ticket prices, it had engaged domestic airlines to clarify the issue. “They all admitted to not paying the volume of taxes being bandied around,” he said, adding that government authorities have continued to support local carriers.
“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 Director General of Civil Aviation, 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,” Achimugu stated.
The NCAA’s response follows comments by Air Peace Chairman and Chief Executive Officer, Allen Onyema, who recently told ARISE News that airlines face heavy costs due to return flights on South-East routes often operating nearly empty.
“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,” Onyema said, describing airlines as the “sacrificial lamb” of the aviation industry.
He argued that high ticket prices reflect operational realities rather than exploitation of passengers, noting that fares vary based on demand and booking time. Onyema also maintained that Nigeria’s domestic airfares remain among the lowest globally.
However, Achimugu questioned the logic behind claims of profiteering, pointing out that there have been no recent increases in taxes or jet fuel prices. “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,” he said.
“If high taxes were the reason why airfares were 150k–200k, yh why did tickets sell for as high as 500k for a 45-minute trip when the said taxes did not increase?” he asked.
Achimugu concluded that seasonal demand is the key driver of fare increases, stressing that the trend is not limited to aviation alone. “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,” he said.
