The Nigerian Civil Aviation Authority (NCAA) has pushed back strongly against claims that soaring domestic airfares are driven by multiple government taxes, insisting that airlines do not pay the levies being cited and that recent fare spikes are the result of market forces rather than regulatory burdens.
In a statement posted on X on Sunday, the NCAA’s Director of Public Affairs and Consumer Protection, Michael Achimugu, described repeated claims of excessive taxation on domestic flights as misleading and unfounded.
Reacting to public commentary by airline operators, Achimugu said no domestic carrier in Nigeria pays up to 18 different taxes, as frequently alleged.
“Any domestic carrier operating domestic flights that says that they are paying 18 taxes is a liar. No domestic carrier pays 18 taxes for domestic flights,” he said.
Achimugu stressed that while the NCAA does not regulate airfare pricing, it had previously engaged domestic airlines on the issue. According to him, the airlines themselves admitted during those engagements that they do not pay the number of taxes often cited in public discourse.
He attributed the sharp increase in ticket prices, particularly during the December travel season, to demand and supply dynamics rather than government policy.
“We understand the high air fares this period are due to market forces—demand and supply. Let us assume there are 18 taxes; where did those taxes increase recently, and why is it different in December?” he asked.
The NCAA official also questioned narratives suggesting that airlines are forced to charge exorbitant fares because of government-imposed costs, especially in the absence of recent tax hikes or increases in aviation fuel prices.
“I don’t understand this 350k and 81k narrative, but I know that for the kind of support that President Bola Ahmed Tinubu, the Minister of Aviation and Aerospace Development, 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,” Achimugu said.
The clarification follows comments by the Chief Executive Officer of Air Peace, Allen Onyema, who recently told ARISE News that airlines are unfairly blamed for high fares despite bearing heavy operational costs.
Onyema said many return flights, particularly on South-East routes, often operate nearly empty, forcing airlines to absorb the cost of both legs of the journey. He claimed that a significant portion of ticket revenue does not go to airlines.
“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 maintained that high ticket prices reflect operational realities rather than profiteering, noting that fares fluctuate based on booking timing and passenger demand. According to him, passengers who book early typically pay less, while last-minute travel during peak seasons attracts higher prices.
Onyema also argued that, compared to global benchmarks, Nigeria’s domestic airfares remain relatively low.
However, Achimugu countered this position, pointing out contradictions in the argument. He questioned how high taxes could be blamed for fare increases when there had been no recent changes in tax regimes or jet fuel prices.
“If high taxes were the reason why airfares were N150,000 to N200,000, why did tickets sell for as high as N500,000 for a 45-minute trip when the said taxes did not increase?” he asked.
He further noted the irony of claims that Nigeria has some of the lowest domestic airfares globally while simultaneously justifying exceptionally high December ticket prices.
Achimugu concluded that the seasonal surge in fares is not unique to aviation and reflects broader economic realities.
“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.