Stakeholder Offers Solution To Aviation Fuel Challenges
Former Managing Director of ADC Airlines, Capt. Augustine Okon has described Nigeria’s aviation fuel market as “a mirror of Nigeria itself: rich in promise, hampered by inefficiency, yet always full of hope” while suggesting possible way “to steady the flight.”
Speaking at the CITA Energies Colloquium organized by League of Airport & Aviation Correspondents (LAAC) in Lagos last week, on an “Opinion Poll on the Aviation Fuel Market,” Okon said “we must “anchor Jet A-1 supply to local refining capacity — not to imported benchmarks, adopt transparent pricing indices tied to local cost realities, create a Joint Aviation Fuel Board, bringing airlines, NNPC, NCAA, and marketers to the same cockpit, modernize airport fuel storage and pipelines through PPP models” and “prepare for the future, Sustainable Aviation Fuel (SAF), green energy, and efficiency investments.”
“We cannot keep flying by dead reckoning. The world is moving toward energy independence and green flight. Nigeria must not be left taxiing on the runway,” he said.
He said in aviation fuel business, “opinions on aviation fuel are like weather reports. Everyone has one, and they change faster than the wind at Murtala Muhammed on a wet rainy day.” He described the aviation fuel market as “the invisible engine behind our skies. Without Jet A-1, our airplanes are just beautifully painted sculptures parked on the tarmac. Yet for too long, this market has been shrouded in clouds of uncertainty — rising costs, forex pressure, import dependence, and erratic supply.”
Giving perceptions about the industry by various stakeholders, he said “airlines tell me they are flying with one eye on the sky and the other on the fuel gauge. Fuel now takes up nearly half of their operating cost. Prices swing wildly because they are pegged to the dollar. Yet, revenues are earned in Naira. One airline executive told me recently, “Captain, every time the naira coughs, our engines sneeze.”
Their sentiment is one of frustration mixed with resilience. They crave stability, predictable pricing and reliable supply.”
“Fuel marketers, on their part, feel misunderstood. They say margins are thin. Forex is scarce. Logistics are costly and debts from airlines pile up like rubbish bin at Agege.
They are navigating a storm of their own, trying to keep fuel flowing in a market that often runs on promises and delayed payments. Yet, behind their complaints lies optimism. They believe the arrival of local refining finally will change the weather pattern.
“Our regulators and policymakers, meanwhile, speak with cautious assurance. They point to reforms, to Dangote Refinery, to modular refineries, to a renewed local content drive. They say, “Help is on the way.” And indeed, for once, we can see the light through the clouds. But the industry still expects more: speed, coordination, and enforcement. It’s not enough to announce policy. We must fuel it into motion.”
“And then, of course, there’s the voice of the public; the passenger who pays for all our inefficiencies. To them, high ticket prices, delays, and cancellations are the visible symptoms of an invisible ailment, fuel costs. If you stopped ten passengers at Lagos Airport today and asked what they think of aviation fuel, most would shrug and say, “All we know is that flight prices keep going up.” And they’re right.”
On the market mood, Okon said: “So, if this were truly an opinion poll, here’s what the results might look like: 60% of industry voices are anxious, watching fuel prices like a weather radar. 25% are cautiously hopeful, seeing the Dangote Refinery as a ray of light. 10% remain skeptical, saying, “We’ve heard this before.” The final 5% are eternal optimists, the ones who believe that Nigeria can and will fuel its own future. I count myself proudly among that five percent.”
Theme of the event was “Aviation Fuel Business in Nigeria – The Scenario and the Metaphor.” On the Metaphor of Flight, Okon said “every pilot knows that takeoff is optional but landing is mandatory. Nigeria’s aviation fuel market has taken off many times on wings of policy announcements. Yet, too often, it circles in holding patterns, burning fuel but not making progress. Now, for the first time in decades, we see a clear runway ahead.”
He described Dangote and domestic Refining as “A New Horizon,” stating that a few months ago, Nigeria was importing aviation fuel, begging for forex, battling shortages, and watching prices climb.Today, we are witnessing something historic: the Dangote Refinery exporting aviation fuel to the world. That single development changes the entire flight plan. It means we no longer have to fly abroad to refuel. It means the storm clouds of dependency are beginning to clear. However, the true breakthrough will come when we align policy with patriotism: Let Nigeria sell crude to Dangote in Naira. In turn, let Dangote sell aviation fuel to Nigerian airlines in Naira based prices. That single act will drastically reduce the foreign exchange component of our airlines’ operations and strengthen the naira from the inside out. This is not just an economic reform. It is a patriotic flight path.”
“Our skies are wide. Our people are capable, and our fuel is finally homegrown.
Let us therefore turn this new chapter into a defining one. Let the story of the Nigerian aviation fuel market no longer be a metaphor for turbulence, but a symbol of takeoff — national takeoff.
When our airlines buy Jet A-1 in Naira, when our refineries run on local crude, and when our passengers feel the benefit in affordable, reliable air travel, then we will have truly achieved flight level stability as a nation.
We need to have a vision of a Nigeria that refuels itself, sustains itself, and believes in itself. After all, as every pilot knows, you cannot fly far without trusting your own engine,” he concluded.
