The Federal Government has directed aviation fuel marketers to extend a 30-day credit facility to airline operators and begin direct sales to help ease Nigeria’s worsening jet fuel shortage and rising prices.
The decision followed a series of high-level meetings coordinated by the Nigerian Midstream and Downstream Petroleum Regulatory Authority (NMDPRA) after an emergency session convened by the Minister of Aviation and Airspace Management on April 22–23, 2026.
Key stakeholders present included representatives from the Ministries of Aviation and Petroleum Resources, alongside agencies such as the Federal Airports Authority of Nigeria (FAAN), Nigerian Airspace Management Agency (NAMA), Nigerian Civil Aviation Authority (NCAA), airline operators, and aviation fuel marketers.
According to an executive summary of the meeting, stakeholders urged regulatory intervention to stabilise aviation fuel prices and review pricing components tied to global benchmarks such as Platts.
“To ensure price stability, NMDPRA should engage DPRP to adjust the premium on Platts and the cost variation element that was recently increased by the refinery,” the document stated.
The committee agreed on a new indicative pricing range for Aviation Turbine Kerosene (ATK), setting end-user prices between ₦1,760 and ₦1,988 per litre in Lagos and ₦1,809 to ₦2,037 per litre in Abuja.
The benchmarks were based on Platts average prices recorded between April 17 and April 23, 2026, with warnings that further volatility could push prices higher due to global instability linked to the ongoing U.S.–Iran conflict.
Stakeholders also recommended reducing the number of airside fuel distributors, directing regulators to ensure only operators with verifiable infrastructure remain active in airport supply chains.
“NMDPRA is to work with FAAN and NCAA to validate airside distributors with infrastructure to trim the number of operators based on agreed criteria,” the report added.
Debt disputes between airline operators and fuel marketers were also addressed, with the Ministry of Aviation tasked to mediate a resolution between both parties.
To ease financial strain on airlines, marketers were urged to adopt a 30-day credit window for fuel purchases.
The committee further recommended including aviation fuel under the Federal Government’s naira-for-crude initiative, aimed at reducing foreign exchange exposure and stabilising petroleum product pricing.
The measures come as Nigeria’s aviation sector grapples with persistent fuel supply challenges, rising global oil prices, and exchange rate pressures affecting operational costs across airlines.
