Finance

Taraba, Kogi, Kebbi States record highest airfares in April 2022


Taraba, Kogi and Kebbi States recorded the highest air transport charges for specified routes single journey in April 2022.

This was disclosed by the National Bureau of Statistics (NBS) in its Transport Fare Watch (April 2022).

According to the report, Taraba recorded the highest air transport charges with N65,000.00, followed by Kogi with N64,258.91 and Kebbi with N60,850. States with the lowest average prices are Kano, Bauchi and Edo with N50,000 each.

Highlights of the report

  • The North-Central recorded the highest airfare in April, 2022 with N57,552.54, followed by the North-East with N56,800.16, while the South-East had the least with N53,402.58.
  • The average airfare paid by passengers on specified routes for a single journey has increased by 52% in the past 12 months,
  • Airfares recorded a 19% increase when gauged on a month-on-month basis.
  • A year-on-year basis, this rose by 52.44% from N36,409.46 in April 2021.
  • The average fare paid by commuters for bus journey intercity per drop rose by 8.75% from N3,270.94 in March 2022 to N3,557.15 in April 2022. However, it rose by 45.38% on a year-on-year basis from N2,446.86 in April 2021.
  • The average fare paid by commuters
    for bus journey within the city per drop, increased by 6.39% on a month-on-month basis from N536.35 in March 2022 to N570.64 in April 2022.
  • On a year-on-year basis, this rose by
    47.80% from N386.10 in April 2021.
  • In another category, the average fare paid by commuters for journey by motorcycle per drop increased by 8.03% on a month-on-month basis from N395.12 in March 2022 to N426.84 in April 2022.
  • On a year-on-year basis, the fare rose by 54.48% from N276.30 in April 2021.
  • The average fare paid for water transport (waterway passenger transportation) increased by 5.67% on a month-on-month basis from N900.84 in March 2022 to N951.93 in April 2022.
  • On a year-on-year basis, this rose by 16.06% from N820.23 in April 2021.
  • On state profile analysis, Taraba state recorded the highest air transport charges (for specified routes single journey) in April 2022 with N65,000.00, followed by Kogi with N64,258.91, while Kano recorded the least with N50,000.00. For intercity bus travel (state route charged per person fare) in April 2022, the highest fare was recorded in Abuja with N5,250.00, followed by Adamawa with N5,166.67, while Bayelsa recorded the least with N2,233.33.
  • In terms of bus journey within the city (per drop constant route), Zamfara recorded the
    highest with N822.00, followed by Taraba with N733.33, while Anambra recorded the least with N432.14. Yobe had the highest motorcycle transport fare under the reference period with N661.83, followed by Lagos with N656.25, while Ogun recorded the least with N211.76.
  • Also, water transport fare was highest in Delta with N3,128.57, followed by Rivers
    with N3,040.00, while the least was in Borno with N315.39.

Why the surge in airfares?

Operators and stakeholders in the aviation sector have been lamenting over several challenges facing the local airlines and have projected that there will be further increase in the airfares across the nation. Some of the reasons are hike in cost of aviation fuel, lack of access to foreign exchange and high cost of aircraft maintenance among others.

The Airline Operators of Nigeria (AON), through its Chairman, United Airlines, Professor Obiora Okonkwo, said, “Obviously, it is inevitable. I can tell you that all the airline operators, in the last three months, have been losing money, a huge amount of money. There is too much stress on the operational fronts for them to break even.

“Even if the aviation fuel is made available, there must be a review to reflect the minimal operational cost. We are offering patriotic services to the nation and understand the essential part of it. We are part of this economic development process in Nigeria but it is coming at a very huge sacrifice.

“Nothing less than N100,000, between N100,000 and N120,000 base price, even with Jet A1 fuel at N400 – N500. That is what it is. In the industry, it is expected that you will gain some here and lose some here but the biggest challenge indigenous operators are having is that the cost of everything is high. You source money from the commercial bank rates. You source money from the black market. No moratorium for your loans and the banks and AMCON are quick to jump on you.”

The Chief Operating Officer, Ibom Air, Mr. George Uriesi, also explained that the local airlines had reached a point in their operational cost to take a drastic measures.

He said, “Something has to give in. It’s either the prices of fuel that come down or the prices of airfares go up from where they are. So far, the airlines have tried very much to work within the airfares as they are. All sides of the divide are aware that the airlines have done the best that they can do.”



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