‘Despite Hurdles, Nigerians Enjoy one of the Lowest Domestic Airfares in the World’ – Allen Onyema

December 28, 2025

Allen Onyema, Chairman and CEO of Air Peace, has stated that Nigerians are paying the lowest domestic airfares in the world, even as the airline grapples with operational challenges including bird strikes, excessive taxation, and infrastructure setbacks, Prime Business Africa reports.

Onyema made the remarks during a recent interview with Arise News. According to Onyema, while a one-hour flight in the United States can cost over $400 (around ₦600,000–₦800,000), Air Peace still offers tickets from ₦115,000 to ₦125,000 (less than $60) on domestic routes.

“Nigerians are flying the cheapest fares in the world domestically. We are running one of the cheapest airfares anywhere,” he said.

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Onyema disclosed that Air Peace recorded 49 bird-strike incidents across Nigeria between January and September 2025, describing them as a significant operational setback. “One bird strike could cripple your aircraft for the next month.

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These incidents often lead to costly delays and serious disruptions in flight schedules,” he said. He also recounted instances of aircraft damage caused by ground handling companies, noting that a brand-new plane worth over $85 million was recently damaged, with repairs alone costing millions of dollars. “The engine alone costs about $18 million,” Onyema revealed, calling for regulatory reforms to allow capable airlines to manage their own ground handling.

He highlighted the heavy tax burden on Nigerian airlines, noting that from a ₦350,000 ticket, only ₦81,000 goes to the airline, with the rest taken up by multiple taxes and levies. He specifically mentioned the Nigerian Civil Aviation Authority (NCAA) 5% charge and other levies as factors that reduce airline profitability and threaten sustainability.

“The government has got to look at the excessive, multiple taxation. We are suffering from multiple charges. It’s unsustainable for airlines to thrive under this burden,” he said.

Addressing allegations by government agencies, including the Federal Competition and Consumer Protection Commission (FCCPC), Onyema dismissed claims that airlines were engaging in exploitative pricing or coordinated price-fixing. He explained that ticket prices vary depending on demand and inventory, especially during peak travel periods like Christmas. “It is untrue that every fare is ₦400,000 or ₦500,000. You can still find tickets for ₦150,000 or ₦125,000 if you book in advance,” he said.

Despite the challenges, Onyema reaffirmed Air Peace’s commitment to providing reliable and affordable air travel to Nigerians. He stressed the need for government support, better safety standards, and a fairer tax regime to ensure the survival and growth of domestic airlines.

“The system is working against us, but we remain focused on delivering quality service. If the legislation allows capable airlines to handle their own ground operations, it will improve safety and operational efficiency,” he said.

 

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Amanze Chinonye is a Staff Correspondent at Prime Business Africa, a rising star in the literary world, weaving captivating stories that transport readers to the vibrant landscapes of Nigeria and the rest of Africa. With a unique voice that blends with the newspaper's tradition and style, Chinonye's writing is a masterful exploration of the human condition, delving into themes of identity, culture, and social justice. Through her words, Chinonye paints vivid portraits of everyday African life, from the bustling markets of Nigeria's Lagos to the quiet villages of South Africa's countryside . With a keen eye for detail and a deep understanding of the complexities of Nigerian society, Chinonye's writing is both a testament to the country's rich cultural heritage and a powerful call to action for a brighter future. As a writer, Chinonye is a true storyteller, using her dexterity to educate, inspire, and uplift readers around the world.

Amanze Chinonye

Amanze Chinonye is a Staff Correspondent at Prime Business Africa, a rising star in the literary world, weaving captivating stories that transport readers to the vibrant landscapes of Nigeria and the rest of Africa. With a unique voice that blends with the newspaper's tradition and style, Chinonye's writing is a masterful exploration of the human condition, delving into themes of identity, culture, and social justice. Through her words, Chinonye paints vivid portraits of everyday African life, from the bustling markets of Nigeria's Lagos to the quiet villages of South Africa's countryside . With a keen eye for detail and a deep understanding of the complexities of Nigerian society, Chinonye's writing is both a testament to the country's rich cultural heritage and a powerful call to action for a brighter future. As a writer, Chinonye is a true storyteller, using her dexterity to educate, inspire, and uplift readers around the world.

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