Move aims to ease pressure on domestic carriers as refinery shifts pricing to naira model and introduces 30-day interest-free facility for operators….
Dangote Petroleum Refinery & Petrochemicals has announced a reduction in the price of aviation fuel (Jet A1), lowering the ex-depot rate to N1,650 per litre from the previous N1,750.
The announcement, made on Tuesday, is part of a broader intervention aimed at reducing operational strain on airlines and improving fuel accessibility across the aviation sector.
Alongside the price cut, the refinery introduced a 30-day interest-free credit arrangement for marketers and airline operators, backed by bank guarantees. It also confirmed a transition away from dollar-based pricing, moving instead to a naira-denominated structure for transactions.
According to the company, the combined measures are designed to stabilise supply, ease liquidity pressure on operators, and support the broader aviation value chain, which has been grappling with rising fuel costs.
The refinery noted that aviation fuel expenses remain one of the most significant cost components for domestic airlines, with recent price fluctuations contributing to operational uncertainty and financial pressure within the sector.
Industry stakeholders have repeatedly warned that surging Jet A1 prices were threatening the sustainability of flight operations and pushing up airfares nationwide.
Earlier reports indicated that members of the Airline Operators of Nigeria (AON) had at one point considered suspending operations amid sharp increases in aviation fuel costs, which had climbed from around N900 per litre to as high as N3,300 in recent months.
In response to the broader pricing crisis, the federal government established a technical committee tasked with reviewing supply challenges and recommending stabilisation measures.
Among its proposals was the inclusion of aviation fuel under the naira-for-crude framework, as well as a recommended price band ranging between N1,760 and N2,037 per litre across key locations including Lagos and Abuja.
With the latest adjustment, the refinery says it expects improved cost relief for airlines, more predictable pricing, and greater operational stability within Nigeria’s aviation industry.
