CHIBUIKE ULOKA
Many air travelers in Nigeria often wonder why commercial air travel is mostly limited to major hubs like Lagos and Abuja, with few or no direct flights connecting cities like Enugu to Port Harcourt, Asaba to Owerri, Ibadan to Ekiti, or Uyo and the rest.
I will attempt to address some of the key reasons behind this trend.
1. Aircraft Engine Lifecycle
One of the most significant factors is the impact of short-haul flights on aircraft engines. Modern aircraft engines are designed to operate efficiently on longer flights, typically lasting at least one hour. Flights shorter than an hour can adversely affect engine performance and reduce their lifespan.
Aircraft engines operate on a cycle basis; each start and stop counts as a cycle, which affects the engine’s durability. “Frequent” short-haul flights increase these cycles without giving the engines enough time to reach optimal operating conditions. This can harm aircraft engines and jeopardize safety.
Again, safety regulations and insurance requirements often discourage flights under one hour. Many aircraft operating in Nigeria, at least 80 percent, are modern and covered by international insurance, which mandates adherence to strict maintenance and safety protocols. This focus on safety has contributed to the significant reduction in plane crashes in Nigeria’s airspace.
2. Revenue and Passenger Capacity
Air travel in Nigeria, although growing, is still not as widespread as in other regions, largely due to cost. Operating a one-way domestic flight in Nigeria is significantly more expensive than in many other parts of the world.
Some factors:
Fuel Costs – A small commercial aircraft like the Embraer 145 or CRJ-200 with a maximum capacity of around 48-50 passengers consumes at least 2,000 liters of Jet A1 fuel for a one-hour flight. At current prices of 1,250 to 1,400 naira per liter, this amounts to 2.5 to 2.8 million naira for fuel alone. (Note that increase in aircraft size and capacity equals to increase in fuel consumption).
Other Costs: Government taxes (federal and state), crew duty-hour bonuses, maintenance, and airport charges account for an additional 35-43% of operational expenses.
Given these costs, a one-way flight ticket in Nigeria often ranges from ₦100,000 to ₦250,000. Considering the proximity of Enugu to Port Harcourt or Calabar and Uyo, how many air travelers would be willing to pay such high fares when options like Chisco, Onitsha South transport, or a chartered Sienna offer lower fares?
For longer inter-regional flights from southern cities like Enugu, Owerri, and Ibadan to northern cities like Kano or Bauchi and Yola, airlines face the challenge of low passenger loads, making these routes unprofitable. Airlines operate on very thin profit margins and rely heavily on high passenger turnout to sustain operations. If revenue cannot cover operational costs, the route becomes unviable.
3. Comparative Operational Costs
In Europe and North America, states or regions are often an hour apart by air, making inter-state flights more feasible. Moreover, the cost of airline operations in these regions is significantly lower due to:
1.Access to loans and facilities at little to no interest rates.
2. Stable foreign exchange (FX) markets and access to subsidized aviation fuel.
Lower insurance costs, typically around 3% of the aircraft’s value.
While in contrast, Nigerian airline operators face:
1. Double-digit interest rates on loans.
2. Scarce FX for essential dollar-denominated expenses like aircraft purchases or leases, maintenance, and spare parts.
3. High insurance costs, often around 10% of the aircraft’s value.
These factors collectively inflate operational costs, making it nearly impossible for Nigerian airlines to offer affordable fares for short-haul or low-demand routes. As a result, airlines prioritize routes with higher passenger demand and revenue potential which is today, Lagos and Abuja.
While many factors influence airline route planning, the most significant are operational costs, passenger demand, and the management of modern aircraft engine lifecycles – an approach that has contributed to improved safety in Nigerian airspace. For Nigerian airlines to thrive, routes must be commercially viable, especially in a challenging environment with no government subsidies, limited access to foreign exchange (FX), and high-interest loans that significantly increase operational expenses.
– Uloka is an aviator and communication expert.