Airline operators in Nigeria may soon increase airfares or suspend flights after talks with the Federal Government over the aviation fuel crisis ended without an agreement.
The discussions lasted for 48 hours, but no final solution was reached.
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This happened even after President Bola Tinubu approved a 30 percent debt discount for airline operators to reduce the pressure caused by the high cost of aviation fuel.
Jet fuel prices have increased by about 300 percent, making it very difficult for airlines to continue normal operations.
The debt relief covers money owed to major aviation agencies like the Nigerian Civil Aviation Authority (NCAA) and the Nigerian Airspace Management Agency (NAMA).
The Minister of Aviation and Aerospace Development, Festus Keyamo, said the debt discount is not a subsidy but an emergency support to help airlines survive rising costs.
However, airline operators said the help may not be enough to stop a serious crisis.
They warned that ticket prices may go up because airlines are struggling to stay in business.
After a four-hour meeting in Abuja, Keyamo said airline operators, oil marketers, regulators, and the aviation ministry agreed to create special technical teams to work on a fair fuel pricing system.
He said these teams will begin discussions immediately and the public will get an update within 72 hours.
Keyamo admitted that airlines are facing serious pressure because of the rising cost of fuel and other expenses.
The Vice President of the Airline Operators of Nigeria, Allen Onyema, said the situation is very serious and airlines could shut down within days if nothing changes.
He said no airline can continue working under such conditions because fuel costs are too high.
Although he praised the Federal Government for trying to help, he said airlines may stop operations within seven days if more support is not provided.
The Chief Executive Officer of the Nigerian Midstream and Downstream Petroleum Regulatory Authority, Saidu Aliyu Mohammed, said efforts are ongoing to review fuel prices and find a balance between steady fuel supply and helping airlines survive.
The next round of talks will decide whether airlines can avoid shutting down or if passengers should expect higher ticket prices.