Dangote Refinery Cuts Jet Fuel N100 to N1,650 a Litre as Nigeria Moves to Ease Airline Strain
Updated
Updated · msmeafricaonline.com · May 16
Dangote Refinery Cuts Jet Fuel N100 to N1,650 a Litre as Nigeria Moves to Ease Airline Strain
9 articles · Updated · msmeafricaonline.com · May 16
N1,650 per litre is Dangote Refinery’s new Jet A1 price, down from N1,750, with the company also pledging uninterrupted nationwide supply.
The cut is part of a federal intervention to ease airlines’ cash squeeze, including a 30-day interest-free credit facility backed by bank guarantees and a shift from dollar pricing to naira.
Airlines had warned operations were becoming unsustainable as aviation fuel prices jumped from about N900 per litre in February to as high as N3,300 by April 2026.
Abuja last month convened aviation and energy stakeholders, proposed fuel price bands for Lagos and Abuja, approved debt discounts for airlines, and set up a committee to review taxes embedded in airfares.
Industry participants say the latest reduction could lower carriers’ fuel bills, support operational stability and help moderate domestic ticket prices across Nigeria.
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In response to persistent warnings from airline operators about the severe financial strain caused by escalating Jet A1 prices, Dangote Refinery introduced key interventions in May 2026, including a price reduction, a credit facility, and a shift to naira-based sales for aviation fuel. These measures directly address the rising operational costs that threatened the viability of domestic flight operations and contributed to higher airfares. By eliminating the need for airlines to source foreign currency for fuel purchases, Dangote’s new terms aim to make aviation fuel more accessible and affordable, offering immediate relief to Nigeria’s struggling aviation sector.