As domestic airfares hit record highs this festive period, President of the National Association of Nigeria Travel Agencies (NANTA), Yinka Folami, has called for an immediate, professional audit of ticket pricing to protect the Nigerian traveling public.
Speaking on Mainland FM, Folami addressed the controversial claim that 18 different government taxes are responsible for the increase in domestic flight costs. Acknowledging the difficult operating environment for airlines, he urged stakeholders to move away from “personality-driven” debates and focus on technical transparency.
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He said such a structure raises legitimate questions around the arbitrariness and transparency of pricing, especially given the original intent of the YQ/YR charges as emergency-related measures.
YQ/YR are industry codes for surcharges imposed by carriers, not government taxes, that are used by airlines to add to base fares charges for fuel, security and other increased operating costs, which often make up a significant portion of the ticket price, especially on award tickets where they are passed directly to passengers.
These codes allow airlines to dynamically adjust pricing, but the exact details of what they cover (such as fuel vs. insurance) are often unknown by the airline.
The NANTA Chairman provided details of a typical ₦360,000 domestic ticket.
To illustrate the concern, the President referred to a sample domestic ticket where: Total Fare: ₦360,000, Airport Tax: ₦9,000, Government Sales Tax: ₦16,700, Basic Airline Fare: ₦46,300, YQ/YR Surcharge: ₦288,000.
He said such a structure raises legitimate questions around the arbitrariness and transparency of pricing, especially given the original intent of the YQ/YR charges as emergency-related measures.
He said that while government taxes (NG) and airport charges (QT) are relatively low, “YQ/YR” surcharges—often specified for fuel or security emergencies—often amount to 80 percent of the total fare.
“Government taxes do not change between June and December,” Folami said.
“Yet fares increase significantly during peak seasons like December.
For example, routes where a one-way ticket costs between ₦145,000-₦155,000 in the middle of the year often rises to ₦250,000-₦350,000 in December.
The same fare (for one-way tickets) usually drops again to ₦125,000-₦145,000 by January or February,” he explained.
From this, they conclude that seasonal price increases are driven by market and operational factors such as demand patterns and load management rather than changes in government taxes.
NANTA, representing downstream trade with more than 50 years of industry experience, said the “18-tax” claim is unfamiliar to practitioners. As a result, Folami recommended:
A systematic audit: transparent accounting of each ticket component by the National Assembly and relevant authorities.
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Consumer Protection: Balancing support for local airlines with the responsibility to ensure fair pricing.
Ending Speculation: Providing the public with the facts to reduce growing frustration over “arbitrary” pricing.
“Aviation is a lifeline for national connectivity,” Folami concluded. “We must build an equity-driven ecosystem that is sustainable for airlines and sensitive for the consumer.”