Aviation editor of New Telegraph Newspapers, Mr Wole Shadare, has reported on the air transport sector for over two decades.
For years, he reported for Guardian Newspapers before joining New Telegraph.
On May 24, 2025, he launched his second book titled: ‘100 Years of Civil Aviation in Nigeria: History, Issues and Prospects.’ The 369-page book, in Chapters 13 and 14, discusses airline mortality rate in Nigeria since 1960, as well as how ownership structure and managerial control have contributed to their collapse. Excerpts:
On airline mortality rate
“Dozens of airlines that operated both scheduled and non-scheduled flights have gone under since 1960, when Nigeria attained independence from the British. Those familiar with activities in the aviation sector attribute the attrition rate to many factors, including paucity of funds and what operators call a ‘stifling operating environment.’ The list of some popular airlines that have become defunct since independence includes Flash Airline, Kabo Air, Hold Trade Airline, Gas Air, Jambo Express, Chanchangi, IRS Airlines, Savannah Airline, Albarka Airline, Intercontinental Airline, Air Mid-West, HAK Air, EAS Airline, Nicon Airways, Virgin Nigeria Airline, Air Nigeria, and Falcon Air. Others include Sosoliso Airline, Zenith Airline, Barnax Airline, Space World International Airline, Dasab Airline, Fresh Airline, Triax Airline, Bell-View, Afrijet, Air Meridian, Pan Africa Air, Freedom Airline, Okada Air and Concord.”
An ex-operator’s perspective
“Chairman of the defunct Trans-Sahara Airline, Alhaji Salihu Yinusa, recently stated that government had no policy of encouraging indigenous airlines. According to him, ‘we buy the aircraft and spare parts with foreign currency, dollars. Our people have developed a liking for very cheap tickets and almost free tickets. The second aspect of it is that here in Nigeria, we fly only for maybe from 7:00 am to 8:00 pm, and aircraft have hours that need to be utilised. In foreign countries, the aircraft flies 24 hours. It only stops when they have to do a service or when there is maintenance on it, but here you only for a few hours and then park it. So, the time you are supposed to be flying, the aircraft is parked. That contributes to the failure of us getting revenue to pay for our needs’.”
Deeper insight
“The cost of aviation fuel, Jet A1, which constitutes 40 per cent of the airline’s operating costs, has virtually quadrupled in the last years, with a litre now being sold for more than N1400 per litre. Moreover, sourcing foreign exchange for airlines has become a thorny issue, as the Naira exchanges for N1600/$1 or more. There have been complaints about Nigeria’s inability to maintain a national carrier, amid equal reservations over the failure of individuals or groups to maintain commercial fleets over time.
Huge market and failing airlines
“Nigeria is said to be a huge market and could make a fortune from a vibrant aviation sector because of its population and business opportunities. Moreover, despite the current high cost of tickets, with a one-way flight on the Lagos-Abuja route going for as much as N150,000, the demand for travel on the domestic routes is still high because of insecurity and the fear of being kidnapped while travelling on Nigerian roads.
“However, many cities are still left untouched by airlines in their domestic network, and stakeholders say more airlines would bridge the existing gap in domestic flights. Despite the shutdown of the industry in 2020 due to COVID-19, the sector recovered rapidly, driven by the lucrative market and high travel demand.”
Other contributory factors to airlines’ death
“Numerous factors have been attributed to the collapse of Nigerian carriers. These factors range from government policies and the harsh operating environment to high taxes, among others. One critical factor that has continued to elude many is the airlines’ lack of corporate governance. The long-standing afflictions that led to the demise of many airlines in the past remain potent and are now on the verge of consuming other casualties.
“This, in turn, raises a fundamental question about the ‘afflictions’ that owners of airlines have failed to address. It is widely believed that there is a fundamental issue responsible for the high mortality rate of airlines, which is indirectly caused by airline owners. They often view airline ownership not from the perspective of business, but purely as a
means to boost their ego. They often lack basic airline management skills. The only thing they have going for them is their deep pockets, which, more often than not, fail to sustain an airline in the long term. The owners have yet to come to the realisation that managerial acumen would greatly help them survive the murky waters of the airline business in Nigeria. “As a complex and capital-intensive business, airlines require a high level of competence and discipline. Many reasons might account for the failure of airlines, but the lack of good corporate governance ranks highest. The industry remains in the throes of airlines burdened with debts, under-administration or on the brink of collapse.”
Unviable domestic airlines
“The only times airlines are viable in Nigeria are usually at the take-off point. Indeed, we have become so accustomed to failure that, no matter how well an airline seems to be running, we are economical with praise because we do not know if it is just another bubble. Operators will readily point to a lack of adequate government support, the burden of taxes and poor infrastructure, among other issues. These could be fair points. However, from first-hand experience, one can see that the cardinal reason behind the failure of a good number of these airlines is that they were established without a deep-rooted corporate governance principle that could enable the companies to last and prosper.”
Surviving carriers
“Nigeria has nine surviving scheduled domestic carriers: Arik Air, Aero Contractors, Air Peace, Rano Air, Ibom Air, United Nigeria Airlines, Nigerian Eagle, Overland and Max Air. Collectively, these carriers have fewer than 60 aircraft in their fleets, all of which have valid insurance cover. The number of aircraft in these fleets is fewer than some individual airlines have globally.
“After more than 60 years of airline operations in Nigeria, over 150 airlines have gone into extinction, and the few remaining ones are on the verge of disappearing.
Interestingly, a closer examination of the dates these airlines commenced operations and when they ceased to exist reveals with sadness that most of them operated for less than 10 years.
Meanwhile, other African countries that were once far behind Nigeria in terms of aviation development have evolved and continue to outperform Nigeria in managing a profitable aviation industry.”
