The Airlines Operators of Nigeria (AON) has confirmed that the Dangote Petroleum Refinery and Petrochemicals now supplies more than 95% of the Jet A1 fuel used across the country. This development underscores the refinery's critical role in sustaining domestic aviation operations, especially amid global supply disruptions.
Speaking during a televised interview, AON spokesperson Obiora Okonkwo described the refinery as both a "game changer" and a "lifesaver" for Nigerian airlines. According to The Guardian, Okonkwo stated that the facility exported approximately 1.1 billion litres of aviation fuel to Europe between March and April 20 this year. He emphasized that without the Dangote Refinery, the industry would have faced far more severe challenges given the ongoing tensions in the Middle East and rising fuel costs worldwide.
Airlines Face Steep Price Increases Despite Adequate Supply
Despite the consistent supply from the refinery, Okonkwo revealed that airlines are still under immense financial pressure due to soaring Jet A1 prices. He attributed this paradox to irregularities within the downstream distribution chain, alleging that some marketers are creating artificial shortages even when supply is sufficient. According to him, fuel prices have surged by up to 300% since the Middle East crisis began, suggesting possible market manipulation that disconnects retail prices from actual depot rates.
"It is a matter of fact that over 95 per cent of aviation fuel supplied across the country comes from the Dangote refinery. To airline operators in Nigeria, Dangote is not just a refinery; it is a game changer and, indeed, a lifesaver," Okonkwo said. However, he warned that the current pricing trends could undermine the benefits of stable supply if left unchecked.
Africa's Growing Fuel Dependence and Geopolitical Vulnerabilities
Meanwhile, the Africa Finance Corporation (AFC) has issued a stark warning about Africa's reliance on imported fuel. In a report released in Nairobi, the AFC projected that the continent could face a fuel shortfall of up to 86 million tonnes by 2040. Currently, Africa imports over 70% of its refined fuel, along with approximately $230 billion worth of essential goods annually, including food, fertiliser, plastics, and steel. The AFC estimates that fuel import demand will rise from 74 million tonnes in 2023 to 86 million tonnes by 2040—an amount comparable to the output of nearly three large-scale refineries like those operated by the Dangote Group.
AFC chief economist Rita Babihuga-Nsanze pointed out that supply routes are increasingly at risk due to geopolitical chokepoints. She referenced the Strait of Hormuz—a passage responsible for about one-fifth of global fuel shipments—which has been severely disrupted by the ongoing Middle East conflict. This has left import-dependent regions, particularly in East Africa, facing acute fuel shortages. The report also highlighted broader infrastructure and supply challenges across the continent, including fertiliser shortages tied to disrupted Gulf exports and inefficiencies in energy systems.
In related news, the Federal Competition and Consumer Protection Commission (FCCPC) recently alleged price fixing by some Nigerian domestic airlines during the December 2025 festive period. The commission's report found patterns suggesting price manipulation despite stable fuel prices, taxes, and exchange rates during that time. The FCCPC clarified that seasonal demand and operational constraints are still being considered before reaching final conclusions.
