Minister of aviation and aerospace development, Festus Keyamo, who gave the directive yesterday did not state the reason for the decision.
Reacting to the development in a statement, Roy Ilegbodu, chief executive officer (CEO) of Arik Air (in receivership), said the minister’s directive came without warning or consultation.
He also said the decision would have a ripple effect on the firm and the country’s economy.
“The management of Arik Air (In Receivership) is dismayed by the sudden order issued by the honourable minister of aviation to ground our aircraft,” Ilegbodu said.
“This decision, made without warning or consultation, has serious repercussions for our valued passengers, dedicated employees, and the broader Nigerian economy.
“Our priority has always been to connect people and facilitate commerce, especially on critical domestic routes.
“The grounding of our fleet disrupts these vital services, leaving passengers stranded and inflating already high travel costs.
“This decision hurts everyday Nigerians who rely on our flights for business, family, and essential activities.”
In February 2017, Arik Air was taken over by the federal government via the Asset Management Corporation of Nigeria (AMCON) due to the company’s huge debt profile, estimated at over N300 billion.
The government, following the takeover, immediately dissolved the airline’s management team and appointed a receiver manager.
Further commenting on the latest development, Ilegbodu said the minister’s decision to ground the airline also “disregards ongoing judicial processes”.
Meanwhile the average price for flight tickets within Nigeria have reached N96,000 for a one-way journey.
Airlines charged passengers an average of N97,500 to travel to Port Harcourt International Airport making it the most expensive destination by Air.
To travel to states like Kano, passengers pay over N96,433, according to the National Bureau of Statistics report for June 2024.
Travellers to the Akanu Ibiam International Airport, Enugu, passengers paid N95,166, an amount which is the cheapest that airlines charge.
Air passengers travelling to Ibadan Airport, Oyo State, Maiduguri International Airport, Borno State and Kaduna International Airport, airlines are charged N93,720, N93,666 and N93,500 respectively.
The Murtala Muhammed International Airport, Lagos which is the country’s busiest airport costs passengers an average of N91,500 for a one-way ticket.
Reacting to the development, Chairman of the United Nigerian Airlines and the Airline Operators of Nigeria (AON), Prof Obiora Okonkwo, said aircraft shortages are responsible for the high cost of air tickets.
“What you have seen happening in recent times is just my prediction happening. Sometimes, when there were skyrocketing prices of aviation fuel and foreign exchange, I said it would result in a situation when there would be more aircraft on the ground than those flying because accessing funds to maintain them will be difficult and it becomes an issue of demand and supply.
“We now have fewer aircraft to service the larger number of people who are flying. You will bring the pressure to the cost. However, I can also assure you that we have been as reasonable as possible in the cost because, in aviation, it is not what you sell a single ticket that brings your profit,” he said.
