NCAA disputes Air Peace boss on airfare tax claims
The Nigerian Civil Aviation Authority has rejected allegations that high domestic airfares are caused by excessive government taxes. Michael Achimugu stated that airlines do not pay the number of taxes being claimed and attributed fare hikes to demand and supply. The NCAA clarified that it does not regulate fares but has engaged airlines on the issue. The debate follows comments from Allen Onyema of Air Peace, who argued that operational realities, not profiteering, drive prices.
What we know
- Michael Achimugu dismissed claims that airlines pay 18 taxes for domestic flights, calling such statements false.
- The NCAA attributed high airfares to market forces, particularly increased demand during certain periods.
- Allen Onyema of Air Peace argued that most of the ticket revenue goes to levies, taxes, and charges, not the airlines.
- The NCAA said all domestic airlines admitted they do not pay the volume of taxes being alleged.
- The authority emphasized that recent fare surges are due to market conditions, not government-imposed tax hikes.
