- State-owned airlines such as Ibom Air, Cally Air, and new carriers in Enugu, Ogun, Ebonyi, and Bayelsa are introducing lower fares
- One-way economy tickets on secondary routes that previously ranged from N200,000 to N350,000 have dropped to around N150,000
- Industry experts note that state-backed airlines boost local economies by attracting business travellers and tourists
Legit.ng journalist Dave Ibemere has over a decade of experience in business journalism, with in-depth knowledge of the Nigerian economy, stocks, and general market trends.
Travellers are set to enjoy some relief as state-owned airlines introduces lower airfares, ensuring that they compete favourably with other established carriers like Air Peace and United Airlines.
The move is reshaping the domestic aviation market, particularly on secondary routes that were previously dominated by a few carriers and often plagued by high ticket prices and limited flight options.
Photo: Nurphoto
Source: Getty Images
The new entrant is transforming the local aviation sector, especially the secondary air routes that had been controlled by a few players, hence often plagued by high ticket prices and limited flight options.
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BusinessDay reports that state-run airlines like Ibom Air, Cally Air, as well as new entrants in Enugu, Ogun, Ebonyi, and Bayelsa states, are currently challenging traditional pricing models.
This rise in competition has resulted in reduced ticket prices, widened consumer choice, and stimulated travel demand on routes that were previously expensive and underserved.
Industry analyst Olumide Ohunayo said the trend is beneficial for passengers.
He explained.
“The entry of new carriers has contributed significantly to the reduction of fares and better service on secondary routes. When supply exceeds demand, then the commuter feels the real gains.”
Fare comparisons
Before the emergence of state-owned airlines, one-way economy class flights to intended destinations like Enugu, Cross River State, Ogun State, and Ebonyi cost between N200,000 and N350,000 outside of the peak seasons.
At the same time, flights from Lagos to other distant locations such as Abuja, Port Harcourt, Kano, and Owerri cost an average of N150,000 to N200,000.
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Since the advent of the new airlines, fares on the secondary routes have decreased to N150,000, except during festive periods when demand spikes.
Photo: Craig Hastings
Source: Getty Images
Reacting, Seyi Adewale, CEO of Mainstream Cargo Limited, noted that these state-backed airlines subsidise fares to attract business travellers, tourists, and investors, boosting local economies and connecting secondary airports to major hubs.
Although state-controlled fares for passengers are very attractive, there are some critics who point out that not all the new airlines may be viable.
John Ojikutu, CEO of Centurion Aviation Security and Safety Consult, warned that passenger traffic in many regions remains below projections, highlighting the need for strong regulatory oversight to ensure long-term viability.
Ogun airport to commence operations
Earlier, Legit.ng reported that the Ogun state government disclosed that the Gateway International Airport in Iperu was set to welcome its inaugural commercial flight.
The airport was commissioned on August 15, 2025, after securing an Aerodrome Operational Permit from the Nigerian Civil Aviation Authority (NCAA).
The permit confirmed that the facility met the regulatory standards required to begin full commercial operations.
Proofreading by Kola Muhammed, copy editor at Legit.ng.
Source: Legit.ng