Aviation
AIC battles FAAN over concession agreement
By Oyise OGHENE
LAGOS: The airport environment was thrown into a state of pandemonium and free for all as the nation witnessed yet another war yesterday, now between the A.I.C Limited owned by Chief Harry Akande and FAAN over the construction of A.I.C Hilton Hotel at the Murtala Muhammed International Airport, Lagos.
Biztellers was at the Murtala Muhammed International Airport, (MMIA), Lagos and gathered that the situation at the VIP car park where the tussle between both parties were going on, officials of A.I.C Limited chased out FAAN officials from the landed property which was concessioned to it to build the A.I.C Hilton Hotel in 1998.
It was further gathered that FAAN had illegally broke into the landed property by destroying the fence and the gate house sited by A.I.C Limited on the land against court interlocutory injunction given by Justice R.O. Nwodo on the 18th, February 2002 restraining FAAN from taking possession of the land as well as disturbing A.I.C Limited’s workers or contractors whenever they want to carry out their construction work.
Biztellers also reports that after chasing out the officials of FAAN off the land, A.I.C officials erected the fence that was hitherto broken by FAAN which gave the agency the opportunity of using the land as a VIP car park for some days now.
Speaking to Biztellers, General Manager, Administration and Business Development, Chief Niyi Akande who spoke on behalf of the International Business mogul who was also present at the site, Chief Harry Akande said that A.I.C Limited got a bid from FAAN on the 17th, February 1998 to build an A.I.C Hilton Hotel in a concession agreement spanning for 50 years but added that FAAN came all of a sudden to disrupt the project while the construction work of the hotel was in progress which was against the initial agreement entered into by both parties.
According Chief Akande, since then both parties had been in the Federal High Court which ruled in favour of A.I.C Limited restraining FAAN from taking over the landed property adding that in the arbitration headed by Justice Friday Esun, he also awarded a fine to FAAN to pay A.I.C Limited 46 million dollars for lost of profit and income that A.I.C had suffered for the hotel that should have been built and opened ten years ago.
He said ’’By bid that was dated 17th, February 1998, FAAN gave us a 50 years lease on this land stretching all the way down for the construction of our international 5 star hotel that will be connected to the airport terminal, this portion is where it is supposed to link the terminal and we have been in peaceful concession since that time. But at a time when FAAN decided to determine the lease, we challenged it at the Federal High court, you know they chased our men off the site around 2000, 2001, so we went to court and at the Federal High Court Justice R.O. Nwodo gave an interlocutory injunction that FAAN or its servants or its agents should not disturb, harass or eject A.I.C Limited people, our workers or contractors from the site and that was even in May 2002 and that has been subsisting subject to us going to arbitration’’
‘’We went for arbitration and the arbitration ran from 2002 which was just decided about two years ago. It was done by late Justice Friday Esun, he gave an award which he said that FAAN was wrong to have prevented A.I.C from building the hotel and FAAN was wrong for disturbing and harassing A.I.C on the site, so he gave a fine against FAAN that they should pay A.I.C about 46 million dollars for lost of profit and income that A.I.C had suffered for the hotel that should have been opened ten years ago’’ he stressed.
According to Chief Akande, ‘’FAAN officials came in last week, broke the fence and then destroyed our gate house and they came in and started clearing the land and ask people to come in to park their cars which is a criminal bridge of law, so we have blogged the place so that they cannot take out that truck because that will serve as evident in court’’
When contacted at the time of filing this report, General Manager Corporate Communications, FAAN, Mr. Yakubu Dati said that he was aware of the situation pointing out that, he was going to issue a statement to that effect to lay bare the side of FAAN on the on-going dispute between the agency and A.I.C Limited.
Aviation
Airfares Likely to Rise as Aviation Fuel Price Spikes by 80%
The Airline Operators of Nigeria (AON) has declared that airlines operating in Nigeria have come under financial pressure following a sharp increase in the price of Jet-A1, also known as aviation fuel.
According to the group, the price of aviation fuel, has surged to about N1,800 per litre in many parts of the country, from about N1,000 per litre two weeks ago. This amounts to almost an 80 per cent increase within a short period.
Aviation fuel remains the largest cost component in airline operations, accounting for about 30 to 35 per cent of total operating expenses.
Industry stakeholders have linked the latest spike to the ongoing conflict in the Middle East, which has pushed up global energy prices.
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Speaking on Channels Television on Friday, the spokesperson for the Airline Operators of Nigeria, Prof Obiora Okonkwo, said the surge had placed airlines under severe financial strain.
According to him, most carriers have so far refrained from immediately transferring the additional cost burden to passengers, despite the pressure on their operations.
“Two weeks ago, we were getting Jet-A1 at about N1,000 per litre, which today is about N1,800, and even more in some stations. We have experienced an increase of about 80 per cent. That’s quite a spike,” Okonkwo said.
He explained that airlines were currently absorbing the losses in order to avoid worsening the economic burden on the travellers.
“We are not in a business where you can easily adjust your ticket price. Right now what we are doing is that we are bleeding. We are taking the blow. We are selling tickets at very non-profitable prices. We are losing a lot of money,” he said.
Okonkwo warned that the situation might not be sustainable if fuel prices continue to rise without government intervention.
“Obviously, adjustments will be expected anytime soon. But again, we are very sensitive to the economic situation of Nigerians and our travellers,” he added.
He noted that developments in the global oil market, particularly the recent release of reserve crude oil, could influence fuel prices in the coming weeks.
Okonkwo also urged the Federal Government to explore engagement with the Dangote Refinery as part of efforts to stabilise aviation fuel supply locally.
“We were more hopeless in a situation where there was no refinery in Nigeria in the last two years. Now that we have a refinery, we are hopeful that we can find a solution around it,” he said.
According to him, if the spike persists, some airlines may struggle to continue absorbing the losses associated with the rising cost of aviation fuel.
Meanwhile, the AON spokesperson also reacted to the decision by the Federal Competition and Consumer Protection Commission to sanction about five airlines over alleged price fixing.
Okonkwo said while the commission has regulatory powers, the aviation sector remains deregulated, making coordinated price fixing unlikely.
“There is no meeting of airlines where they agree to fix prices. Fixing prices would mean operating as a cartel, and that is not the case,” he said.
He explained that airline ticket pricing varies widely because different aircraft types attract different operating costs.
“Each airline determines its fares based on its own operational costs,” he said.
Okonkwo added that airlines must also demonstrate financial viability to regulators as part of the conditions for maintaining their operating licences.
“At every point in time, you must prove to the regulators that you are financially viable and capable of sustaining operations,” he said.
He urged regulators to take into account the fragile nature of the aviation industry when making policy decisions affecting airlines.
Aviation
Bird Strike Hinders Air Peace Lagos–Port Harcourt Flight
An Air Peace flight from Lagos to Port Harcourt has suffered a disruption, after the aircraft was affected by a bird strike on arrival at the Port Harcourt International Airport.
The airline made the disclosure on Thursday in a statement signed by its spokesperson, Osifo-Whiskey Efe.
He added that the incident necessitated safety checks on the affected aircraft and the deployment of another aircraft to convey passengers on subsequent flights.
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“We deeply empathise with passengers affected by this unforeseen incident and are working diligently to minimise disruptions,” Efe said.
The latest incident adds to the growing challenge of bird strikes faced by local airlines.
In December 2025, Air Peace disclosed that it recorded 49 bird strikes across Nigeria between January and September, stressing that even a single strike could ground an aircraft for weeks.
Chairman and Chief Executive Officer of the airline, Allen Onyema, had said on Arise TV that bird strikes constituted a major operational challenge, often leading to costly repairs and serious disruptions to flight schedules.
“One bird strike could cripple your aircraft for the next month. At that moment, there is no two ways about it. These bird strikes often lead to costly delays and serious disruptions in flight schedules,” he said.
He added that losses from such incidents compound other challenges facing Nigerian airlines, including heavy taxation and operational constraints.
Aviation
HURIWA Saddened at 131% Surge in Air Peace, United Nigeria Airfares to Southeast
With the firm belief that it is both sadistic and absolutely despicable, the recently announced outrageous hike in airfares to South East from Abuja to Lagos for Yuletide of 2025 by over 131 percent by Air Peace and United Nigeria Airlines, the owners have been asked to immediately have a rethink and review backward these harsh, toxic and unfriendly airfares targeting Igbo passengers exclusively.
Making the charge to the chairmen of Air Peace and United Nigeria airlines, Mr. Allen Ugochukwu and Mr. Obiora Okonkwo, the prominent civil rights advocacy group, Human Rights Writers Association of Nigeria (HURIWA) expressed anger that these businesses whose proprietors are Igbo by birth are fond of making it so difficult for hundreds of thousands of Igbo passengers residing outside of the South-East to travel home on Christmas festivities.
The rights group say that for many years now, because Air Peace and United Nigeria Airlines are monopolies and then Igbos have the tradition exclusively in Nigeria of going home to South East from all over the globe during Yuletides, these few airlines have decidedly fixed toxic ticketing airfares for Igbos whereas northerners who also travel during their religious festivities of salah are not subjected to such exploitative treatments.
The HURIWA accused the two airlines of price fixing, which is anti-competition just as the Rights group said it is giving these two Igbo-hating airlines to review backward their toxic and discriminatory airfares within ten working days from today or it will petition the federal government publicly funding consumer rights body[Federal Competition and Consumer Rights Commission) in Abuja.
The HURIWA wonders if these Igbo owners of private airlines known for making their planes available to government for free during emergencies are in a conspiratorial plots with haters of Igbo land who are unhappy at the convivial and happy atmospheres in the South East during Yuletide, just as the rights group has appealed to Igbo governors to immediately intervene and urge Mr. Allen Ugochukwu and Mr Obiora Okonkwo to treat the Igbo just as they treat for instance northern Muslims who also migrate home to northern Nigeria from around the globe during their Muslim festivities because what is good for the goose, is good for the gander.
The HURIWA said that if Air Peace Airlines have gotten involved in many humanitarian efforts of airlifting Nigerians from outside of our shores for free, it becomes of the Airline ought not to maltreat their clients of Igbo extraction.
The HURIWA quoted from the business official website of Air Peace in which it described its latest humanitarian effort to be an addition to a growing list of interventions by Dr. Allen Onyema and Air Peace.
Quoting Air Peace website, HURIWA stated that Air Peace said thus: “In 2019, the airline airlifted 503 Nigerians free of charge from South Africa amidst xenophobic attacks. During the COVID-19 pandemic in 2020, Air Peace conducted multiple repatriation flights. In 2022, the airline flew Nigerian evacuees out of war-torn Ukraine. In May 2023, Dr. Onyema again deployed Air Peace aircraft to evacuate 277 stranded Nigerians from Sudan.
As the rescued women prepare to begin a new chapter, supported by medical care and reintegration efforts, one truth stands out: Air Peace is more than just an airline — it is a bridge of hope for Nigerians in crisis, and a national symbol of empathy, courage and service,” HURIWA conclusively quoted Air Peace.
The HURIWA therefore strongly condemns the two airlines for hiking and fixing unaffordable airfares indiscriminately against Igbo passengers, even as the festive season draws near, Air Peace and United Nigeria Airlines have raised their return ticket fares to N677,000, a move that could add financial strain on travellers. The rise in airfares reflects the high demand expected during the holiday rush.
Key Points
Air Peace and United Nigeria increase return ticket fares to N677,000 for the yuletide season.
Airfares on routes to the South-East, including Enugu and Anambra, experience the highest surge.
Ibom Air offers comparatively cheaper tickets, with return fares at N381,600.
Air Peace’s one-way fare for December to January peaks at N350,500.
United Nigeria will also charge N350,500 for select routes between December 11 and the end of the year.
Northern routes, including Lagos-Kano, face smaller increases, with fares starting from N106,900.
Experts predict even higher airfares, with one-way tickets possibly reaching N500,000.
The rise in flight prices signals the start of a challenging holiday travel season, with airfares higher than usual due to increased demand. Travelers must be prepared for the surge, with some routes seeing even higher fare projections.
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The HURIWA is hereby warning the two airlines to withdraw their price fixing malpractices against Igbos or else the Rights group would seek justice and redress for the millions of Igbos who would return home for the 2025 Yuletide from the Federal Competition and Consumer Rights Commission and the National Human Rights Commission of Nigeria. The HURIWA threatened to drag the two airlines to the Nigerian President through the Honourable Minister of Aviation and Transportation.






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