Aviation
Small is the next big thing in Asia aviation
SINGAPORE – After flying under the radar for many years, manufacturers of smaller jet and propeller-driven passenger aircraft are finding a bigger market in the Asia-Pacific with a slew of orders at the Singapore Airshow.
Canada’s Bombardier (BBDb.TO), Brazil’s Embraer (EMBR3.SA), European joint venture ATR, Russia’s Sukhoi and Japan’s Mitsubishi Aircraft do not roll off the tongue as easily as Airbus (AIR.PA) or Boeing (BA.N), but in the lucrative Asia market there is room for everyone.
Embraer, the world’s largest maker of regional aircraft, forecast in Singapore this week that the region will take delivery of 1,500 new jets of 70-130 seats over the next 20 years. That translates, it says, to a staggering $70 billion worth of business.
Importantly, for the likes of Embraer, the world’s two largest aircraft manufacturers do not make aircraft that compete in the below-130 seat segment.
Low-cost airlines like AirAsia (AIRA.KL), Lion Air, and Cebu Pacific (CEB.PS), with orders for hundreds of Airbus A320s and Boeing 737s, have driven much of the growth in the Asia Pacific airline market.
Increasingly, however, the major hub airports are getting crowded and there is growing demand for services to and between smaller second and third tier cities.
“The great opportunity in Southeast Asia is to get more people to fly, and that is about tier two and tier three cities,” said Torbjorn Karlsson, who leads aircraft sales for Bombardier in Southeast Asia.
He identified countries such as India, where only about 1 percent of country’s one-billion-plus population flies, and Indonesia and Thailand as inviting markets.
COSTA SEES ENORMOUS POTENTIAL
While there may still not be enough passengers to use the A320 or a 737, there is enough for smaller aircraft. And that is where the likes of Embraer and Bombardier come in. Thousands of this type of aircraft have been sold across Europe and the Americas, but relatively few have found their way to Asia. That’s now changing.
Embraer announced its first major Indian deal in Singapore, with start-up Air Costa ordering 50 jets valued at $2.94 billion on Thursday.
In a country like India, where Airbus and Boeing aircraft have saturated the market with airlines like IndiGo, SpiceJet (SPJT.BO) and GoAir, Costa is trying to find a niche for itself by connecting the smaller cities with Embraer jets.
“”You don’t need larger aircraft. This is enough for us,” said Ramesh Lingamaneni, chairman of Air Costa, which began operations in October and now has four Embraer jets. “Regional air services have enormous potential in India.”
Bombardier did not get any orders for its CSeries or CRJ jet aircraft, but Thai low-cost carrier Nok Air NOK.BK said that it would order up to eight of the Canadian company’s Q400 turboprop aircraft.
ATR, which dominates the turboprop market, inked a deal to sell up to eight of its 72-600 aircraft to Thai carrier Bangkok Airways. It also agreed to sell 20 aircraft to leasing firm Dubai Aerospace Enterprise, with options for 20 more, in a deal valued at $1 billion.
Sukhoi displayed a Superjet in the livery of its customer, Indonesia’s Sky Aviation, on the static display at the show. Japan’s Mitsubishi Aircraft and China’s AVIC are also developing aircraft that are expected to compete in the segment, and their executives were busy trying to impress potential customers in Singapore.
“There is lots of room to penetrate more into this market,” Paulo Cesar Silva, president and CEO of Embraer Commercial Aviation, told Reuters.
“You have to have the right aircraft. In the U.S., until two years ago, Delta was flying four times a day on the Boston-La Guardia route using A320s. Now, they place the E-175 11 times a day. You keep the frequency, the load factor is high, and the passenger is happy as every time you head to the airport, there is an aircraft leaving.”
There is intense rivalry within the segment too, with turboprop operators like ATR pointing out that their aircraft are more efficient over these short-haul routes.
“I think it’s partly the economics. On this short distance route the turboprop is the most efficient aircraft. Jets burn twice as much fuel, so costs are much higher. And a lot of these airports are not accessible for jets,” ATR’s head of Global Sales, John Moore, told Reuters.
– REUTERS
Aviation
Shell Endorses Regional Action Plan for Safe Helicopter Services
Shell Nigeria Exploration and Production Company Limited (SNEPCo) has welcomed efforts to promote safe helicopter services across Africa in a proposed Regional Action Plan (RAP).
The plan, according to a company statement, is the highlight of a workshop organised in Lagos within the week by the Aviation subcommittee of the International Association of Oil and Gas Producers (IOGP) in partnership with London-based safety advocacy group, HeliOffshore.
Biztellers reports that the two-day Offshore Helicopter Industry Safety Workshop (OHISW) with the theme “Developing a Regional Action Plan,” followed on from a similar session last year which SNEPCo sponsored.
READ ALSO: Ikire Killings: Adeleke Establishes Commission for Coroner Inquiry by Executive Order
It also provided administrative and logistical support for this year’s conference which was sponsored by ExxonMobil. SNEPCo, which pioneered Nigeria’s deepwater production at Bonga in 2005, relies on helicopter shuttles for operations and supports the workshop as part of its contributions towards safe services in Nigeria.
In an address at the opening session delivered by General Manager Contracting and Supply Chain, Charles Oranyeli, Managing Director SNEPCo, Ronald Adams said: “By developing a regional action plan, we can move beyond dialogue to alignment, ensuring that the safety leadership, industry standards, and collaborative approaches championed last year are embedded in a common roadmap for collective improvement. The most effective solutions will come not from isolated efforts, but from partnership, standardization, and coordinated action across the region.”
The workshop was attended by more than 80 representatives from oil and gas companies, the Nigerian Content Development and Monitoring Board (NCDMB), the Nigeria Civil Aviation Authority (NCAA), the Nigerian Safety Investigation Bureau (NSIB), helicopter operators and original equipment manufacturers.
The event concluded with participants deciding action items for the proposed Regional Action Plan including Search and Rescue (SAR) initiatives, implementation of IOGP Report 690 standards and establishment of formal industry leadership forums.
The IOGP has been active for over 50 years, supporting its more than 90 members around the world to promote “excellence in safe, efficient and sustainable energy.”
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.
ALSO READ: Shell Completes Turnaround Maintenance on FPSO, Resumes Production at Bonga
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.
ALSO READ: Rivers’ CJ Declines Setting Up Panel for Fubara’s Impeachment
“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.





