Aviation, Petroleum Ministries in talks over local refining of aviation fuel

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With about 2million litres demand daily, Nigerian airlines may be saving over N30 billion annually if aviation fuel, known as Jet A1 is refined locally, ThisDay reports.

The Minister of State for Aviation, Senator Hadi Sirika told the Airline Operators of Nigeria (AON) recently that he was in talks with his counterpart in the Ministry of Petroleum, Dr. Emmanuel Ibe Kachikwu on how to dedicate one of the three refineries in the country to Jet A1 refining.

He said they discussed on how the Nigerian National Petroleum Corporation (NNPC) would put the Port Harcourt Refinery on-stream before the end of the year to begin to refine Jet A1, and also that with some investment they would get Kaduna back on-stream so that the more they refine the more of the fuel would be available.

Airlines said the product is sold at exorbitant rates to them because it is imported and there are too many costs that go with the importation, including demurrage, transportation and storage, which are added to every litre of fuel sold to the airlines. Besides, the uncertainty created by the scarcity of the product also keeps some passengers away, they said.