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Home Business & Finance Business

NCAA introduces $11.50 levy on air tickets

Quadri Olaitan by Quadri Olaitan
November 4, 2025
in Business
0
NCAA

NCAA introduces $11.50 air ticket levy for all international passengers, sparking backlash over higher travel costs and multiple taxation concerns

NCAA has introduces $11.50 air ticket levy on all international passengers, a move expected to generate nearly $1bn in two decades but which has drawn strong criticism from aviation operators and travellers.

Also read: NCAA sanctions Qatar Airways over passenger mistreatment

The Nigeria Civil Aviation Authority (NCAA) confirmed plans to introduce the new charge, classified as a security fee under the Advance Passenger Information System (APIS) initiative.

The levy, set at $11.50 per ticket, will be added to the existing $20 security charge, raising total security-related fees to $31.50 per international ticket.

According to the NCAA, the new levy aims to bolster aviation security and enhance passenger data management in line with global safety standards.

The fee, effective 1 December 2025, will remain in place for 20 years, with proceeds earmarked for improving security infrastructure and passenger profiling systems across Nigerian airports.

A memo signed by NCAA Director-General, Capt Chris Najomo, directed airlines to deduct the levy at the point of ticket sale.

“The charge of $11.50 per passenger will be collected at the point of sale and remitted by the lifting airline to the NCAA,” the circular read.

Based on 2024 data showing 4.3 million international passengers, the NCAA could generate roughly $49.45 million annually, totalling almost $989 million (₦1.46 trillion) over two decades at the current exchange rate.

However, the announcement has provoked widespread disapproval among stakeholders, who say the move will worsen Nigeria’s already high cost of air travel.

President of the Aircraft Owners and Pilots Association of Nigeria, Alex Nwuba, described the new levy as “another blow to travellers and Nigeria’s already burdened aviation sector.”

While acknowledging that APIS is a globally recognised border security system, Nwuba argued that most countries absorb its cost rather than transferring it to passengers.

“This new fee comes at a time when Nigerian travellers already pay some of the highest cumulative ticket charges in the world,” he said, listing several existing levies  including Value Added Tax, Ticket Sales Charges, Passenger Service Charges, and fuel surcharges.

Similarly, President of the Association of Foreign Airlines Representatives in Nigeria, Kingsley Nwokeoma, warned that the charge was an unnecessary addition that could deter tourism and investment. “Passengers already pay more in taxes than the airfare itself in some cases,” he said.

Veteran aviation expert Capt John Ojikutu questioned the rationale behind the new fee, asking why a separate $11.50 charge was needed when a $20 security levy already existed. “Security is security what’s the difference?” he queried.

The Secretary-General of the Aviation Roundtable, Olumide Ohunayo, cautioned that the NCAA’s decision could push passengers to neighbouring countries with lower fares. “We shouldn’t tax ourselves out of the market,” he said.

Analysts warn that the levy may further inflate international ticket prices, already among the highest in Africa.

The African Airline Association ranks Nigeria as the continent’s third most expensive air travel market in terms of taxes and surcharges.

As of press time, efforts to reach the NCAA spokesperson Michael Achimugu and Director-General Capt Najomo for comment were unsuccessful.

Also read: NCAA clarifies: Airline ticket prices are deregulated

Stakeholders continue to urge the regulator to reconsider the 20-year levy, stressing that while aviation security is critical, its cost should not be borne by already struggling passengers.

Quadri Olaitan
Quadri Olaitan

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