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New Taxation Law May Cripple Nigerian Airlines, Air Peace CEO Warns

New Taxation Law May Cripple Nigerian Airlines, Air Peace CEO Warns

Abuja, Nigeria — The Chairman and CEO of Air Peace, Allen Onyema, has raised serious concerns over the proposed tax laws scheduled to take effect on January 1, 2026, warning that the new policy could cripple Nigeria’s aviation industry if implemented without adjustments.

Onyema issued the warning while speaking on behalf of the Airline Operators of Nigeria (AON) during the 100 Years of Aviation in Nigeria celebration held in Abuja. He disclosed that AON plans to meet with President Bola Ahmed Tinubu and the National Assembly to seek an urgent review of the policy, which he described as potentially devastating.

“If the tax stands, all airlines will crumble” — Onyema

According to Onyema, the new taxation framework will impose unsustainable financial pressure on local carriers.

“We are going to meet members of the National Assembly very soon with our minister to discuss the taxation issues expected to take effect on January 1, 2026. If it is allowed to stand, all of us will crumble. But I believe Mr. President will listen to our concerns and intervene,” he said.

He noted that Nigerian airlines remain the backbone of the nation’s movement of people and goods, yet operators have long been burdened with multiple charges, limited support, and reputational challenges.

Onyema Praises Tinubu’s Appointments, Says Aviation Sector Is Reviving

The Air Peace boss commended President Tinubu for appointing Festus Keyamo as Minister of Aviation and Aerospace Development, describing it as one of the most impactful decisions for the industry in decades.

He explained that before the current administration, Nigerian airlines were “demonised” and perceived as lacking capacity, which harmed public confidence and affected investment in the sector.

“Our industry was almost dead. We were demonised as ineffective and incapable. Nobody believed in us. But today, we have a minister who is committed to improving the aviation sector every single day,” Onyema said.

Keyamo: Aviation Heroes Deserve Their Flowers

Speaking at the event, Minister Festus Keyamo said the awards were designed to honour individuals who have played critical roles in building and sustaining Nigeria’s aviation industry over the last century.

He acknowledged that the recognition list was extensive but admitted that some contributors might have been unintentionally omitted.

“This sector was built by aeronautical engineers, pioneers, captains, sky caterers, and many others. Today, we honour them. And for those not captured, we apologise. They will be recognised in due course,” the minister said.

Keyamo emphasised that the aviation centenary marks a major milestone and called on veterans and stakeholders to continue offering guidance to support the industry’s future.

Full List of Honourees

The event honoured several industry pioneers and contributors, including:

  • Chief Gabriel Igbinedion, founder of Okada Air

  • Late Alhaji Ahmadu Dan Kabo, founder of Kabo Air

  • Capt. Robert Hayes, Nigeria’s first certified pilot

  • Chief Mbazulike Amechi, former Aviation Minister who helped establish Nigerian Airways

  • Chief Allen Onyema, founder of Air Peace

  • Dr Emmanuel Enekwechi, aviation growth contributor

  • Capt. August Okpe, founder of Okpe Aviation Services

Others include Capt. Ado Sanusi, Chief Wale Babalakin, Sir Joseph Arumemi, Olumuyiwa Bernard Aliu, Capt. Dele Ore, Capt. Wale Makinde, Capt. Ibrahim Mshella, Capt. Dapo Olumide, Ms Bimbo Sosina, Capt Benoni Briggs, Mrs Deola Olukunle, Dr Thomas Ogunbangbe, Capt Edward Boyo, Dr Gbenga Olowo, Elder Dr Soji Amusan, Engr Awogbemi Clement, Sen. Musa Adede, Georg Eder Mba, Capt. Prex Porbeni, Capt. Chinyere Kali, Harold Demure, Akin Olateru, Capt. Felix Iheanacho, Capt. Peter Adenihun, among others.

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