Business

High Domestic Airfares Pressure Government to Act

Passengers on major Ghanaian routes face steep fares, prompting calls for cost‑cutting measures from industry stakeholders.

Passengers wait at Accra airport as domestic flight fares rise
High Domestic Airfares Pressure Government to Act

Return economy fares from Accra to Kumasi are now quoted between US$275 and US$522, while Accra‑Tamale trips run from US$318 to US$565, according to a recent CUTS International survey. Accra‑Takoradi return tickets range from US$379 to US$493. These prices dwarf those on comparable international routes, where fares start at US$152 in Lagos, US$166 in Nairobi, US$133 in Mumbai and even lower in European hubs such as Paris, Madrid and Rome.

The high cost of aviation fuel is a chief culprit. The National Petroleum Authority estimates that Jet A‑1 accounts for 30–35 % of airline operating expenses, meaning global oil price swings and the expense of importing fuel directly affect ticket prices. Aircraft age and efficiency also drive maintenance costs, while airlines earn most revenue in cedis but incur major expenses – leases, maintenance and insurance – in US dollars, exposing them to foreign‑exchange risk.

Competition is limited, with PassionAir and Africa World Airlines dominating the domestic market. Critics argue that additional entrants could help pull fares down. The government has already eased taxes and duties on imported spare parts, and airlines are deploying higher‑capacity aircraft, but stakeholders say these steps may not immediately benefit passengers.

CUTS International recommends a review of fixed aviation charges, reduction of airport infrastructure fees, removal of barriers to new carriers and stronger competition oversight. It also suggests exploring ways to manage Jet A‑1 costs. Aviation analyst Dr. Dominic Andoh expects passengers to see some relief within the next six months as airlines adjust to lower‑cost spare parts and operational changes.

What follows will be the speed at which these interventions translate into lower fares for travelers. The industry and government will need to act swiftly to make domestic air travel more affordable.

Written by

Daniel

Blogs are whatever we make them.

Get weekly updates on all the top stories

Thanks! You’re on the list.

Support Us