Aero Contractors Refunds Over ₦257 Million to Passengers in First Eight Months of 2025

Aero Contractors has refunded more than ₦257 million to Nigerian air travellers between January and August 2025, reflecting a sharp increase in consumer compensation tied to flight disruptions, cancellations, and baggage mishaps. The figure, officially verified by the Nigerian Civil Aviation Authority (NCAA), is nearly 137 percent higher than the amount paid during the same period in 2024.

According to NCAA records, the airline disbursed ₦257,195,724.39 in refunds over the eight-month span. In contrast, consumers received ₦108,308,037.40 in refunds during the first eight months of 2024. The jump in 2025 amounts to more than double the refunds over the same period last year and almost eight times what was refunded in 2023, when refunds amounted to just over ₦32.7 million.

The increase follows NCAA’s stronger enforcement of Part 19 of its 2023 Consumer Protection Regulations, which requires airlines to meet obligations to passengers, including timely refunds, provision of care for stranded travellers, and general compensation in cases of service failure. The authority has recently stressed that compliance with these standards is no longer optional for domestic carriers.

Alongside the refund payments, Aero Contractors also incurred costs for passenger welfare. Between January and July 2025, the airline spent ₦6,083,229 on hotel accommodation for passengers who were stranded due to flight delays, cancellations, or other disruptions. Properties used for lodging included hotels and apartments in major centres such as Abuja, Lagos, Asaba, and others.

NCAA’s Director of Public Affairs & Consumer Protection, Michael Achimugu, described the uptick in refunds as a sign of regulatory progress. He said that airports and airlines are increasingly aware of their legal obligations to customers and that NCAA would continue to pressure carriers to honour those obligations. According to him, more passengers are being protected now than in the history of the NCAA’s enforcement of consumer rights.

“This is one of our proudest achievements,” Achimugu asserted, noting that the authority has never before seen such levels of responsiveness from airlines in terms of refunds and passenger care. He emphasized that compliance with consumer protection rules is essential for rebuilding passenger trust and improving the reputation of Nigeria’s aviation sector.

Travel industry analysts view the numbers as encouraging but caution against complacency. They point out that while Aero Contractors’ figures are up, many passengers still face long delays before refunds are processed. Others continue to complain about lack of clarity when flight disruptions happen, difficulty in lodging refund claims, or lack of compensation when baggage is mishandled.

Indeed, stories continue to emerge of stranded travellers who had to wait weeks, and in some cases months, before refunds were credited. One passenger from Port Harcourt reportedly received ₦80,250 after waiting ten months for a refund, a case that gained public attention following media coverage.

The NCAA has also made it clear that refunds are just one dimension of passenger rights. Under the regulations, airlines are also required to provide amenities such as meals, lodging, and ground transportation when flights are delayed or cancelled beyond a specified number of hours. Compliance with these non-monetary obligations is being more closely tracked.

Aero Contractors, for its part, has responded to the NCAA’s findings with statements that it is working to improve its customer service pathways. The airline has reportedly been enhancing its internal systems for processing passenger complaints and refund requests, increasing staff training, and investing in customer relations resources to reduce turnaround time.

As refunds rise, so do expectations among passengers. Many travellers say that receiving timely and transparent communication about delays, cancellations, or baggage mishandling is as important as the financial refund itself. Observers believe that airlines which improve not just their financial compliance but also the quality of their customer service will gain competitive advantage.

In the broader industry landscape, Aero Contractors’ performance contrasts with many other carriers that have been slower to comply. NCAA has indicated that it may impose further sanctions or fines on airlines that fail to meet their refund obligations, or that fail to comply with consumer protection regulations in an acceptable manner.

The increase in refund payouts is also seen as part of a cultural shift in Nigeria’s aviation sector, where passengers are increasingly asserting their rights. Social media and consumer advocacy platforms have played a role in holding airlines accountable, spurring public pressure on carriers to act more responsibly.

Despite the improvements, some stakeholders warn of sustainability challenges. Airlines operate under significant cost pressures — rising fuel prices, foreign exchange fluctuations, inflation, and maintenance costs — all of which can affect their ability to absorb large-scale refunds and passenger welfare costs. Balancing financial sustainability and customer service obligations will be critical going forward.

For now, though, the numbers tell a story of incremental progress. Aero Contractors’ refund of over ₦257 million in the first eight months of 2025 marks a high watermark in passenger compensation. It sends a message to airlines and regulators alike that consumer protection regulations can have teeth, and that passengers’ rights are becoming more central to how Nigeria’s aviation sector operates.