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Domestic airlines raise fares as jet fuel costs soar on Iran war
Technician refuels a commercial jet before takeoff. Kenya’s domestic airlines are hiking fares as soaring jet fuel prices, driven by Middle East supply disruptions, push up operating costs.
Local air carriers have started raising fares following a surge in jet fuel prices, driven by supply disruptions linked to the ongoing conflict in the Middle East.
Skyward Airlines, one of the carriers operating domestic flights, has already alerted its customers of expected fare hikes effective April 1, 2026 as it introduces a fuel surcharge to cover rising global energy costs.
Other airlines, although yet to communicate officially, are also expected to follow suit, signalling higher air travel costs across the country.
"We are writing to keep you informed of an upcoming adjustment to our fares. Effective April 1, 2026, a fuel surcharge will be applied to all Skyward Airlines ticket prices," Skyward said in a statement.
"The aviation industry continues to navigate the impact of rising global fuel costs, driven by sustained supply pressures in international markets. As internationally imported fuel represents a substantial portion of our operating costs for each flight, these conditions have required us to take deliberate steps to ensure we can maintain a sustainable and reliable service."
Safarilink chief executive officer Alex Avedi told Business Daily that the carrier is still monitoring the situation, but a fare increase appears inevitable in the short term as fuel costs remain elevated due to the Middle East conflict.
“The disruption is affecting anyone using fuel, not just the aviation industry. Yes, it has affected us as well and we are currently monitoring the situation, but there will definitely be some changes in the fares,” he said.
Latest data from the International Air Transport Association shows that jet fuel prices have surged since the onset of the war on February 28, 2026, with Africa recording one of the steepest increases this month.
As of last Friday, jet fuel cost $211.03 (Sh27,398) per barrel in Africa, a 122 percent rise from the February average of $95.05 (Sh12,340) per barrel. Prices are projected to remain elevated if the conflict persists.
Jet fuel is estimated to account for up to 30 percent of an airline's operating costs, underlining the impact of the commodity's price jump and volatility that has made it difficult for carriers to hedge.
In Kenya, the price surge is already pushing up ticket prices as airlines pass on higher fuel costs to passengers. Jet fuel prices are largely determined by global markets.
Meanwhile, the national carrier, Kenya Airways, may temporarily cushion itself from rising fuel costs, having built reserves that can sustain operations for up to 50 days.
Acting chief executive officer George Kamal told journalists on Monday that the airline is also exploring imports from India, whose fuel supply chains have been less directly affected by the Iran conflict.
