ECOWAS Slashes Air Travel Costs: Will West Africa See a Passenger Boom?

The Economic Community of West African States (ECOWAS) has approved a landmark regional aviation reform to dramatically lower West Africa air travel costs. This move is set to abolish multiple air transport taxes and reduce key charges. The goal is to make flying affordable for the region's 420 million citizens and spur economic growth. ECOWAS leaders adopted the measures at their December 2024 summit in Abuja. The new policy will take effect on January 1, 2026. ECOWAS aims to dismantle cost barriers that have made the region one of the world's most expensive for air travel.

The New Regulatory Framework

The reforms are mandated by the new Supplementary Act on Aviation Charges, Taxes and Fees. This act requires all member states to implement specific changes. Air transport taxes will be eliminated entirely. Additionally, passenger and security charges will be reduced by 25%.

ECOWAS Director of Transport, Chris Appiah, noted that high government-imposed taxes and charges are the key drivers of expensive fares. Studies show taxes and charges make up between 64% and 70% of a typical ticket price. West Africa's regional flight costs are about 85% higher than global averages.

• Taxes to be abolished: Ticket Tax, Tourism Tax, Solidarity Tax, and Foreign Travel Tax.
• Charges to be reduced by 25%: Passenger Service Charge and Security Charge.

Projected Impact on Airlines and Passengers

The removal of ECOWAS air ticket taxes is expected to significantly lower fares. The bloc projects that ticket prices could fall by 30% to 40%. This reduction is forecast to drive a major surge in demand.

Modelling from the ECOWAS Commission and the African Airlines Association (AFRAA)'s 2024 market outlook suggests massive growth. Intra-regional passenger numbers could climb to between 12 and 15 million annually within three years. This growth would strengthen domestic and regional airlines. It would also accelerate West Africa economic integration.

Currently, a short Accra to Lagos flight can cost US$350 to US$450. A return ticket from Accra to Dakar averages US$650 to US$900. The new policy aims to make affordable air tickets the norm. This will enable greater mobility for traders and tourists.

Learning from Liberalization

Experts point to historical precedents for this reform's potential impact. Europe's air transport liberalization from 1992 to 2000 saw fares fall over 15%. Flight frequencies surged by 88% in the same period. Similarly, Morocco's full market liberalization in 2006 intensified competition. This pushed fares down by about 7% and helped boost tourist arrivals.

In South Africa, the adoption of low-cost carrier models transformed the market. For instance, FlySafair expanded its capacity by nearly 800% between 2018 and 2024. These examples underscore the growth potential unlocked by liberalized skies and reduced fiscal burdens.

Oversight and Implementation Challenges

To ensure compliance, the ECOWAS Commission has established a new Regional Air Transport Economic Oversight Mechanism. This body will track implementation and monitor fare changes. It will also publish regional comparisons to ensure member states adhere to the new measures.

Key challenges remain for the region's aviation sector. West Africa currently accounts for barely half the air traffic of North Africa, despite a larger population. Only the Accra-Lagos route ranks among Africa's top 10 busiest intra-African routes. The reform's success hinges on airlines passing savings to passengers. It also depends on all active member states fully implementing the Supplementary Act. Active members include Ghana, Nigeria, Senegal, and Côte d'Ivoire.