Nigerian government lacks the will to implement good policies says Mshelia

By Oyise Oghene

Managing Director of Mishaviation, Captain Ibrahim Mshelia has said that Nigerian government lacks the will power to implement good policies in the aviation industry as such has continued to plunge the industry backward.

He stressed this while making a reference to the 2007 recapitalization policy in the Nigerian aviation industry which  only enriched the Corporate Affairs Commission (CAC) while the challenges facing the country’s airlines still continued unabated.

Princess Stella Oduah

He further noted that the recapitalization exercise just like most policies of the Federal Government did not contribute to the development of the industry but rather discouraged investors from investing in the aviation industry.

It would be recalled that the Federal Government through the Ministry of Aviation had set April 30, 2007 for all the indigenous airlines to recapitalise. For instance, domestic operators were made to recapitalise to the tune of N500m, regional operators attracted N1bn while international operators attracted N2bn.

But few months after the completion of the exercise, even, some of the airlines that scaled the hurdle started having challenges and led to their closing shops.

Mshelia explained further that the exercise was supposed to return whatever it took from the operators back to the system in order to grow the industry but only enhanced the CAC while the industry continues to witness myriads of challenges.

He said, “If you go to CAC, the thing is worked out and you will pay stamp duty of between N15m to N40m for your operations. Where does that money go to? It goes to CAC. Then, can you link CAC with aviation after that? The money, which was supposed to be used to strengthen the system, goes to somewhere else.”

“If the money was paid to the Nigerian Civil Aviation Authority, it becomes like the Bilateral Air services Agreement funds and it can be used to develop the industry, but you are paying to CAC. I think that policy should be abrogated completely because if you have procedures for licensing somebody for air transportation, which is in phases and in categories, you don’t need to embark on a wasteful exercise again”

Acccording to him, the poor policy implementations of the federal government also contributed in no small measures to the collapse of most Nigerian airlines as well as the bad advice given to the government by some professionals in the aviation sector.

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