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Repatriation of $450m Ticket Revenue Foreign Airlines, FG on War Path

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Repatriation of $450m Ticket Revenue Foreign Airlines, FG on War Path

 

By Edozie Obasi-Eze

The Nigerian government’s policy of blocking foreign airlines from repatriating ticket sales revenue running to $450m (N188.6bn) into their respective countries has set the duo on warpath.

The International Air Transport Association (IATA) on Sunday, in Doha, Qatar voiced concern over the stance by the FG, during a media briefing as part of its 78thn Annual General Meeting and World Air Transport Summit.

IATA’s Regional Vice President, Africa & Middle East, Kamil Al-Awadhi, described the Federal Government’s decision as unacceptable, adding that the development could have a negative effect on Nigeria’s aviation industry.

It was gathered that the amount of foreign airlines’ blocked funds in Nigeria, estimated at $208m in the third quarter of last year had risen to $283m in the first quarter of this year.

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The complex forex situation in Nigeria has forced the Central Bank of Nigeria to give priority to certain sectors of the economy in terms of approving requests for forex.

Al-Awadhi expressed the view that aviation was key to Nigeria’s economic growth and there was a need for the CBN to grant foreign access to repatriate their ticket sales revenue.

He averred the aviation sector was responsible for the creation of thousands of jobs and it would be wrong for the Nigerian government to deny carriers the opportunity to repatriate their revenue.

Al-Awadhi said he had visited Nigeria to meet with government officials over the blocked funds but was yet to get the desired results on it, which would necessitate a follow up visit by officials of the IATA, shortly.

He said, “Nigeria needs to start reducing the backlog. The Central Bank of Nigeria was not forthcoming on the blocked funds. It is sad that Nigeria owes the bulk of the entire blocked funds. This is very unacceptable.

“We heard that there is a shortage of dollars. It has been a hectic ride. We met with the Vice-President. We will keep checking. This is going to damage the image of the country. We are hoping that it will go down well. The figure is huge”.

According to him, the development is happening at a time carriers are coming out of the devastating COVID-19 pandemic which has affected carriers globally.

Al-Alawadhi said the situation had forced airlines to resort to funds from their reserves to finance operations.

Aviation

JUST IN: NCAA Suspends 3 Jet Operators

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The Nigerian Civil Aviation Authority (NCAA) has taken action by suspending the permits of three private jet operators due to their involvement in commercial flights.

Chris Najomo, the Acting Director General of the NCAA, issued this suspension during a briefing to all airlines on Tuesday.

Additionally, Najomo ordered a re-evaluation of all PNCF permits within a 72-hour timeframe.

The head of the NCAA stated that Festus Keyamo, the Minister of Aviation and Aerospace Development, had instructed the discontinuation of private jets’ commercial use in 2023.

Despite this directive, the operators persisted in their commercial activities.

Najomo said “Subsequently, in March 2024, the NCAA had issued a stern warning to holders of the permit for non commercial flights, PNCF, against engaging in the carriage of passenger cargo or mail for hire and reward.

“The Authority had also deployed its officials to monitor activities of private jets at terminals across the airports in Nigeria.

“As a consequence of this heightened surveillance, no fewer than three private operators have been found to be involved in violation of the annexure provision of their PNCF and Part 9114 of the Nigeria Civil Aviation Regulations 2023.

“In line with our zero tolerance for violation of regulations, the Authority has suspended the PNCF of these operators.”

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Keyamo Charges NCAT To Produce 4,203 Controllers By 2037

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Minister Festus Keyamo has urged the Nigerian College of Aviation Technology in Zaria, Kaduna State, to create new solutions that can speed up the training of skilled air traffic controllers.

This call comes as Africa anticipates a need for 4,203 new air traffic controllers by the year 2037.

The minister made this statement on Wednesday during the 34th IFATAC Africa and Middle East Regional meeting in Abuja.

Addressing the gathering, the minister noted that the goal of training 4,203 new air traffic controllers aligns with the projection from the International Civil Aviation Organization (ICAO).

He further affirmed the ministry’s commitment to offering full support to NCAT, ensuring it not only meets but surpasses its mandated duties and roles.

He said “ICAO projects that by the year 2037, Africa will require 4,203 new air traffic controllers. The onus rests on the Aviation College of Aviation Technology (NCAT) to develop innovative ideas solutions to accelerate the training of new and proficient air traffic controllers.

The minister, represented by acting director Michael Chiko from Air Safety and Administration, highlighted the rapid evolution of the air traffic control profession.

He stated “The profession of air traffic control has evolved rapidly, transitioning from simple flag signalling to sophisticated technologies. This evolution facilitates management of the surging number of aircraft traversing our
skies daily.

“As a vital, indispensable component of air safety, air traffic controllers are responsible for the safe, orderly and expeditious flow of air traffic. Therefore, I am not unaware of the critical role you play and invariably, the heavy burden you bear.

“This burden is compounded by increased air traffic, workforce shortages, technological shifts; necessitating rigorous training regimes.

“More so, with the emergence of unmanned aerial vehicles, reshaping dynamics and challenging the norm, it is thus paramount to prepare for the future and indeed Nigeria like other countries must prepare for the future.” he added

During the event, Mr. Lawrence Pwajok, representing Engr. Mohammed Odunowo, the managing director of the Nigerian Airspace Management Agency (NAMA), emphasized the relevance of the 34th IFATCA Africa and Middle East Regional meeting’s theme, titled ‘Shaping the Future: Trends and Insights On ATC Training for Tomorrow’.

Pwajok highlighted the significance of this theme, especially as air traffic control commemorates 100 years since its inception.

He suggested examining the historical perspective of air traffic control, tracing its origins from Croydon airport a century ago to its present form in modern airports like Dubai, Istanbul, JFK, Charles De Gaulle, among others.

This historical comparison aims to provide insights into the potential trajectory of the future air traffic control system over the next century.

He added “It is obvious that the future air traffic management system will be characterised by extensive application of automation, digitization and artificial intelligence.”

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Airlines Must Pay Compensation For Flight Disruptions – Keyamo

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Festus Keyamo, the Minister of Aviation and Aerospace Development, underscored the obligation for airlines to provide compensations in cases of flight cancellations and delays.

Festus Keyamo conveyed this directive during a meeting with the heads of agencies affiliated with the ministry on Tuesday.

He said, “We are not deaf to the cries of Nigerians about delays and canceled flights. The law is there and we are looking at how to enforce those laws for compensation of Nigerians who bear the brunt of cancellation of flights and disrupting the activities.

“The process of grounding the airline or taking the airlines to court will create more problems.

“So if the reason for the delay and cancellation of flight is their fault they must pay compensation. And what I am suggesting is that if they don’t get cash back they must get some rebate when they buy next ticket.

“I have set up a committee to look into it such that they can generate a code that they can use when they want to purchase the next ticket.

“We are concerned about the passenger satisfaction and the safety of the air travelers,” he said. The minister directed the Director-General of the Nigerian Civil Aviation Authority to prepare a weekly catalogue of canceled flights.

He further instructed the Nigeria Safety Investigation Bureau to finalize investigations into all air accidents and mishaps within the upcoming 10 days.

He said: “For the recent incidents that happened recently, some minor, and others classified as serious incidents although there were no fatalities. The NSIB is investigating these incidents and I have directed them that within 10 days from today they must submit their report of the incidents and what actually transpired.” he added

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