-Abdulkarim Sani
Nigeria’s aviation sector is estimated to contribute approximately $400 million to the economy, although many experts in the sector believe it is capable of contributing more, if an enabling environment is created.
The aviation industry is a catalyst for socio-economic development in both developing and developed nations. It provides the fastest and safest means of transportation of people and cargo locally and internationally, thereby promoting commerce and industry. While emerging economies like the United Arab Emirates (UAE) and Ethiopia are making great strides to exploit the sector, Nigeria’s lack of reliable aviation service providers has jeopardised its ability to grow and attract business.
Currently, the sector has few challenges, and for it to generate more income for Nigeria, the Federal Government must address a number of challenges to maximise the sector’s full potential. The first of such challenges is improving compliance with the International Civil Aviation Organisation (ICAO) global standards. In Nigeria, only two airports currently comply with the ICAO global standards. They are: Abuja and Lagos airports.
In addition, the slow implementation of the Yamoussoukro Decision (a multilateral agreement between Africa’s 54 countries designed to liberalise the continent’s aviation market) has created regulatory impediments to operational freedom and investments, resulting in lower connectivity across the continent and a lack of competitiveness among African airlines.
Notwithstanding the challenges facing the sector, President Muhammadu Buhari’s administration has, by way of its recent pronouncements and policies (which include the full implementation of an aviation roadmap), shown readiness to maximise the industry’s economic potential and stimulate the growth of the country’s economy. These include a comprehensive security threat and vulnerability assessment; the procurement of modern, state-of-the-art equipment; and the concession of the four major international airports in Lagos, Port Harcourt, Abuja and Kano after an infrastructure upgrade.
Others include the plan to re-establish a national carrier, which will help the country to gain optimal benefits from the Bilateral Aviation Safety Agreement and the Multilateral Aviation Safety Agreement; and the establishment of a world-class maintenance repair overhaul facility that will attract clients from around the world.
Prospects of Aviation Act to boost sector
With the aviation amendment act almost being passed by the National Assembly, there are high hopes that the Act will boost operations in the sector.
Corroborating this, Nigerian Civil Aviation Authority (NCAA) has assured aviation practitioners that the pending Civil Aviation Act will address irregularities in the sector, especially sharp practices by private jet operators.
The Director-General of the NCAA, Capt. Musa Nuhu, acknowledged complaints and irregularities in the sector, while pledging their commitment in checking all the excesses.
Nuhu stated this recently at the African Business Aviation Association (AfBAA) where he said that out of the 95 aircraft in the country, 72 are still not registered in Nigeria, in violation of the extant rules.
It would be recalled that the illegal incursion of private jet operators into commercial scheduled services and airlift of passengers for reward has been a dominant complaint lately.
The Nigerian Civil Aviation Regulations 2015, Part 18.2.3,1 stated that Air Transport License (ATL) holders and Airline Operating Permit (AOP) holders with valid Air Operators Certificate (AOC) are the only ones authorised to carry out charter operations in the country, as no person shall use aircraft in Nigeria for hire and reward without the above requirements.
Nuhu confirmed the gross violation of the aviation rules, with some private jet owners exploiting gaps in the Act. He observed that though regulating the black market was tough, the NCAA has not relented in carrying out due investigations and issuing sanctions to violators.
He added that the new Act and effective capacity in regulatory oversight would fully address the problem. The new Nigerian Civil Aviation Act, among others, is currently at the National Assembly awaiting passage.
The general aviation arm of Nigerian civil aviation has lately stabilised, with about 46 out of 76 aircraft active. He, however, regretted that majority of them are still not registered in Nigeria, despite the law that mandated local registry after 12 months of operations and six months renewal grace.
“The Nigerian Civil Aviation Regulation (NCARs) Part 8.2.1.9 allows foreign aircraft to operate locally for 2-12 months and an initial renewal of another six months. I must say a lot of operators have found a way to get around that requirement by going out and returning, to go through the process again.
“Yes, it is a bit unusual where you have foreign registered aircraft much more than the Nigerian registered in the country, and we try to encourage the foreign-registered to de-register and register here in Nigeria.
“We are getting there but at a very slow rate and maybe they need to see a more stable macroeconomic environment so they can de-register and put in a Nigerian registration. A bit more confidence in the regulatory function will help do that. We try to work with them to see how they can de-register. I’ve seen a couple of requests for that and we are making progress,” Nuhu said.
Also speaking, the Charter airline operator and Chairman of West Link airline, Captain Ibrahim Mshelia, had described operations of private jets in commercial services as economic sabotage.
Mshelia said the NCAA and the Directorate of State Security (DSS) should go after such people for both security and economic infractions that deprive the sector of a mandatory five per cent Ticket Sales Charge (TSC), among others.
Mshelia said, even passengers of those illegal operators were endangering themselves.
“If anything happened to them (passengers), the owners of aircraft would leave as the aircraft was not certified for hire and reward and so would not even compensate them or their families.
“The fact is that the government should be more worried because it is losing a lot of revenue. I pay the five per cent Ticket Sales Charge (TSC), even if I don’t have the cash with me. I owe it and I must pay it and I can’t jump it. But those that are doing these sharp practices are not captured in the NCAA data. So, the NCAA cannot go after them,” Mshelia said.