TheCitizen - It's all about you
  • Home
  • Headlines
  • Latest News
  • Governance
  • Business
  • Financial Crimes
  • Opinion
  • Editorials
No Result
View All Result
TheCitizen - It's all about you
  • Home
  • Headlines
  • Latest News
  • Governance
  • Business
  • Financial Crimes
  • Opinion
  • Editorials
No Result
View All Result
TheCitizen - It's all about you
No Result
View All Result

Aviation sector remains a messy field – Punch

The Editor by The Editor
May 4 2023
in Public Affairs
A A
0
Nigeria Air project to gulp $300 – Fed Govt

The recent warning strike by aviation industry workers’ unions over sundry issues, including poor welfare packages and the government’s move to pull down a building housing some key agencies at the Murtala Mohammed International Airport, Lagos, refocuses public attention on Nigeria’s troubled aviation sector. Beyond the sit-ins, the recent purchase of firefighting trucks at controversial prices, the failed national carrier dream and the crisis of trapped funds of foreign airlines suggest that the President, Major General Muhammadu Buhari (retd.), and the Aviation Minister, Hadi Sirika, after eight years, are leaving the aviation sector in the messy state they met it.

The strike left hundreds of intending air travellers stranded and was called by the National Union of Air Transport Employees, Air Transport Services Senior Staff Association of Nigeria, National Association of Aircraft Pilots and Engineers, and the Association of Nigerian Aviation Professionals, who demanded, among other things, that the planned demolition of aviation agencies’ headquarters in Lagos be halted, and the implementation of earlier approved conditions of service for workers.

The government has made efforts, but these have not been enough to transform the sector. The crises bedevilling the industry are multi-faceted. Airlines are in precarious financial positions; maintenance facilities are patchy, and there is no national hangar that can handle major aircraft.Corruption and incompetence persist in the regulatory agencies, and the poor state of facilities raises safety concerns.

Apart from a few aircraft and flight frequencies in relation to the country’s population size, airfares are prohibitive. The National Bureau of Statistics’‘Transport Fare Watch’ report November 2022, showed that average cost of airfares in Nigeria increased by 97 percent, from N37,022.97 in November 2021 to N73,267.57 in November 2022. The trend has continued in 2023.

The rise is largely blamed on the aviation fuel shortages, which began in February 2022, and the plummeting naira exchange rate. JetA1 rose from N200 per litre in December 2021 to over N400pl in February last year; and to N800pl in2023. Local airlines now fly to neighbouring West African countries to source aviation fuel; international carriers have simply stopped refuelling in Nigeria.

The Airline Operators of Nigeria warned that if unresolved, the crisis would force airlines to suspend operations. It also identified multiple taxes as eroding the revenue of carriers, as well as regulatory, institutional, and structural challenges; poor infrastructure; and under-investment.

The government has prevented international airlines from repatriating about $802 million from the country mainly due to dollar shortage. Local laws stipulate that the airlines sell their tickets in naira, but the carriers have opened their foreign currency window for Nigerian travellers and selling tickets at prices double what is obtainable in Ghana for the same destinations.

With less than a month to go, the Buhari regime has not undertaken the promised concession of airports and creation of new airport cities (aerotropolis). It had hinged its aviation programme on the concession of the airports and listed some viable international airports for that purpose. Sirika in 2016 unveiled the Aviation Roadmap aimed at transforming the sector with deliverables like a new national carrier, Maintenance Repair and Overhaul facility, and creation of aerotropolises at major airports.

The Lagos, Abuja and Kano airports last year got designated concessionaires, but the process has stalled due to official tardiness and opposition by the unions.

Instead of reforming the statutory agencies for efficiency, and creating an enabling and liberalised environment for private domestic and foreign investment, Buhari and Sirika have been fixated on a government-promoted ‘national carrier,’ wasting time and resources in that forlorn quest.

The unions too should change their mindset. Current realities and the future of the aviation and allied hospitality and tourism sectors lie with private capital, not government ownership and control. The transformation of the sector through airports and allied facilities development are better left in the hands of private investors for efficient service delivery, profitability, and job creation. Their persistent opposition to privatisation and concession is retrogressive.

Markets N Research estimates the global airline market size at $513.5 billion (2022) and is forecast to reach $635.8 billion by 2030.Africa’s aviation market was valued at over $80 billion by the World Economic Forum in 2019 and projected to reach $176 billion by 2040. Nigeria’s current value of $600 million, a meagre 0.04 percent of GDP, is pathetic.

With other stakeholders, unions should insist on transparent asset sale and concessions only to competent investors and operators that combine expertise, global track record, name recognition, financial and technical capability. They should form investment vehicles and seek financial partners to position their members as investors, including the management buy-out option.

Aviation is an international business; countries that make their environment most attractive to investors under liberalised regulatory frameworks are the winners. Britain’s privatisation and liberalisation has seen Global Infrastructure Partners led by a Nigerian, Adebayo Ogunlesi, winning concessions for three major airports in the country, and with other investments in several other airports, seaports, and energy infrastructure around the world.

The unions’ call for a comprehensive forensic audit of the projects undertaken under the Aviation Roadmap is on target; their opposition to further approvals for new airports by state governments is also right as most of the country’s 32 airports are not commercially viable; governors build idle, unviable airports as political projects.

The new MMIA terminal opened in March 2022 has virtually been abandoned by airlines due to design flaws. Touting and lax security, which manifests in lack of perimeter fence, invasion by grazing animals, infiltration by stowaways and bandits, and terrible sanitary conditions prevail at Nigeria’s international airports.

Consequently, none is rated among the first 10 in Africa. The top three rated by Skytrax in 2021 are all in South Africa, followed by one each in Mauritius and Morocco respectively. There are bright spots like winning long-sought IATA certification.

The incoming government should avoid Buhari’s and Sirika’s inertia and vigorously prosecute a liberalisation programme to attract investments, create jobs, infrastructure, and facilitate competitive Nigerian-owned private airlines of global standard that would utilise the country’s Bilateral Air Service Agreements for maximal national benefit.

Previous Post

Doguwa stays in House Speaker race despite alleged murder trial

Next Post

Nigeria’s World Cup dream on edge as Morocco beat Golden Eaglets 1-0

Related Posts

Police, Oyo LG deny release of kidnap victims after Igboho’s ultimatum
Public Affairs

Tinubu’s extended absence – Punch

October 8 2026
FG secures $747m loan for Lagos-Calabar Highway
Public Affairs

Disorder on Lagos-Calabar Highway – Punch

October 7 2026
Averting another workers’ strike – Punch
Public Affairs

Averting another workers’ strike – Punch

October 6 2026
Tele-robotic surgery: Nigeria needs more medical feats – Punch
Public Affairs

Tele-robotic surgery: Nigeria needs more medical feats – Punch

September 25 2026
2027: Voter registration figures must mirror turnout – Punch
Public Affairs

2027: Voter registration figures must mirror turnout – Punch

September 17 2026
EFCC recoveries: The good, the bad and the ugly – Punch
Public Affairs

EFCC recoveries: The good, the bad and the ugly – Punch

September 11 2026
Next Post
Nigeria’s World Cup dream on edge as Morocco beat Golden Eaglets 1-0

Nigeria’s World Cup dream on edge as Morocco beat Golden Eaglets 1-0

Nigeria at critical juncture – Vanguard

As Nigerians slip away from happiness - Guardian

Leave a Reply Cancel reply

Your email address will not be published. Required fields are marked *

FROM THE GRASSROOTS

Minister defends King’s College concession, cites infrastructure decay

Minister defends King’s College concession, cites infrastructure decay

by The Editor
September 16 2026
0

...

Lagos demolishes shanties after four die in community clash

Lagos demolishes shanties after four die in community clash

by The Editor
August 30 2026
0

...

Kano, Sokoto, others spend N53.2bn on scholarships abroad

INEC fixes Sept 19 for Kano Assembly by-election

by The Editor
August 27 2026
0

...

Awujale: Ruling House sues Ogun, kingmakers

Awujale: Ruling House sues Ogun, kingmakers

by The Editor
August 25 2026
0

...

APPOINTMENTS

Enugu governor names Nollywood’s Eucharia Anunobi, Rachael Okonkwo aides

Enugu governor names Nollywood’s Eucharia Anunobi, Rachael Okonkwo aides

by The Editor
September 23 2026
0

...

Gov. Yahaya swears in 19 new Gombe permanent secretaries

Gov. Yahaya swears in 19 new Gombe permanent secretaries

by The Editor
September 11 2026
0

...

Niger State governor appoints six commissioners-designate, four aides

Niger State governor appoints six commissioners-designate, four aides

by The Editor
September 8 2026
0

...

Tinubu swears in Enitan as new Head of Service

Tinubu swears in Enitan as new Head of Service

by The Editor
August 28 2026
0

...

ODDITIES

Newly-wed pastor steps back from ministry after apologising over past affairs

Newly-wed pastor steps back from ministry after apologising over past affairs

by The Editor
October 6 2026
0

Residents find lifeless body in Akwa Ibom gutter, police begin probe

New co-tenant absconds with neighbour’s children in Akwa Ibom

by The Editor
September 17 2026
0

Palliatives: Sokoto residents feared dead in stampede at Wammako’s residence

Police Inspector slumps, dies after fitness exercise

by The Editor
September 3 2026
0

GLOBAL NEWS

US to livestream Fort Hood shooter’s execution

US to livestream Fort Hood shooter’s execution

by The Editor
October 9 2026
0

...

EU provides €225,000 aid to displaced persons in Kebbi

EU provides €225,000 aid to displaced persons in Kebbi

by The Editor
October 9 2026
0

...

France braces for nationwide school protests after injuries, mass arrests

France braces for nationwide school protests after injuries, mass arrests

by The Editor
October 6 2026
0

...

Gambia orders banks to replace foreign workers with locals

Gambia orders banks to replace foreign workers with locals

by The Editor
September 25 2026
0

...

Trump signs security deal with Greenland, Denmark at UN

Trump signs security deal with Greenland, Denmark at UN

by The Editor
September 23 2026
0

...

State of the States

Ogun pensioners demand gratuities, pension increases

Ogun pensioners demand gratuities, pension increases

by The Editor
October 9 2026
0

...

Auto Draft

Enugu Air opens international route to Cameroon, begins Enugu-Douala service

by The Editor
September 25 2026
0

...

I won’t be a godfather; Abia voters will pick my successor, says Gov. Otti

I won’t be a godfather; Abia voters will pick my successor, says Gov. Otti

by The Editor
September 17 2026
0

...

Fubara orders fresh LG elections in Rivers State

Fubara signs N1.84tt Rivers 2026 budget into law

by The Editor
September 3 2026
0

...

Plugin Install : Widget Tab Post needs JNews - View Counter to be installed
  • Trending
  • Comments
  • Latest
Ex-AGN president Rollas apologises to Regina Daniels, Ned Nwoko

Ex-AGN president Rollas apologises to Regina Daniels, Ned Nwoko

October 9 2026
US to livestream Fort Hood shooter’s execution

US to livestream Fort Hood shooter’s execution

October 9 2026
Bandits kill humanitarian worker in Sokoto

Bandits kill humanitarian worker in Sokoto

October 9 2026
How herdsmen invited new terrorist group, Lakurawa, to Sokoto

Lakurawa attack kills two soldiers, Chinese in Kebbi

October 9 2026

EDITORIAL REVIEW

Police, Oyo LG deny release of kidnap victims after Igboho’s ultimatum

Tinubu’s extended absence – Punch

by The Editor
October 8 2026
0

FG secures $747m loan for Lagos-Calabar Highway

Disorder on Lagos-Calabar Highway – Punch

by The Editor
October 7 2026
0

Averting another workers’ strike – Punch

Averting another workers’ strike – Punch

by The Editor
October 6 2026
0

Tele-robotic surgery: Nigeria needs more medical feats – Punch

Tele-robotic surgery: Nigeria needs more medical feats – Punch

by The Editor
September 25 2026
0

2027: Voter registration figures must mirror turnout – Punch

2027: Voter registration figures must mirror turnout – Punch

by The Editor
September 17 2026
0

Opinion

Candidate Sowore: Revolution, Marijuana and other stories

Candidate Sowore: Revolution, Marijuana and other stories

by The Editor
September 25 2026
0

...

 Akpakomiza and other stories

by The Editor
September 1 2026
0

...

‘Fake’ Agency: Adeyemi insists DG appointment genuine

Fake agencies: Why Nigeria still needs Oronsaye report

by The Editor
August 25 2026
0

...

How Adeleke danced back from the dead

How Adeleke danced back from the dead

by The Editor
August 19 2026
0

...

Plugin Install : Popular Post Widget need JNews - View Counter to be installed
  • Home
  • Headlines
  • Latest News
  • Governance
  • Business
  • Financial Crimes
  • Opinion
  • Editorials

© 2026 TheCitizen Ng. All Rights Reserved.

No Result
View All Result
  • Home
  • Headlines
  • Latest News
  • Governance
  • Business
  • Financial Crimes
  • Opinion
  • Editorials

© 2026 TheCitizen Ng. All Rights Reserved.