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Fed Govt insists on $300 helicopter landing levy

The Editor by The Editor
May 13 2024
in Governance
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Fed Govt insists on $300 helicopter landing levy
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The Ministry of Aviation and Aeros Development has said there is no going back on the newly introduced levy for helicopter operators in Nigeria.

This is coming against the backdrop of recent protest from helicopter operators which queried the rationale for the imposition of the new levy.

The operators had said the new charge amounted to multiple taxation.

The federal government had granted a consultant, NAEBI Dynamic Concepts Limited, exclusive rights to collect helicopter landing levies.

Head, Press and Public Affairs of the Ministry, Odutayo Oluseyi, in a statement stated that the introduction of helicopter landing levies, was “in line with international best practices to enhance the quality of helicopter operations,” saying the move was “a cost recovery measure.”

The Ministry said it “recognizes the importance of helicopter operations in Nigeria’s aviation industry and is committed to implementing international best practices in helicopter operations through its agency – Nigeria Airspace Management Agency (NAMA).”

The Ministry’s statement read: “Helicopter landing levies are commonplace in countries such as the United States, the United Kingdom, India, and various regions worldwide.

“For instance, Tallahassee International Airport in Florida began implementing helicopter landing levies under Vector Airport Systems since October 1, 2022. Helicopter landing levies are common across airfields in the United Kingdom, ranging from major commercial ones to small general aviation fields. Typically, helicopter levies match or exceed those for fixed-wing aircraft, varying based on factors like location and services provided.”

It reiterated that the exclusive rights granted to NAEBI to collect the levies was in line with the MoU between it and NAMA (focal Agency), Federal Airport Authority of Nigeria (FAAN) and the Nigeria Civil Aviation Authority (NCAA).

“It is instructive to note that NAMA under the Act as amended in 2022 is empowered to collect aeronautical revenues in both the upper and lower airspace to support her self-sustainability.

“However, over the years NAMA has predominantly relied on the upper airspace for her revenue generation. Government in her wisdom having discovered a lacuna on the lower airspace where helicopter operations is dominant directed NAMA to live up to her responsibilities to enable them generate enough resources to sustain their aeronautical architecture, enhance security and surveillance, and improve the overall quality of helicopter operations in Nigeria.

“We are confident that this move will improve capacity, efficiency, safety, security, and attract more investment in the aviation industry. We encourage all stakeholders to be committed to this laudable initiative that has followed due processes and procedures, and should embrace the new normal,” the FG stated.

Helicopter operators had objected to the new charges and vowed to resist it including shutting down operations which could affect the nation’s oil output.

Most of the operators provide logistics service to the oil and gas companies in Nigeria.

Capt. Ado Sanusi, Chief Executive Officer of Aero Contractors, said the new levy would amount to additional burden on the already struggling operators.

According to him, there is no basis for charging the levy when most of the helipads were privately-built platforms.

“They say each landing on the platform, you have to pay $300. Who built the platforms? FAAN had no input or contribution in building the platform. So what is Naebi dynamics providing? What are the services of Naebi Dynamics? They are providing no services. If they are providing no services for the helidecks, then why would they charge $300? What is the basis of charging $300? I still don’t understand why they would charge for landing on the platform or is it because you want to tax? Why don’t you go ahead and say for each barrel that we sell you want to take $200. For doing nothing, why don’t you take it from each barrel?”

 

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