The Chief Executive Officer of West Link Airlines, a charter operator, Capt. Ibrahim Mshelia has described civil aviation regulations in Nigeria as great moves, but limiting the growth of the airline sub-sector.
Mshelia also said that the Federal Government through its multiple charges was responsible for the early deaths of the Nigerian airlines.
Speaking with Niarametrics in Lagos during the week, Mshelia said that the regulations were discouraging and contributed to the collapse of some of the indigenous airlines.
Over-burden charges
According to him, the airlines are overburdened with charges, thereby limiting their potential for growth and expansion.
Mshelia explained that some of the unnecessary charges are passed over to the flying public, which makes air tickets expensive and reduces traffic for the airlines, while others are borne by the airlines.
- He said: “So, the regulation has been a great move, but it has been retrogressive for us as operators. It is very discouraging and they blame the airlines for not surviving. It is the government that is killing the airlines.
- “There are so many experts in the industry; there are more experts than listeners in the industry. Apparently, people who find themselves in positions of authority in the industry tend to either forget their background or listen to this advice. There are too many cooks; you cannot continue to overcharge or stagnant them.
- “The Nigerian College of Aviation Technology (NCAT) is a service provider, owned by the government. The government has decided to maintain and keep NCAT. Why are you charging the operators to maintain NCAT? Everything you charge an operator for, adds to the ticket of the passenger or it adds up to the passenger and the man not being able to charge the appropriate fare because the people won’t fly.
- “If I sell a ticket at $500 to Lagos, who will fly $500 from Abuja to Lagos? The passenger load will drop drastically. Therefore, it is only better to make it affordable. Instead of the government withdrawing their demands from the private people and allowing them to function within the economics of their own business, they overloaded demands on the sector. That is the only thing.”
Nigerian Airports with 27 charges
Last month, the International Air Transportation Association (IATA) rated the Lagos and Abuja airports in Nigeria as the most expensive to operate in terms of levy and tax charges in the world.
In his presentation in Abuja, Mr. Kamil Al Alwadi, the Vice President of IATA, Africa and Middle East, said that Nigerian airports charge foreign airlines about 27 levies, making it the most expensive in the world and discouraging airlines from flying into the country.
Alwadi criticized the Nigerian government for stiffing airline operations with heavy and sundry levies and taxes.
He lamented the stunted growth in the region, especially Nigeria, calling on the Nigerian government to create a conducive environment for airlines to operate and thrive.
- “In recent research conducted it was discovered that the most expensive airport in Africa is Abuja airport, followed by Lagos airport. With all these exorbitant charges, Nigerian airlines can’t compete with their foreign counterparts.
- “Africa has put itself in a place where it cannot help its own, expensive fuel, excessive charges, leasing and insurance through the roof, the airlines need to be financially viable too. The airlines contribute to the country’s GDP, but Nigeria needs to decide what to do for them to survive”, he said
13/10/2023
It’s a pity and a catastrophe for the FG, aviation captains advisers, successive ministers and heads of affairs iin FAAN not to understand how the aviation sector needs to be nurtured. All they see is money, how to make more revenue from levies, surcharges, hiked jet fuel rate and airport usage, money to the detriment of the investors, Nigeria and the public. Every issue raised by all concerned are facts and the studies and findings by IATA only confirms the facts but the FG will continue in their normal mordus operandi. All the infrastructures and key industries Nigeria without exception the airports and aviation sector are better off and well managed by foreign corporations or else the so-called FG and aviation chiefs will never all the sector to flourish or survive. So many airlines have been wound up, great airline alliances destroyed, foreign and indigenous carriers bankrupted by hefty taxes and transatlantic partnership unviable. Why should local flights cost as much and/or much more than transatlantic and regional carriers?? Any industry with direct FG involvement will never work for the good of the nation, industry, investors or the people. The regulators in every industry in Nigeria are not regulating anything but benefit seeking. The FG and the people at the helms of affairs are not up to the task and. they will not give the real and true experts a free hand. The FG should learn from other countries but pride and greed has been substituted for intellect and knowledge. The successive government and all sundries have deliberately positioned and continually position Nigeria as the underdog of Africa instead of the giant or leader it ought to be. Ultimately boils down to poor leadership and corruption. Oh, if the industry is not rejuvenated and a new model of management safety of travellers would be a serious issue and proper maintenance as local airlines are struggling to stay in business but the government are least concerned or thinking along this line. Thank you