The Nation Newspaper

Category: Aviation

  • Minister: why govt plans to review commercial agreements

    Minister: why govt plans to review commercial agreements

    The Federal Government has said  it will not abolish payment of royalties by foreign carriers on commercial and bilateral air services agreements.

    Rather, it is going to review commercial agreements to enable it earn more revenue in view of falling oil prices.

    Part of the new arrangement will include payment of a new fee on air agreements that would profit the country more than mere royalties.

    The revenues expected from the review will position the aviation sector as strategic and make it to contribute significantly to the Gross Domestic Product (GDP).

    The Minister of Aviation, Osita Chidoka said the review would bring more revenue for government compared to what was paid into the Federation Account from royalties by foreign carriers.

    He did not say how much is expected from the new payment regime for commercial air agreements from foreign carriers.

    There are about 27 foreign carriers operating into Nigeria with some enjoying more than a single entry.

    The airlines include: British Airways; Lufthansa; Emirates; Air France/ KLM; South African Airways; Ethiopian Airlines; Egypt Air and Turkish Airlines.

    Chidoka said the new arrangement would generate new revenue for government to address key infrastructure issues in the aviation sector.

    He said government decided to come up with the review as part of efforts to explore areas where the  sector could fetch more money.

    Chidoka said government is aware of the directive by the International Civil Aviation Organisation (ICAO) requesting member states to further liberalise air transport by abolishing the collection of royalties.

    Government, he said, is studying the ICAO directive to ensure that Nigeria maximises the inherent potentials of its air transport agreements.

    Chidoka said: “Government has not abolished the payment of royalties on commercial air agreements. What government is putting in place is a new payment regime that would not be called royalties. Foreign carriers operating into Nigeria will still pay for agreements in an arrangement to be worked out by government.

    “It is not that foreign airlines operating into Nigeria will stop paying. The Federal Government is changing the mode of  payments. So, we are waiting to put that in place.

    “So, we have extended the commercial agreement to March this year. So they are still paying and they will keep paying till March this year pending when we replace it with a fee that gets Nigeria more income from this strategic asset. That is what our commercial air agreements are to Nigeria. It is a natural asset.

    “So, we are trying to make sure that as foreign airlines lift passengers from Nigeria, government will get more resources from such operation. The idea is to ensure that government earns more revenue that we are getting under the commercial agreements. For now, foreign carriers are still paying  royalties to government till March , after that  time it will be reviewed.”

    Nigeria has over 78 bilateral, multi lateral and commercial agreements with many countries.

    Conservative estimates put earnings from  such commercial and bilateral agreements at about $25 million annually.

    Industry experts say the $25 million accruing annually from such agreements is paltry and urge the government to carry out a review to earn more revenue.

    Some experts say government could earn as much as N30 billion annually if it introduces slot allocation system at major international airports.

    Slot is a system whereby the airport management sells landing time and space to an airline for extra slots in addition to the existing frequency agreement between the country that owns the airline and Nigeria.

    The Ministry of Aviation last year informed foreign carriers of plans to stop the collection of royalties, a development that  drew the ire of some experts in the sector.

    The Ministry had earlier set October 27, last year as the implementation date, but later postponed it to March this year.

    Domestic operators, acting under the aegis of the Airline Operators of Nigeria (AON), have urged the government to design new measures that would earn it more revenue from the billions carted way by foreign carriers.

    In particular, the operators say a review of all commercial air agreements is long overdue, arguing that airlines granted multiple entry points into Nigeria should be made to pay heavily for their operations.

    Airlines enjoying multiple entry points into Nigeria include British Airways; Air France / KLM; Virgin Atlantic Airways; Lufthansa German Airlines; Emirates; Egypt Air; Ethiopian Airlines and Turkish Airlines.

    Group Captain John Ojikutu (rtd) described the proposed review of commercial agreement as long overdue.

    He said it is impressive that government has realised that it is losing revenue as the royalties paid by foreign carriers are inadequate compared to the money they make in the country.

    He said Nigeria is not gaining enough from the 78 bilateral air services agreements it signed with many countries.

    Ojikutu called for a reversal to the single entry point in Nigeria for foreign carriers in line with the principle of reciprocity under which such agreements are signed.

    Experts, however, argued that more money could be earned if governments introduce slot allocation system at airports for foreign carriers.

    Only indigenous carriers will be given “ grand father rights “, priority.

    Other carriers are expected to apply for and pay to get landing and take off rights at major international airports.

    Aviation experts such as Mr Chris Aligbe, aviation economist, Mr Taiwo Adenekan  and Managing Director, Medview Airlines, Alhaji Muneer Bankole  have canvassed slot allocation system for foreign carriers as a window to generate revenue for government.

    They said the revenue lost to the abolition of royalties and commercial agreements could be regained if the slot allocation system is adopted.

    Slot allocation system, according Aligbe,  is  the right granted by an airport owner, which allows the slot holder to schedule a landing or departure during a specific time.

    He said: “A landing slot, takeoff slot, or airport slot is a right granted by an airport owner which allows the slot holder to schedule a landing or departure during a specific time period.

    “Landing slots are allocated in accordance with guidelines set down by the IATA’s Worldwide Airport Slots Group. All airports worldwide are categorised.

    “Allocated landing slots may have a commercial value and can be traded between airlines.

    “If an airline doesn’t use an allocated  slots  then it could lose the rights. Airlines may operate ghost or empty flights to preserve slot allocations.

    “We should go ahead and create a slot allocation system and move away from bilateral air services  agreements (BASA) and royalties because BASA royalties is a disappearing phenomenon that will become anachronistic in many places and they tell us it is commercial, they have transferred earning from BASA to slots.”

    Aligbe insisted that payment for royalty or demand for royalty is becoming outdat­ed and no longer obtainable in the industry.

    Rather  than depend on royalties arising from the commercial agreement,  the government should commence slot allocation systems for airlines operating into Nigeria.

    He argued that in today’s global aviation industry, players are requesting for open skies, multiple designations, instead of dual designations and freer air, adding that as a result of open skies agreements, none of the United States (U.S) airlines operating into the country pays royalty to the Nigerian government.

    He argued that with effective slot allocation  system, the Nigerian government would earn much more revenue from the system than it is presently earning through commercial agreements from airlines.

    He said: “What has come into place now is slot allocation system and the money made from slot, if we have one will be 10 times more than the royalties that we are currently getting from the airlines. In Europe and America, they have created slot as a quota system based on the argument that they have congestion and that slot has become very difficult to get.

    “That was why when Arik Air applied to London from Abuja,  it was asked to pay for a pair of slot, the sum of 9,000 pounds daily. This  means if you are going to fly seven times a week; that is 9,000 pounds times seven weekly.

    “Royalties should be phased out completely and we should put in place the slot system. Even in the books of airlines, the Lloyds did a study on European airlines, the money they earn from the secondary sales of slots is beginning to enter their account books. Some of them make now over 30 million and 60 million pounds. That is even the airlines and not the airport itself in secondary trade of slots”.

    Experts say Nigeria could make about N30 billion annually from slot allocation to foreign airlines as an alternative to royalties paid on BASA.

    The accruals will come from extra frequencies given to the airlines as many of them operate from different entry points in the country.

    For example, when Arik Air wanted to fly from Abuja to London, the airport management in London, the British Airports Authority (BAA) insisted the Nigerian airline should pay for slot amounting £250,000 (N63, 098, 225) per schedule (there are Summer, Winter, Autumn and Spring schedules) which is equivalent to quarter of a year.

     

     

     

     

     

     

     

     

    UK and Nigeria have bilateral agreement that offered 14 frequencies to both countries, so while British Airways utilises seven frequencies between London and Lagos a week; Virgin Atlantic utilises the remaining seven frequencies between Lagos and London per week.

    The federal government allocated only seven frequencies to Arik Air, which it is using for its Lagos to London operation. So when it wanted to operate from Abuja to London, BAA demanded the aforementioned sum of money per quarter of a year.

    So in the event Nigeria introduces slot allocation, these foreign airlines will start paying fees for the extra frequencies they operate from different airports in the country. For example, Ethiopian Airlines will be paying for slot to Enugu, Abuja and Kano, while Air France will pay for slot in Port Harcourt and Abuja; the same with Lufthansa and other airlines that operate into more than one airport in the country.

    The difference between slot and frequencies allocated on BASA is that the latter is periodic; it could be for a quarter, for a season etc, but BASA allocated frequencies could last for over 10 years, until both countries agree to review the BASA.

    Before now Nigeria was making about $25 million from the royalties paid on BASA annually (about N4,125,000,000), but now every country will have to migrate to slot allocation, which nullifies the old system of payment of royalties.

    Industry operators said the sale of slot allocation would multiply the earnings from royalties and could accrue to N30 billion annually.

    The CEO of Belujane Konsult, an aviation consulting firm, Chris Aligbe said Nigeria could be generating so much money if it had adopted the slot allocation system.

    “The critical issue in this country is that we should create slot allocation system. If we create it, the money we will make from slot will be almost 10 times the money we will be making from BASA and that is the truth. Nigeria can sell slots, they can sell it in a season, the next season they take it back. They can sell it for one year and the next year they take it back, and look for a higher bidder. This is a study by the Lloyds”, he said.

    The CEO of Med-view Airline, Alhaji Muneer Bankole urged the federal government to establish a strong policy on how foreign airlines should be paying for slots because that is the only thing the country could benefit from them.

    “If foreign airlines want to go into every airport in the country, they will be welcomed, but Nigeria should have something in return to develop Nigeria’s airports. This is because the foreign airlines are not adding any value; they come, drop and go. They are not establishing jobs for people; they are not putting anything on the ground for Nigerians,” Bankole said .

    In his comments, Adenekan said collection of money from air agreements are outdated .

    He said introduction of slot allocation system could earn more money for the country .

    Industry analyst, Olu Fidel Ohunayo seemed not to be optimistic about slot allocation working successfully in Nigeria. But he believes that, if government sees it as better option, it could embrace it. Many however noted that the way the situation is, Nigeria does not seem to have many options and for it to earn money from foreign airlines, it must introduce the slot allocation option.

    “I sincerely hope they have weighed their options before opting for slot allocation. Slot allocation is for congested airports and efficient use of time and space; that is not the scenario in Nigeria. The foreign airlines easily and quickly increase frequency courtesy of the Ministry of Aviation and the Nigerian Civil Aviation Authority (NCAA). How they expect slot revenue to effectively surpass and strengthen our carriers is really puzzling. Our policy, whether slot or BASA should encourage primarily the domestic airlines, while revenue should be secondary,” Ohunayo said.

  • UAE bank finances Etihad Airbus 380

    Etihad Airways has received financial support from Abu Dhabi Commercial Bank (ADCB) for its first Airbus A380-800 aircraft, which was showcased to the public at Abu Dhabi International Airport last week.

    ADCB is providing financing for one A380-800 aircraft following a competitive global request for proposal.  The A380 is the first of a fleet of 10 A380s on order from Etihad Airways to enter service.

    Chief Financial Officer of Etihad Airways, James Rigney said: “We are thrilled to secure strong interest from Abu Dhabi’s local banks as we continue our journey of expansion.  The new A380 marks the pinnacle of our service development with the unveiling of the Residence by Etihad bringing a new level of luxury to the skies never before seen in aviation history.

    “ADCB delivered competitive, market leading terms and conditions – a reflection of the growing sophistication of local banks’ knowledge and expertise that is now giving them the competitive advantage.”

    During the past 10 years, Etihad Airways has raised more than $8 billion from 68 financial institutions to fund the purchase of aircraft and engines.

    Ala’a Eraiqat, CEO and Board Member of ADCB, said: “We are delighted to have financed Etihad Airways’ first A380-800 following a competitive bidding process and share the success of this state of the art aircraft”.

    Also, Etihad  Airways has been selected Abu Dhabi-based FGB and the National Commercial Bank (NCB) of Saudi Arabia to provide financing for the purchase of a number of its Boeing 787-9 Dreamliner aircraft.

    The financing from FGB and NCB is provided through Sharia-compliant facilities following a request for proposal issued in May this year, which saw high levels of interest from global banks and leasing companies.

    Rigney said: “The deal with FGB and NCB provides financing that enables us to expand our fleet significantly and deliver an unrivalled product on the new Boeing 787, creating an unmatchable guest experience through our first-of-kind, re-modelled First, Business and Economy Class cabins”.

  • Avoiding congestion at Lagos Airport

    Avoiding congestion at Lagos Airport

    To avert congestion at the apron of the Murtala Mohammed International Airport, Ikeja, Lagos, air cargo freighters have been asked to patronise other airports. Re-routing of cargoes to other airports and subsequent expansion of the facility will reduce activities at the terminal, KELVIN OSA-OKUNBOR, reports.

    Unclearedcargoes at the  Murtala Muhammed  cargo  apron, have  left the section of the airport congested. The result is that the tarmac can no longer accommodate large cargo aircraft on account of limited space.

    Until the uncleared cargoes are removed from both the tarmac and apron,  the area will remain a no-go-area for big cargo aircraft, including Boeing 747 and Boeing 767.

    The reason for the pillage of air freight  during the temporary closure of the cargo terminal is due to the clash between Licensed Customs Agents and officials of the Lagos Airport Command of the Nigerian Customs Service  over operational procedures.

    The clash was heightened as neither the agents, nor Customs officials were ready to shift grounds over clearing procedures at the cargo-shed, which bordered on safety and security at the facility.

    While the closure was on, in-bound cargoes continued to arrive at the terminal without any clearance, leading to the congestion at the apron that was already over stretched.

    The terminal was reopened in  the first week of December. After the reopening came fresh concerns on how the cargoes would be cleared loomed.

    Importers have continued  to route their imports through the airport, which has added to the congestion at the apron.

    Some clearing agents and freight forwarders, however, have  raised  alarm over pilferage of unclaimed cargoes at the terminal.

    Chairman of the National Association of Government Approved Freight Forwarders (NAGAF), Mr Segun Musa, has cautioned that further disruption in operation at the terminal could further worsen the situation, adding that  the security and safety of cargoes could not be guaranteed.

    He said storage facilities at the terminal, including the apron are inadequate, as a result, theft  and  pilferage are now a commom occurence.

    Since the cargo terminal was reopened, heaps of cargoes have remained unclaimed as a result of payment of demurrage on the affected cargoes.

    Clearing agents, as well as ground handling companies and importers, are yet to agree on the payment of demurrage on cargoes  on the ground while the closure lasted.

    Importers have vowed not to pay the demurrage as the closure  was not caused by them. Discussions, it was learnt, are on going on how to resolve the impasse.

    To avoid confusion at the cargo terminal, the government, two weeks ago, advised operators of all cargo flights to find alternative entry points for their cargoes.

    The General Manager, Corporate Communications, Federal Airports Authority of Nigeria (FAAN),  Yakubu Dati, said the authority is constrained to suspend cargo flights into the Lagos Airport.

    FAAN, he said, has advised the Nigerian Airspace Manager Agency to issue a Notice to Airmen (NOTAM) to this effect.

    “This has become imperative due to the congestion created by the backlog of cargoes following the two-week closure of the terminal by the Nigerian Customs Service,” he said, adding that the authority has initiated measures to accelerate the clearance of these goods and return the situation to normal.

    He urged airlines and importers  to use alternative airports, explaining that the authority is constrained to take this measure for the time being for the safety and security of all concerned.

    The acting Managing Director of Nigerian Aviation Handling Company (NAHCO) Plc, Norbert Bielderman, has assured that the congestion would soon be resolved.

    He said the congestion was not anticipated as all stakeholders are working hard to ensure that the matter is resolved.

    Clearance  of goods at the cargo terminal is ongoing and should end by the first week of January.

    He said everything is under control and work is progressing at full blast. “All hands are on deck to ensure that the backlog is cleared. Currently we have cleared approximately 60 per cent. We are hopeful that the situation will be back to normal by the end of the first week of 2015. We currently do 24 hours decongestion on the tarmac, which has yielded positive result,” he stated.

    Bielderman said  the seven days-a-week work strategy, adopted by the company, has gone a long way in reducing the volume of cargo on the tarmac.

    “By joint agreement between the terminal operators, clearing agents and Customs, it was decided that work will continue despite the holidays to address the challenge,” he said, pointing out that this will enable all concerned to seek new ways and measures to address the problem of cargo congestion. This position was agreed between all stakeholders in cargo clearing business, he said.

    Bielderman explained that because of the nature of the task at hand, the senior management team would be on ground during the holidays and would continue to work until the situation gets back to normal.

    He said: “Due to the situation in cargo, I will not be going on leave. My senior management team and myself will be on ground during this holiday season until the situation is back to normal in cargo.”

    He praised the working relationship with stakeholders, saying that everyone is doing great to ensure the situation is contained, particularly Customs and clearing agents’ leadership. He appealed to importers for their understanding during this period, even as he promised that Nahco Aviance is doing everything possible to ensure that their shipments are delivered safely without further delay.

    “We truly never envisaged this situation. However, all necessary mechanisms have been put in place to guard against a repeat of this ugly incident,” he re-assured.

    Meanwhile, foreign airlines operating in Nigeria have canvassed expansion of the cargo apron at the Murtala Muhammed International Airport, Ikeja, Lagos.

    The airlines are worried that the limited size of the cargo apron is affecting their operations into Nigeria, as the capacity of the apron does not match the scale of operations.

    The president of Association of Foreign Airlines Representatives in Nigeria ( AFARN ) Mr     Kingsley Nwokoma said the cargo apron of the Lagos Airport   is long overdue after decades of its construction .

    He said the expansion of the apron will assist to reduce cargo congestion at the terminal.

    NAGAF, Murtala Muhammed Airport chapter has raised  alarm over possibility of tampering with the  cargo at the airport as discharged cargo flown in by foreign airlines litter the apron.

    The Chairman of the  Lagos Airport chapter of the association, Mr Segun Musa, said discharged cargo at   the airport apart from being tampered with  could be damaged by rain as there is inadequate cover under the shed  for discharged cargo.

    He said if ground handling companies have state-of-the-art equipment, it could facilitate speedy clearance of cargo at the terminal.

    Musa said the use of technology could hasten the clearance of cargo at the terminal, by reducing the use of manual procedures.

    Also speaking in an interview the chairman of PrimePorts, a freight forwarding and logistics firm, Mr Femi Adewunmi, has advised government to address infrastructure challenges at some international airports to reduce the traffic of cargo into the Lagos Airport.

    He cited the Port Harcourt International Airport as one of the airports to benefit from such facility upgrade.

    He said the congestion of cargo at the apron of the Lagos Airport could be addressed if other international airports are developed to handle high volumes of air freight.

    He cited the Port Harcourt International Airport as one of the airports to be developed into a cargo hub.

    Adewunmi said: “If the Port Harcourt International Airport, Omagwa, Rivers State is to develop into a cargo hub for the Southsouth region, the Federal Government should urge relevant aeronautical and other agencies to harmonise operational charges and tariffs, improve on  infrastructure as well address gaps in procurement movements.”

    The logistics, freight and clearing operator said until government puts in place incentives to drive cargo volume into the Port Harcourt International Airport, operators would continue to suffer congestion challenges at the Lagos Airport.

    He said most of the cargo meant for Port Harcourt are flown into Lagos , only to be moved by road.

    He said: “If government puts in place adequate facilities, such cargo by air would be flown directly to Port Harcourt thereby reducing congestion at the Lagos Airport.

    When the Lagos Airport cargo terminal was shut down, many importers suffered losses.

    If cargo by air were made attractive through other airports, the congestion that operators now suffer would be a thing of the past.

    Now that government has directed suspension of cargo flown into Lagos Airport, it is now clear to all that other airports have to be developed.

    We need to put in place deliberate policy to drive cargo development in other airports.

    The Port Harcourt market in terms of air cargo is worth several billions of dollars.

  • NCAA alerts pilots to harmattan haze hazard

    The Nigerian Civil Aviation Authority (NCAA) has  alerted pilots to the  harmattan dust haze at this period

    Its General Manager, Public Affairs, Fan Ndubuoke, said the  warning became imperative because harmattan poses obvious risk to aircrafts particularly in terrain with low visibility.

    He urged pilots to obtain adequate  information before departure, and in transit; destination weather information and briefing from the Nigerian Meteorological Agency (NIMET) before their flights.

    According to him, pilots are  advised to exercise maximum restraint when strong surface wind, fog or harmattan haze are observed or forecast, pointing out that the  alert is in line with the seasonal weather prediction issued by the Nigerian Meteorological Agency (NIMET) on the cessation of rainy season in 2014.

    Ndubuike  said:” The Harmattan is a dry and dusty wind that blows southwards from the Sahara across the country between the end of November to March, the following year. On its passage over the desert, it picks up large amount of fine dust particles (0.5 to 10 micrometers) which are transported hundreds of kilometres over the south.

    “The effect of the dust and sand stirred by the wind is known as Harmattan Dust Haze.

    “In addition, the consequence of the harmattan is a heavy fog hence air – to – ground visibility is considerably reduced.

    “Aerodrome visibility may fall below the prescribed minima and in severe conditions; dust haze can blot out runways, the markers and airfield lightings over wide areas. This makes visual navigation extremely difficult or impossible.

    “Resultantly, where visibility falls below the prescribed weather minima, flight operations are likely to be delayed, diverted or outrightly cancelled. All concerned are required to ensure compliance with this circular.”

  • New security measures at airports nationwide

    New security measures at airports nationwide

    Huge crowd at the international terminal of the Murtala Muhammed International Airport ,Lagos is generating intense concerns for the Federal Government, no thanks to poor access control at the nation’s premier gateway. As part of measures to stem any vulnerability, aviation authorities are designing new measures to re- jig the security architecture , KELVIN OSA OKUNBOR, reports.

    THE Federal Government is  set to re- jig the security architecture at airports nationwide. The new move, it was learnt, is coming on the heels of vulnerabilities observed at some airports.

    Government, it was learnt, is getting worried over some  unauthorised operations around the airport, which could pose serious threat to airport safety and security.Chief among such operations is touting. .

    The Minister of Aviation , Chief Osita Chidoka last week, described it as a sore point at the nation’s gateways.

    He said it is disappointing to find people milling around the arrival halls of the Lagos International , for activities that are unauthorised .

    Such practice , he said, is alien to aviation in other parts of the world.

    He has, therefore, directed relevant aviation authorities to rid the airports of persons who engage in unauthorised operations .

    Some industry watchers have complained about the porous security situation at the Lagos International Airport, adducing  access control at major airports as a sore point.

    Some aviation stakeholders  are clamouring for unified measures that would raise the stakes for airport security.

    Some experts have canvassed a review of the security system at the airports.

    Part of the new measures ,  experts suggested, is the overhaul of access control points into major international airport terminals to reduce overcrowding of unauthorised persons around arrival and departure halls.

    Relevant aviation agencies including the Federal Airports Authority of Nigeria ( FAAN), it was learnt, have  designed a blueprint to reduce the number of persons that mill around arrival halls  particularly at the Murtala Muhammed International Airport, Ikeja, Lagos.

    Worried over the ugly trend, aviation minister , Chief Osita Chidoka last week directed FAAN and other security agencies at the Lagos International Airport to rid the arrival halls of touts, who he said, have no business at the terminal.

    Chidoka said the presence of such people is giving the nation a bad reputation, even as they remain big security risks around the airport.

    Besides,the minister directed FAAN to design a security blueprint that will ensure that fewer persons are around the operational areas of the airport.

    He spoke of plans by government to put in place new measures to improve security, part of which he said will include the installation of new close circuit television cameras.

    The minister spoke of the need to boost security surveillance at airport terminals with the use of technology as it is the practice in other parts of the world .

    Chidoka said more aviation security personnel will be trained on latest technology to protect the airports in line with regulations and standard practices of the International Civil Aviation Organisation  (ICAO).

    He also spoke of plans to re- route the movement of vehicles around the airport terminal to facilitate free flow of traffic , which could threaten security around the airports.

    He said : ‘’If you have issue with the crowd at the airport and you don’t want the military to remove those people who are touts from the airport, then we have a problem in our hands .

    “Do you want our airport to be an all comers’affairs or do we want some controls to ensure that those who use the airport are legitimate and people who have business to do at the airport?.”

    The minister identified vehicular movement around the airport as part of the problems posing threat to airport security.

    He said there is an urgent need to re- route the movement of vehicles to reduce the crowd around the airport road.

    Chidoka said: ”The traffic control situation at the international airport is a little complex but we are going to resolve it. Since I came from a traffic control organisation, we are going to figure out how to make that traffic work. The challenges are clear, it is overcrowding, it is a lot of people going at the same time to the same destination.”

    He also spoke of plans to rework the schedule of airlines to reduce pressure on airport facilities.

    He said :” So many  airlines coming about the same time and the departure is about the same time, so we are looking at how to optimise the spaces we have  at the airport and see  whether there are other points from the airport that passengers can check-in through and be taken by bus to the international terminal.

    ‘’ I have set up a committee on airport optimisation, to look at all the spaces we have in GAT, in MMA2 and see whether a check-in process can be done without everybody having to come to   international terminal. So, we are looking at that and we are hoping that, that will help in solving that traffic problem.”

    He said a master plan would be put in place  to address airport security and other challenges .

    In his contribution, an aviation security expert, Group Captain John Ojikutu  (rtd), has canvassed a review of the security programme for the nation’s airports and airlines as one of the steps to boost security at the gateways .

    The review of the airport and airlines security programme, Ojikutu said, has  become imperative in the face of the current security challenges facing the country , for which the airports are not insulated.

    Ojikutu ,who is the chief executive officer of Centurion Securities, said government must quickly review the security programme .

    The former military commandant of the Murtala Muhammed International Airport, Lagos said the challenge of access control at the airport has become worrisome because of the presence of many security and para -military personnel at the terminal building.

    He said the presence of so many security personnel at the airport  terminal building has become worrisome because it is difficult to know which agency or outfit should take responsibility if there is any infraction  on safety and security.

    Ojikutu said : ‘’I do not think we are really doing enough in airport security . Government needs to raise the bar on issues affecting security at the airport.

    “First, it is important for government to review the aviation security programme for the airports and the entire system.

    “The content of the security programme is derived from the manual developed for the airport systems and airlines. All airports and airlines are supposed to have a security programme.

    Speaking in an interview, security expert and  chief executive officer of Avscon Securities Limited,  Mr Bayo Babatunde, recommended urgent and continuous training of aviation personnel, provision of high tech equipment and pre-emptive intelligence reports and investigation as proactive measures to ensure continued protection of Nigeria’s airports.

    But , Bayo Babatunde said that aviation security personnel  should de-emphasise physical security to intelligence gathering and use of technology.

    “The security protocols implemented at any airport are not only those things you can see with your eyes or hear; a lot evolve from a well-articulated and approved national security programme which is a resultant document based on a painstakingly documented security risk assessment and safety management system.”

    Meanwhile , FAAN said it has designed a detailed plan for the review of security architecture for airports nationwide.

    But, investigations revealed that the authority does not have the funds to cater for the security at the airports, which requires installation of gadgets and perimeter fencing

    The new security plan  includes the procurement of sophisticated counter terrorism gadgets and effective collaboration among security agencies.

    Earlier in the year, FAAN deployed next generation security system at the international terminal of the Murtala Muhammed Airport in Lagos.

    FAAN said the security system, known as ‘Advance Threat Identification X-Ray’, is located at nine different passenger checkpoints in the newly-expanded ‘D’ and ‘E’ departures halls of the terminal.

    Yakubu Dati, spokesman for FAAN, said that the system consisted of an explosives trace detector and high performance walk-through metal detectors to check passengers and their hand luggage for explosives, illegal weapons, contraband, narcotics and related items.

  • Arik increases flight frequency

    Arik Air has  announced plans to provide extra flights to key domestic destinations .

    The extra flights, the airline said, is response to yearnings of passengers  wishing to travel to various destinations across the country to celebrate Christmas and New Year .

    According to the spokesman of the airline, Mr Banji Ola, the  additional flights will extend from this week to next .

    He said: “ Instead of the average 120 daily flights normally operated by Arik Air, the airline will during the festive period, increase its daily flights to an average of 140.

    The key domestic routes that will be affected during the festive season are Enugu, Owerri, Calabar, Lagos, Abuja and Asaba.  On the mentioned days, Arik Air will increase the frequency on the Lagos-Owerri route from twice to thrice daily while Abuja-Owerri will increase from one to twice daily.

    Similarly, the frequency on the Abuja-Enugu route will increase to twice daily, Abuja-Calabar to twice daily and Lagos-Asaba to twice daily.”

    Arik Air had earlier last month increased the frequencies on some other key domestic routes like Lagos-Calabar, Lagos-Enugu, Lagos-Benin, Abuja-Benin, Lagos-Kano, Abuja-Kano, Abuja-Asaba and Abuja-Ibadan.

    Also speaking, the  Air Managing Director/Executive Vice President, Mr. Chris Ndulue, said the additional flights were necessitated by the need to ensure that many Nigerians have the opportunity of sharing the joy of the season with those closest to them.

  • Emirates seeks new opportunities in Nigerian market

    Regional Manager of Emirates Airline, West Africa Mr. Manoj Nair has said that the airline is seeking new opportunities in the Nigerian market, which he described as huge for the carrier.

    He said the airline is working hard to expand its operations in Nigeria, which would be carried out if serious market studies have been carried out.

    Speaking in an interview, he said Emirates would not extend further flights beyond Lagos and Abuja to Dubai for now until market demands require that it increases capacity to other cities.

    He debunked rumours that Emirates is seeking traffic rights into Kano, Enugu and Port Harcourt .

    Such information, he said, has been making the rounds for some years.

    He spoke of plans by the airline to offer competitive fares for Nigerian passengers, even as he said Emirates is not worried over the entrance of competitors on the route.

    He affirmed that more airlines on the route is a better deal for Nigerian passengers in terms of air  travel services .

    The Emirates manager said the airline will continue to deploy big aircraft on the Nigerian route to cater for the comfort of passengers.

    He said  Emirates airline has a lot of packages for its teeming  consumers which is classified into various leisure and business trips.

    He added that to facilitate the seamless travel experience of Emirates passengers across the world, the airline has decided to use it’s best aircraft like the Airbus A380’s and Boeing 777 with adequate facilities onboard to ease and bring comfort to the passengers.

    Meanwhile, over 200,000 passengers have used Emirates’ free onboard Wi-Fi since October this year, taking advantage of the airline’s service to connect with family, friends or colleagues when they fly.

    On most Emirates A380s, passengers can access 10MBs of free data, and send emails, blog, tweet, post on Facebook, or browse the Internet.

    Emirates currently offers Wi-Fi connectivity on 86 aircraft – on board all of its 56 Airbus A380s, as well as on 30 of its Boeing 777s.

    A comprehensive retrofit programme is also underway to install Wi-Fi capability across the rest of its fleet.

  • Arik pays N30b to FAAN, NCAA, FIRS, others

    Arik pays N30b to FAAN, NCAA, FIRS, others

    Arik Air  has paid over N30 billion to aviation agencies and the Federal Inland Revenue Service ( FIRS) since it started operations eight years ago, its managing director , Mr Chris Ndulue has disclosed.

    The amount, Ndulue said, covers payment for services rendered by the Federal Airports Authority of Nigeria ( FAAN), Nigerian Airspace Management Agency ( NAMA),  remittances for ticket sales to the Nigerian Civil Aviation Authority (NCAA) and taxes to the Federal Inland Revenue Service.

    He said the airline would continue to contribute its quota to the development transport  despite the operational challenges in the sector .

    Ndulue spoke against the backdrop of the listing of Arik Air among the top one hundred companies in Nigeria by the Federal Government.

    He said the airline  feels honoured to be listed among over three million companies selected by the Federal Ministry of Trade and Investment.

    Ndulue said Arik Air is the youngest of the companies honoured by government for its contributions to national development .

    The award he said will give more confidence to Arik Air partners both at  home and abroad.

    He spoke of plans by the airline to fine tune its operations next year by expansion into oil and gas ancillary services.

    Ndulue said the airline’s listing among one hundred companies in Nigeria would spur it to expand its regional and intercontinental operations to enable it serve its growing market .

    He said part of the expansion into oil and gas operations is to provide shuttle flights for major organisations operating on the Lagos- Warri and Escravos routes.

    The Arik Air boss said the airline qualified for the listing among the first one hundred companies in the country because the Federal Ministry of Trade and Investment and other organisers of the award considered the size of its business as well as contribution to national economic development .

    He said: “The selection process put a lot of things into consideration . The scale of operations of the businesses of the companies listed, their contribution to the gross domestic product and their value addition to the Nigerian economic development.

    “These I think were factors that guided the selection for Arik Air to be listed among the first one hundred companies .

    They also considered employment generation and contribution to government revenue . I think in the last eight years Arik Air has paid over thirty billion to government agencies for services rendered .

    “These agencies include aviation agencies . The money covers the relevant charges for our operations, as well as taxes where applicable .

    Since we  started operations in the last eight years we have made sound contributions to the development of aviation in Nigeria .

    This is part of what stood us out. We will continue to contribute to national development. This will give more confidence to our partners both at home  and abroad .”

    He further said :”We will continue to grow the business , we are encouraged , as a young company, we are still at the growth stage . We will make more progress and get more benefits for the award .

    “We expect some growth in our business , by expanding our regional and international operations . We are looking at few options in the domestic sector, we intend to connect some routes with the use of our Q400 aircraft . The aircraft is suited for operations tied to oil and gas .

    “We want to demonstrate that we can improve our operations through customer experience .

    We do not need new operators to make relevant changes in our operations .we want to improve efficiencies in all areas of our operations .this we have been working on in the past two years .

    “We are encouraged by this award . We expect some growth in our business in 2015. We are hoping to expand our operations , and look at expansion in oil and has operations by supporting companies to fly to Lagos to Warri and Escravos .

    “We are looking at on time performance . We want to improve on that and consolidate customer service . This is key because we are becoming aware that customer satisfaction is very important .

    The only competition is from old operators . We intend to increase efficiency in all key areas .

    We are looking at fine tuning our operations in every aspect to make Arik Air  the airline to beat .”He stressed that Arik Air will continue to strive to ensure that it transforms air transportation not only in Nigeria but the whole of the African continent. “This was the reason why we decided to change the old order in 2006 by operating brand new aircraft thus becoming the first operator of new aircraft in Nigeria in almost two decades.

    “This a call to do more and we at Arik Air will continue to improve on those qualities that have earned us this recognition because we believe that our best is yet to come. In the months ahead, we are going to be launching new routes as we strive to consolidate our position as the first choice for air travel within Nigeria and other destinations we serve in Africa, Europe and America,” the Managing Director stressed.

    Ndulue commended its passengers for their support in the last eight years .

    He said :”We are very grateful to our passengers for this continued patronage that has taken us to this level .

    Our passengers have supported us this far they owe the credit for whatever we have achieved  in the past eight years .

    “What is most delightful about our being listed among the top one hundred companies is that we are the youngest company in the whole list of over three million companies profiled .

    Apart from the youngest company in that category , we are also operating in the aviation industry , which    known to be very challenging .

    “To be able to get this kind of landmark achievement  within eight years is not a small feat .

    Part of the credit should go our passengers and employees , who have contributed to this award .

    “To be able to get this in eight years is very remarkable to overcome the challenge. There are a lot people who have laboured to grow this company within the last eight years overcoming all the challenges is not easy .”

  • ‘Govt urged to privatise airport’

    ‘Govt urged to privatise airport’

    Operator of the Murtala Muhammed Airport Terminal Two (MMA2) Bi- Courtney Aviation Services Limited has urged the Federal Government to privatise airports to make them more customer friendly and effective .

    The firm said if government could not embrace full privatisation, it could opt for concession model, which has the capacity to attract private sector investment .

    Its the head of corporate communications  Mr Remi Ladigbolu in an interview, said across the world privatisation and concession of airports are far becoming the best options.

    “It is only when government insists on managing its airports that challenges of under performing airports would come to the front burner,” he said.

    He said it was time government did a quick turn around to save Nigerian airports from being categorised as among the worst airports in the world.

    Ladigbolu said :”’ “Across the world, airports are being privatised outright, or given out as concessions to private operators. If Britain can concession Gatwick Airport terminal to a Nigerian, Adebayo Ogunlesi, what more do we have to say? What the industry needs desperately is a thorough liberalization and overhaul of the regulatory agencies to make them more efficient and more professional so as to be able to stamp out corruption.

    “The reforms at the seaports, though incomplete, provide a precedent, just as the success of the telecommunications sector liberalisation programme has delivered 110 million telephone lines, created hundreds of thousands of jobs and drawn in millions of dollars in foreign direct investment in 12 years.

    This demonstrates the enormous power that can be unleashed by leaving critical sectors to private capital.”

    In a related development an aviation expert has attributed the  high cost of airport infrastructure in Nigeria as one of the factors affecting the potential growth of the travel industry .

    Apart from the prohibitive cost of infrastructure , the expert who pleaded not to named said the required infrastructure to accelerate the growth of aviation are inadequate .

    He said Nigeria, as the largest economy in Africa requires massive infrastructure at affordable rate to drive air transportation, which is the key to sustainable and accelerated development.

    Speaking in an interview in Lagos, he said  said government needs to drive the growth of the industry by putting in place a policy framework that would attract private sector players to invest in airport infrastructure.

    He said: “If we are committed to the growth and development of the aviation industry government should address the challenge of air transport infrastructure.

    It is infrastructure that drives the growth of air transport and other support industries . But, in Nigeria,  unfortunately infrastructure is below standard.

    Infrastructure in Nigeria is low and also expensive.

    Until these issues are addressed it may be difficult to unlock the potentials that air transport offers .

    Government should put in place the right policies to motivate private sector players to develop infrastructure required for air travel.

    One way of doing this is for government to drive development through private sector inclusion . This indeed will not only drive development but , also generate thousands of jobs .”

    He said government should put in place development models that would accelerate development as is the practice other parts of the world.

    He said in the 1990’s Nigeria and the Republic of South Korea were at par In terms of infrastructure .

    Overtime, South Korea has shown enough capacity to develop aviation infrastructure that it is now one of the best in the world.

    He said :” It is frustrating to see in Nigeria that the potentials of the aviation industry as a driver for national development is not properly utilised.

    We need the private sector to push for change .”

     

     

  • Chidoka orders probe into aircraft damage at Lagos Airport

    Chidoka orders probe into aircraft damage at Lagos Airport

    Minster of Aviation Chief Osita Chidoka has ordered  that the destruction of the wind shield of three DORNIER Jets parked at the apron  of the old domestic wing of the Lagos Airport  be investigated.

    The minister said the probe would ascertain the cause of the incident.

    Chidoka said he received complaints from the aircraft owner, who is disturbed over the state of security at the airside.

    He said it was too early to establish sabotage as the reason for the destruction of the wind shield of the three aircraft  as alleged in some quartets .

    Chidoka said he had_General of the Department of State Services ( DSS ) , which officials have begun investigations to fish out those behind the act.

    The minister said: “The ministry has received complaints from the Chairman of Air Peace over the destruction of the wind shield of his three DORNIER Jets parked at the apron of the old domestic terminal of the Lagos Airport.

    He is very worried over the unfortunate development and is suspecting sabotage . I have assured him that we will find out what happened,  because this is unacceptable.

    I have reported the matter to the director general of State Security Services,  I can assure you that the matter is being investigated. “

    The minister also spoke of plans to improve security at airports, urging security personnel and others to step up measures to improve access control.

    He said security agencies including the Nigeria Air Force are assisting to implement new measures at airports.

    Last  month, the minister ordered a review of the state of security at all airport terminals.

    Chidoka noted that the FAA Category 1 status has provided the ministry opportunity to review all its security details and ensure safety of air passengers, saying he has ordered all the airline operators and airport officials to comply with the modus operandi.

    Acknowledging the remodelling of the airport terminals by the former Aviation Minister, Stella Odua, Chidoka said all resources would be deployed to upgrading of security at the airport and ensuring safety of passengers, in line with global standard.

    He said: “That is why I have ordered a total review of security at the airport with a view that they meet global best practices.

    “My predecessor has already focused on the remodelling of the terminal building, so there is nothing much to do about that, except to finish what is being done, so we need to move away from that and focus on the security and safety of passengers.

    He noted that the ministry is making sure that there is an alignment between the safety on air and security of passengers at the terminal building.

    “While we want the passenger to move in more comfortable manner, we don’t want to compromise the security of the airport, so our major strategy is to begin to look into the security component of our work.