The Nation Newspaper

Category: Aviation

  • Why domestic airlines fail, by operator

    Why domestic airlines fail, by operator

    AN operator has explained the rationale behind the failure of some domestic airlines.

    Mr Babatunde Babalola, Chairman, Discovery Air, said operators fail to break even and become grounded because of the underutilisation of their aircraft.

    Underutilisation is when the airplane is kept more on the ground than in the sky due to limited use.

    Babalola said proper understanding of how to deploy available airplanes in many routes according to flight schedules is key to ensuring profit.

    Most carriers in Europe and America, he said, keep their operations afloat because the managers robust utilisation plans for the aircraft in their fleet , such that the planes are not tied down.

    Babalola said it would be unprofitable to acquire a brand new aircraft for about $100 million, only to use it for limited flights, as many indigenous operators do.

    He said the high operating cost  regime was unprofitable for any airline, noting that an aircraft is acquired at a huge cost.

    Babalola told The Nation that most  carriers collapse owing from improper utilisation of the airplanes in their fleet, adding that an operator needs many aircraft in its fleet to match the scale of its operations.

    He said if proper planning of fleet was done by owners, many  carriers that closed shop a few years ago  would have  remained in operations.

    What is important is to have enough aircraft that match the scale of your operations.

    How many aircraft did the defunct Air Nigeria have when they were flying  to all routes?

    They had about 12  airplanes and they were all over the place. It indicated that somebody somewhere was planning the  fleet utilisation properly.

    “At the moment, we have only two aircraft, but what we are planning is to maximise the usage of the aircraft.

    “We are planning to take delivery of the third and fourth aircraft to complement our expansion plans.

    “By  civil aviation regulations we are allowed to use each  aircraft  for six landings within the speculated number of hours that each crew sector should work without infringing on the civil aviation  regulation.

    “This is because the regulation says a pilot and the cabin crew should not fly for more than certain hours in a month.”

    Babalola said most Nigerian airports operate only day flights, a situation, which affects the utilisation of the aircraft below the global standard.

    He said: “Because of inadequate air navigation facilities at Nigerian airports, the aircraft could only do limited flights  during the day .

    “Because there are no night domestic flights, the aircraft is left on the ground for about twelve hours. Aircraft are meant to fly not to be on the ground.”

    He said the airline was putting in place plans for the  proper utilisation of its fleet.

    Part of the plans, he said, was the expansion of flight operations into regional routes in West Africa.

    Babalola said: “So, what we are doing at Discovery Air is to maximise the usage of our aircraft . We will use our normal 12 hours in the country  during the day and use the other 12 hours  at night on regional routes. This way, the aircraft is fully utilised.”

    He informed that in the next couple of weeks, the airline would commence direct flights between Lagos and Dakar, Bangui, Libreville, Brazzaville and Malabo.

    He said operators could source  cheaper aircraft abroad to reduce operating costs, as the current  price of acquiring a brand new airplane for over $100 million  cannot sustain a profitable operation

    He said: “What I have seen in aviation is that there is no way the Nigerian operator can buy an brand new aircraft  of $100million, and expect to make profit with the air fares  we are charging. With the airfares, if you bought a brand new aircraft you  cannot sustain profitable operations.

    “I didn’t buy a brand new aircraft and that is why our own strategy is quite different.

    “Our aircraft are in the neighbourhood of $7million to $8million. So, I’m  not competing with the likes of Arik and other carriers.”

    In the last five months that the airline started operations, it has airlifed over 85,000 passengers.

    He said Discovery Air had also opened new routes. They include Lagos-Uyo and Lagos- Port Harcourt and Lagos-Abuja routes.

    He canvassed collaboration or alliance among the indigenous carriers.

  • Improve navigational facilities, women urge govt

    A group of women professionals in the aviation sector, Women in Aviation, has  urged the government to upgrade navigational facilities at airports nationwide to improve operational safety.

    They said the upgrade of the facilities would boost operations and enhance  their travellers’  confidence

    The women gave the charge at their yearly seminar in Lagos.

    The President of the group, Mrs Rejoice  Ndudinachi,  said women have contributed to the growth and development of aviation.

    She said the group holds seminars and conferences to build capacity for women professionals,  who have made huge contributions to aviation.

    She said the group this year honoured female pilots to demonstrate the role women play in the aviation sector.

    Some women said the cooperation of various units in the sector would promote growth, safety and security.

    A woman pilot, who craved not to be named, said the government should improve on provision of navigational facilities, including installation of  instrument landing system to facilitate safe flights

    She noted that when these navigational facilities were in place, air transportation could be facilitated in moving people from one place to the other.

    She said: “Well I believe that government can improve on airport facilities so that they can be available for airlines to use for landing and all of that. I think that most of the airports in Nigeria now are in Category One yet some of them don’t have Instrument Landing System (ILS).”

    She noted that passengers traffic has not improved beyond the current figures because of the high taxes levied domestic operators .

    The high taxes, she said, accounted for the high air fares, which is distracting more Nigerians from travelling by air.

    On multiple entry by foreign airlines into the country, the woman pilot said the situation was quite different in Europe as the practice in Nigeria is killing domestic airlines.

    She said: “Local carriers should be encouraged to enjoy the privileges foreign carriers are granted . They fly into major points from their hubs.

    “In Nigeria we can see almost all the foreign airlines flying into Lagos, flying into Abuja then you have taken away the Lagos – Abuja market from the local operators, this is not how it should be.”

    Senior Supervisor, Tic keting and Reservation Department of Dana Airline, Mrs. Patience Umunnaehila, urged the government to embark on the expansion of the tarmac and the boarding area of the General Aviation Terminal (GAT).

    She said the terminal needs expansion to accommodate more passengers.

    Umunnaehila said: “The tarmac is not big enough so we need expansion of the tarmac and the boarding area because these places at the airport are choked up so we still believe that the government will come to our rescue and do something about it.”

  • NCAT Act for amendment

    The Nigerian College of Aviation Technology (NCAT) in Zaria, Kaduna State, is set to  amend its enabling act to make it independent of the Ministry of Aviation, its Rectors Captain Samuel Caulcrick, has said.

    He said the amendment of the enabling Act had become imperative, because the college needs to reposition itself as the foremost aviation training college in West Africa after 50 years of its existence.

    He said preparations were in top gear to celebrate the insttution’s 50th anniversary this month.

    The document, intended to facilitate the amendment of the college’s  Act, he said was in the Ministry of Justice undergoing processing.

    Caulcrick  said: “We are trying to change the Enabling Act. Don’t forget that the existing Act is one of the oldest in the aviation industry today. It is 50 years, it needs to be amended. We are in the process of achieving that.”

    He also said the document to achieve the amendment of the Act had  been sent to the office of the Attorney-General of the Federation.

    “All we are waiting for is a directive from the Federal Executive Council before it is sent to the National Assembly,” he said.

    He regretted that the Act had  positioned  the college as an arm of the Ministry of Aviation with  its limitations.

    “This is part of the constraints we have,” he added.

    On efforts to move the college forward, the Rector noted that NCAT had secured temporary accreditation from the National Board of Technical Education (NBTE) to start Diploma courses.

    He said the entry requirements for some  professional courses in the college has been upgraded to first degree.

    “But we are not sure where we are, whether we are going to make the entry for all our courses, first degree, particularly flying because we need to capture them early. That is why in the past we take them after the School Certificate Examination, but now, we have over a million of Nigerians who are willing to go into aviation and have acquired their first degree at 22. That is still okay for us because we have a limit.’’

  • Agents blame FAAN for ‘poor ’ terminal security

    The National Association of Government Approved Freight Forwarders (NAGAF), Murtala Muhammed Airport’s chapter, has blamed the Federal Airports Authority of Nigeria (FAAN) over the porous security at the airport cargo section. FAAN, it claimed, is unable to restrict access into the facility.

    The Chairman of the  Lagos airport chapter of the association,  Segun Musa, said the failure of  the airport authority to control movement of persons into and out of the terminal led to regular infraction of airport security.

    He spoke against the background of the clash between licensed Customs Agents and officials of Nigerian Customs Service, which led to the closure of the cargo-shed.

    The NAGAF chairman accused   FAAN of not doing enough to ensure adequate access control measures at the cargo terminal’s entrance.

    He said inadequate control over access is responsible for the porous arrangement around the terminal, which has made cargo clearing an all comers  affairs.

    Musa said: “We hereby call on FAAN to put in place adequate access control measures at the gate into the cargo terminal to correct the observed abnormalities.

    ‘’The security committee of the airport is not doing enough. If it were doing enough, there should be a data bank that will provide biometric identification for operators to access parts of the airport  that are not restricted.

    “The airport needs a data bank to identify people who could access the shed .”

  • Arik offers miles on Dubai route

    Arik Air  has rolled out mouth-watering incentives for its loyal guests on the Lagos-Abuja-Dubai route.

    Tagged, “connecting you to higher rewards,” the offer,  according to the Managing Director,  Chris Ndulue, is specifically tied to the airline’s Frequent Flyer Programme (FFP), Arik Affinity Wings.

    The offer, Ndulue said, would enable guests travelling in the Premier Business Class on the Dubai route to earn double miles while those travelling in the Economy class will earn 50 per cent  more miles.

    Ndulue said about the offer: ” Guests  who buy four Business Class return tickets to Dubai will get upgraded to Affinity Wings’ exclusive Gold membership level. The Gold membership is the highest membership level in the Affinity Wings loyalty programme which offers the most programme benefits for guests who have acquired 600 points and above, by flying with Arik Air.

    “Guests who buy two Business Class return tickets to Dubai will get upgraded to the exclusive Silver membership level. The Silver membership is the second highest membership level for guests who have acquired up to 300 points through their travels with Arik Air and also enjoy some of the exclusive programme benefits.

    “Loyalty just got better with Arik Affinity Wings and our guests on the Dubai route are specially welcome to the world of more smiles as they enjoy bonus Affinity Miles. The more you fly Arik Air to Dubai, the more miles you accumulate to enjoy special  treats and discounts on future travels.’’

    ‘’ Every trip on Arik Air to Dubai puts extra smiles on the faces of our guests as they not only enjoy double miles but also take advantage of our generous baggage allowance  coupled with our traditional African hospitality and global safety standards.This is in line with our promise to ensure we constantly strive to enhance the service we offer our guests.”

  • Ethiopian Airlines gets $41.4m ING loan

    Ethiopian Airlines  has secured a USD 41.4 million  from ING Capital LLC for the acquisition of two Boeing 777 freighter aircraft, its Chief Financial Officer , Mr Nega Mekonnen has said.

    The  debt , according to Mekonnen, is supported by Ex-Im Bank and was provided by another financial institution with ING as their co-arranger.

    ING Capital LLC is a financial services firm offering a full array of wholesale financial lending products and advisory services to its corporate and institutional clients.

    The  lender, he said, would  benefit from a second priority interest in the security package which secures both the Ex-Im Bank and junior loan financing.

    Ethiopian Airlines utilises the  loan facility to finance a portion of the net purchase price of the aircraft which is not supported by Ex-Im Bank.

    ING Capital was the sole arranger and lender of the  loan financing and will also act as the agent throughout the term of the transaction.

    The financing closed concurrently with the delivery of the first aircraft last month.

    The second aircraft is scheduled to arrive in Addis Ababa this week.

    Ethiopian Airlines successfully secured the  loan financing based on the strong relationship and thorough understanding of the airline’s financing requirements on the part of ING Capital LLC.

    Nega Mekonnen, Chief Financial Officer said “ The financial support for our acquisition of the two B777 Freighter aircraft is critical to Ethiopian Airlines as we aim to sustain our position as the largest cargo operator in Africa.

    These aircraft will help us increase our capacity and service quality for the ever growing perishable cargo market.”

    Terina Golfinos, Managing Director and Head of ING Capital’s Structured Export Finance team in New York, said: “We were delighted to have the opportunity to close this important financing for Ethiopian Airlines and contribute in some small measure to their ongoing success as the regional carrier of choice. ING has had a lending relationship with Ethiopian Airlines since 2007, and we are pleased to support them with the expansion of their cargo division, which is crucial for Ethiopia’s growing export sector.”

  • Why we stopped flights into Abuja, by Delta Airlines

    Delta Airlines has said it stopped flights   into the Nnamdi Azikiwe International Airport, Abuja, because the passenger traffic did not grow as much as the airline projected.

    The airline’s  Commercial Manager for East and West Africa, Mr Bobby Bryan, disclosed this.

    He said Delta Airlines last year discontinued its flights from Abuja to Houston in the United States, because it realised that the market in Abuja was not as big as the airline projected.

    He said other factors that occasioned the stoppage include slow growth of flight operations.

    Bryan said: “Though, we consider Nigeria as a huge market for Delta Airlines, but we had to last year stop flights into Abuja because we found out that the market was not as big as we projected.

    “We also noticed that the operations did not grow as fast as we envisaged .

    We thought the best thing to do was to stop the Abuja flights.

    But, we have not closed our offices there, we still sell tickets through the Abuja office.

    We do not intend resume operations there very soon.”

    Meanwhile,  Delta Airlines  has marked its seventh anniversary of daily non-stop service between Lagos Murtala Muhammed International Airport and Hartsfield-Jackson Atlanta International Airport.

    Bryan said Delta remains the only U.S. carrier to operate daily year round service between Nigeria and the United States offering hundreds of onward connecting opportunities via Delta’s Atlanta hub.

    Speaking in Lagos, Bryan, said: Delta’s flight between Lagos and Atlanta has remained solid, and we have been seeing load factors averaging around 80 per cent.  The top U.S. destinations that our customers from Nigeria have been travelling to include Houston, Washington, Los Angeles, Dallas and New York and this year alone we have carried some 100,000 passengers.

    ”Since our first service to the U.S in 2007, Delta has flown over 770,000 passengers.  It’s incredible to think that is equivalent to the population of the city of Abuja.”

    He said Delta Airlines had signed a joint ventures agreement with Air France / KLM  and Virgin Atlantic Airways, which would offer its passengers and frequent flyers combined and triangular  fares.

    He said the joint ventures would also offer its passengers more markets and choices.

    Bryan said the airline had opened an energy and power desk to assist the power sector with specific needs in Nigeria, Tanzania and Ethiopia.

    He further said:”The Nigeria  market is unbelievably strong, with its attendant challenges like any growing market.

    We welcome competition  and we are not threatened by it.

    There should be free market access . It is for this reason that think multiple entry point is good for the airline industry, so that airlines should not have limited access. “

  • How to regulate cargo handling agents, by expert

    How to regulate cargo handling agents, by expert

    An Aviation security expert, Group Captain John Ojikutu  (rtd ), has canvassed the mandatory registration of Customs licensed clearing and forwarding agents by the Nigerian Civil Aviation Authority (NCAA) and the Federal Airports Authority of Nigeria (FAAN) for them to come under regulatory purview.

    His call is coming on the heels of the continued closure of a section of the Cargo Terminal at the Lagos Airport over a clash between clearing agents and Nigeria Customs Service  officials over operational procedure.

    Ojikutu, the Chief Executive Officer, Centurion Securities Limited, said until the regulatory authorities  carried out oversight duties on the operations of such agents, frequent clashes with security agents at the airport would remain. He added  that part of the oversight duties should include clearly defined operational procedure.

    Ojikutu told The Nation that the operations of clearing and forwarding agents around the airport has  remained unchecked, thereby giving room for the agents to  violate aviation rules and regulations, stating that in other climes, agents are regulated by the relevant agencies in line with the International Civil Aviation Organisation ( ICAO ) Annex 9, which prescribes rules governing  cargo facilitation.

    ”Customs licensed clearing and forwarding agents must be registered, not only by the Nigeria Customs Services, but their company names and accredited staff lists must be domiciled and registered too with the NCAA and FAAN.

    “This is one of the ways their operations within the airports are regulated. The relevant agency should carry out oversight functions over their operations in line with the relevant section of Annex 9, of ICAO, which deals on facilitation,” warning that failure to regulate the activities of agents could trigger insecurity around the airport.

    “After the registration of the agents and their companies have been carried out by NCAA and FAAN, only such agents should the regulated cargo handling companies, including Nigerian Aviation Handling Company (NAHCO) and Skyways Aviation Handling Company Limited ( SAHCOL ) should be dealing with. This is in the overall interest of safety and security around the airport.

    He said their number must be curtailed and their staff list too must be proportionate to the volume and frequency of each company’s yearly cargo in terms of export and import.

    Meanwhile, the bulk breaking section of the cargo terminal in Lagos  remains closed on the orders of government.

    Security has been beefed up around the cargo wing of the Lagos Airport, as heavily armed officials of the Federal Operations Unit of the Nigeria Customs Unit are stationed at the entrance into the terminal.

    The Chairman of the Lagos Airport branch of the Association of  Nigerian Licensed Customs Agents (ANCLA), Alloy Emeka Igwe, described the continued closure of the cargo terminal by customs as insensitive.

    He decried the deployment of military personnel to the cargo section of the airport who manhandled clearing agents by shooting sporadically into the air.

    Igwe said many clearing agents sustained injuries from sporadic gun shots carried out by officers from the Federal Operations Unit of the Nigeria Customs Service.

    He denied  attack on the Customs Area Comptroller of the  of the Lagos Airport Command  by licensed clearing agents, saying  some miscreants could have taken advantage of the crisis between them and Customs personnel to break law and order.

    The Chairman said the major challenge around the cargo terminal is access control into the cargo area, which is handled by security personnel attached to the Federal Airports Authority of Nigeria ( FAAN).

    Igwe said: ”What happened last week at the cargo terminal was a clear case of professional disagreement between the agents and Customs which was not handled well.

    “The situation could not have degenerated into the militarisation and sporadic shooting carried on  our agents by officials of the Federal Operations Unit, which deployed armed personnel carrier to the airport.

    “We have good working relationship with the Customs management.

    The comptroller should know that the  crisis is a family matter, that could be easily resolved.”

    He further said: “The agents did not go beyond the bulk breaking areas. They only stayed at the examination place.”

    “We are appealing to the Federal Government to open the cargo terminal .”

    In a related development, the Nigerian Aviation Handling Company ( nahco), Plc has called for truce in the face off between Customs and the agents.

    The cargo handling firm in a statement by its Assistant General Manager, Corporate Services, Mr Ahmed Gulma said resolution of the crisis had become imperative because both parties are very important in cargo processing.

    He said nahco was doing all it could to  resolve  the problem.

    He said: “We are determined to put measures in place to forestall future occurrence of the ugly incident.”

  • Multiple airport taxes, charges weigh down operators

    Multiple airport taxes, charges weigh down operators

    Airline operators are groaning under the burden of increasing costs of operations, occasioned by multiple taxes and other airport charges. They are asking that these charges be harmonised in line with global practice, reports Aviation Correspondent KELVIN OSA- OKUNBOR.

    There is growing discontent among domestic operators over rising  airport taxes and charges.

    They are querying the rationale for such exorbitant charges in Nigerian, saying they are the highest in the world.

    There is considerable concern that the development might cripple the domestic segment of the aviation sector, therefore airline operators are calling on government to harmonise  airport taxes and charges as applicable in other parts of the world

    Last week,  Domestic airline operators  met in  Lagos to engage officials  of the Ministry of Aviation tom explore ways on how to review the domestic charges, arguing that the prevailing airport  charges and taxes if left unchecked, could  stifle their business.

    The International Air Transport Association ( IATA), is in agreement with the domestic operators, saying that airport charges in Nigeria are the highest in the world.

    Among the charges Nigeria domestic operators are subjected to, are landing and parking fees, fuel surcharge, passenger service charge and ticket sales charge .

    Others are ground rent, Value Added Tax (VAT), terminal charges, apron pass charge, toll gate charges, apron licence charge and vehicle permit charge.

    Such charges, many of which IATA consider prohibitive, are not customer friendly, and could serve as a disincentive to airlines and other players who are willing to set up similar business in the country .

    Speaking at a recent event in Nigeria, IATA Director-General,  Tony Tyler, said the global body is working closely with the Nigerian government to resolve the  high charge regimes for air navigation services, saying Nigeria is among the countries with high aviation taxes in the world.

    Many international and domestic airlines attribute the high cost of air tickets to the multiple taxes and charges.

    Tyler argued that beside  the limited physical infrastructure, there are other deficiences, which must be addressed as they concern airport charges.

    He said the high charges in the face of inadequate airports’ facilities cannot be justified.

    Worried the trend, the Federal Government two weeks ago inaugurated a committee to review airport rates. Minister of Aviation, Chief Osita Chidoka, said the task of the committee would be to ascertain the appropriateness of the charges imposed on air travellers and  ensure that all users of our airport facilities are paying charges that are comparable with what is obtainable across the world and in our neighbouring countries.

    He said: “Customers have largely complained and I have listened to them on the charges and we decided to investigate and find out what the charges are, what they are paying,  and then compare it with other countries because my job as the minister is to measure and improve and if we do not measure, we cannot improve.

    “So, we are seeking that the  committee will review all Nigeria Aviation and Aeronautical and Passenger Charges. We will like to know if all the fees that passengers pay from the toll gate to hiring of cars to convey them, we want to determine the factors behind the charges and we want to know if the charges is the same with other countries.

    “To determine the factors responsible for the disparity (if any) between the charges and those of other countries with similar regional conditions. Also to determine why some of the neighbouring West African countries are customers of choice to international airlines and aviation companies.”

    The minister said the committee is expected to submit the report of their findings in four weeks’ time, adding that the committee would liaise with operators and others to find a way around the high airport charges.

    Already, the committee has begun sitting in  Lagos, and operators have been submitting their proposals on how to resolve the high charge regime.

    The Executive Chairman, Airline Operators of Nigeria ( AON ), Captain Nogie Meggison, while commenting on the issue, said there is need for government to harmonise the charges and taxes levied operators to make the business environment customer friendly .

    He said :” The multiple taxes, levies and airport charges have ripple effects on airline business .They have their collateral effect on the operations of airlines.  The airport charges, taxes, navigation fees, and other levies introduced by government are affecting the business.”

    He said the multiple charges have direct impact on the operations and profitability of airlines, stating that a collapse of the charges into a unified block will assist operators, whether they are involved in charter, or scheduled flight operations.

    “We advocate a one-stop shop payment system. It would be of immense benefit to domestic airlines.

    “We think it is good, it is the way to go. It will assist airlines to rework their cost of operations, which we continue to argue, is on the high side. We pay VAT, passenger service charge and five per cent charges to the Nigerian Civil Aviation Authority (NCAA) and we also pay charges to NAMA. So, how many taxes are you going to pay. So, I think the policy should be looked at, unfair taxation and double taxation.”

    On his part, the Managing Director of Medview Airlines, Alhaji Muneer Bankole, said there is need for government to harmonise the charges and taxes levied domestic carriers. He canvassed a single charge regime to encourage airlines .

    He said apart from the five per cent Ticket Sales Charges  collected by the Nigerian Civil Aviation Authority on behalf of other agencies, airline operators are still saddled with the responsibilities of paying different charges to the agencies, such as the landing and parking charge, passenger service charge and en-route navigational charge.

    He stressed the necessity of harmonising some of these charges, saying that this would be in the overall interest of the sector as a whole.

    He said: “The Federal Government needs to harmonise these charges. These are the challenges we face in this industry. The NCAA is collecting five per cent on tickets sold, which I think is enough for the agencies; unfortunately, we still pay other agencies from the money we earn.

    “This is not good for the industry as a whole, and we hope that government will look into ways of addressing this problem which has become a major challenge to operators in the country.”

    Another stakeholder in the aviation sector, Alhaji Mohammed Tukur, said that the problem of multiple charges had forced some airlines to close shop.

    He said, “The issue of multiple charges is a major challenge facing local airline operators. The charges are so numerous and have significantly affected airlines’ operations.

    “For instance, we pay five per cent charge for passenger’s ticket, which is a compulsory payment for every operator. This implies that when you buy a flight ticket from any airline, five per cent must be paid to the NCAA. If you book for a private charter flight going to Abuja or any destination within Nigeria, you are bound to pay certain charges. Assuming the amount for the charter flight is N5m, you must pay five per cent of that to the NCAA.”

    He mentioned other charges paid by operators as on-duty card, payment for car park, access fees, office charges, electricity bills, charges on aviation fuel, among others.

    “You can see that all these make the operating environment not to be conducive for local airlines to thrive.”

    Also speaking, chairman of new entrant : Air Peace, Mr Allen Onyema, urged government to consider reduction in airport charges to keep carriers afloat .

    Onyema said :”Government should not only support startup airlines, but the existing carriers because airport and air navigation charges are too many. Five per cent to this agency; five per cent to the other; the bulk of the revenue accruing from ticket sales go back to aviation agencies as payment for charges. Under this kind of arrangement, no airline can break even, let alone run profitably or recover their operating costs. If the airlines cannot recover their costs, that means they are incurring losses and ultimately they close shop.

    The negative impact of an airline closing shop is that there will be job losses which give rise to insecurity. I am calling on President Goodluck Jonathan to direct aviation agencies to reduce airport and other air navigation charges for domestic carriers to enable them keep their business afloat.

    The current administration has done well for aviation, but government should remove the double and high airport charges that have become prohibitive. If an airline is paying out over 10 to 15 per cent of its revenue as airport charges, where will the operator get money for aircraft insurance and maintenance, aviation fuel and other issues it must attend to? Where will the airline now get money to pay its overhead costs? So, the prohibitive charges should be done away with; they belong to the past.”

    The Deputy Managing Director and Head of Flight Operations of Arik Air, Captain Ado Sanusi, said that the issue of multiple taxation should be tackled in order to assist the airlines sustain their operations.

    “The issue should be tackled and there are so many incentives that should be given to airlines that are coming up in order to protect and encourage them to grow. If you look at the airlines that have been very successful in the world, they have protection and they were given government backing to grow before they were allowed to compete with international carriers.

    “So it is extremely important that government makes deliberate policies in protecting the industry and also allowing the airlines to grow. It should be in the interest of government to have viable airlines flying in the country,” Sanusi said.

    The Managing Director of Discovery Air, Captain Mohammed Abdulsalami,  pointed out that multiple taxes imposed on airlines by government agencies is affecting domestic opetators.

    He said “As you know most operators have been complaining about fuel which takes about 40 per cent of the operating cost. We have also complained about taxes. Even Airline Operators of Nigeria (AON) has officially complained this to the new Minister of Aviation. Even at the international level, IATA the International Air Transport Association (IATA) recognised that the industry is heavily over taxed here.

    Former Chief Operating Officer of Dana Air, Yvan Drewinsky described Nigeria as a very hostile environment to operate airlines, saying that the charges being paid by airline were too much in addition to the high cost of aviation fuel.

    He said that the first thing government should do to sustain domestic carriers was to reduce these taxes and also seek fairer pricing for fuel, so that the airlines could operate profitably.

    Aviation consultant, Olumide Ohunayo, said the issue of multiple taxation should be tackled in order to assist the airlines sustain their operations.

    According to him, “the issue should be tackled and there are so many incentives that should be given to airlines that are coming up in order to protect and encourage them to grow. If you look at the airlines that have been very successful in the world, they have protection and they were given government backing to grow before they were allowed to compete with international carriers.

    “So it is extremely important that government makes deliberate policies in protecting the industry and also allowing the airlines to grow. It should be in the interest of government to have viable airlines flying in the country,” Ohunayo said.

  • Emirates receives B777-300ER

    Emirates receives B777-300ER

    EMIRATES  has taken delivery of the airline’s 100th Boeing 777-300ER, the world’s largest, long-range twin engine commercial aircraft.

    The Boeing 777-300ER forms the backbone of the Emirates fleet with the aircraft type currently operating to 77 destinations on the airline’s global network.

    Delivery of Emirates’ first Boeing 777-300ER, took place in March 2005 and with a further 52 aircraft on order, the airline has become  the world’s largest operator of this aircraft type – in fact one in every five 777-300ERs flying today is in Emirates’ livery.

    It takes 47 days to build a 777-300ER and each aircraft is made of three million parts. If you took all of the wiring contained within Emirates’ 100 777-300ERs and place it-end-to-end, it would stretch from Dubai to New York and back again, Sir Tim Clark, President of Emirates Airline said.

    “The Boeing 777-300ER is one of the most remarkable aircraft ever built, and its combination of efficiency, range and payload is second to none. Our customers are equally excited by the aircraft and its on-board product, and to date, over 108 million passengers have flown on an Emirates Boeing 777-300ER.

    “We have 204 more Boeing 777s on order, which supports over 400,000 jobs in the US, including those from various suppliers, such as General Electric which provides the GE90 engines that power all of our 777-300ERs,” added Sir Tim.

    “We are proud of our long-term relationship with Emirates and for the confidence they have in Boeing’s products and services beginning with the 777 and continuing with the 777X in the years to come,” said Ray Conner, President/CEO, Boeing Commercial Airplanes.