The Nation Newspaper

Tag: airline

  • Saudi-based FlyNas Airline begins operation in Kano

    Saudi Arabia-based airline, FlyNas Air Services, yesterday launched itself into the Nigerian aviation market through at the Aminu Kano International Airport (MAKIA) in Kano State.

    It lifted 106 passengers from Kano to Jeddah.

    According to the Director of Business Support, Khalid Al-Din, FlyNAS Air Service is expected to limit its operation from MAKIA to Jeddah for the main time.

    He added that the airline is programmed to operate once a week, saying “we shall gradually improve our services depending on the volume of passengers that patronise us.

    His words: “Presently, FlyNas has over 30 aircrafts in its fleet, but we are deploying an airbus 330, with a capacity of 165 passengers which landed at the Malam Aminu Kano International Airport about 2.15am on Saturday, and departed the airport with 106 passengers about 4am, to Jeddah.

    “We started operation three years ago in Nigeria, through a BASA agreement between Nigeria and the Saudi Arabian government, which gave FlyNAS the discretion to come and participate as a carrier in the Hajj operation in which we performed successfully.”

  • JetWest airline to begin operation in Nigeria

    •NCAA: we have no application from them

    JetWest airline will begin operation in Nigeria’s troubled aviation industry in December, its officials have said.

    The aviation industry has sunk into turbulence since the recession which has driven up costs and made foreign currency scarce in an industry that is forex dependent.

    But despite the gloomy conditions, the new and ambitious airline is being cleared for take-off, the CNN reported yesterday.

    However, a Nigerian Civil Aviation Authority (NCAA) official said yesterday the agency is unaware of an application from JetWest.

    But another source said promoters of the airline might have been meeting with some officials in the Presidency.

    A source close to both the NCAA and Presidency observed that it may be a project of the Ministry of Aviation , as part of attraction of foreign partners to float an airline in Nigeria.

    The source said:”A director in the regulatory authority said the promoters of JetWest Airlines had been having meetings with the Presidency. This may be a project for the Ministry of Aviation.

    The venture’s founder, is Mr. Dikko Nwachukwu, described as a serial entrepreneur with a background in aviation,.

    “The guiding vision for JetWest is to make air travel accessible for more people,” says Nwachukwu. We are about democratising the skies,”he was quoted as saying.

    About 15.2 million passengers passed through Nigerian airports in 2016, according to official statistics but Nwachukwu sees opportunity in the vast market unserved by existing airlines. Nigeria has the largest population in Africa, and the entrepreneur draws inspiration from rapid progress in another technology field.

    He said: “We want to do for travel what cell phones did for telecoms,” he says bullishly. “Fifteen years ago there were less than one million phone lines in Nigeria and now there are 100 million…We could have 100 million (air) travelers, and I know jetWest will be in the middle of the revolution.”

    JetWest aims to project a fresh and vibrant image. The company’s social media accounts are already trailing colorful cocktails and memes ahead of launch, aimed at youthful, savvy consumers.

    Such consumers may also be attracted to the airline’s core selling point: value. JetWest will offer a pared down service “more Easyjet than Etihad” at rock-bottom prices.

    “We will cut out everything not core to the business and focus on getting fliers from A to B,” says Nwachukwu. “Beyond that, we will have unbundled services so customers can pick and choose what they want.”

    Given the high cost and risk involved with launching a fleet in Nigeria’s current economic climate, the entrepreneur is mindful of the need to find efficiencies. He suggests the company might pool resources with other airlines.

    More ambitiously, the business model will rely on innovation. JetWest is developing its own proprietary technologies in-house, drawing on the best talent from Nigeria’s renowned start-up scene, in a conscious effort to boost local industry as well to avoid costly rental equipment. The company intends to eventually supply technology to other airlines.

  • NCAA sanctions airline N6.5m for airspace violation

    NCAA sanctions airline N6.5m for airspace violation

    The Nigeria Civil Aviation Authority (NCAA) has applied sanction on Lyxor International, a non-schedule general aviation operator.

    Spokesman of the authority Sam Adurogboye, who said this yesterday, added that the action followed the operator’s several violations of the terms of its approved flight clearances for non-scheduled international air services.

    According to the letter of sanction written to the airline, NCAA’s Aviation Safety Inspectors (ASI) on February 16 found the airline culpable  of infraction  during a routine Ramp Inspection of its Bombardier Challenger CL605 aircraft.

    The NCAA said upon the discovery, the aircraft with registration mark T7-YES was immediately grounded by the Aviation Safety Inspectors (ASI) at the Nnamdi Azikiwe International   Airport, (NAIA), Abuja.

    However, the aircraft was subsequently released after the payment of N3,000,000 on volitional condition on account of possible civil sanction. This was in addition to an undertaken to comply with any sanction applicable as a result of the violation.

  • Is airline business jinxed in Nigeria?

    Is airline business jinxed in Nigeria?

    A recent report released by the Nigerian Civil Aviation Authority (NCAA), the apex regulatory body overseeing airlines in the country revealed that the number of airline operators which peaked at over 150 as at the year 2000 have gone to a ridiculous low of nine operators currently, thus making keen observers of the nation’s aviation space to wonder if airline operation is indeed jinxed in Nigeria. Ibrahim Apekhade Yusuf examines the issues

    These are certainly not the best of times for the nation’s aviation sub-sector. Reason: majority of the airlines who hitherto commanded a lot of admiration from the Nigerian flying public, including the Nigeria Airways, the nation’s carrier, ADC Airlines, Afrijet Airlines, Air Nigeria, Albarka Air, Al-Dawood Air, Bellview Airlines, Capital Airlines (Nigeria), Dasab Airlines, EAS Airlines, Freedom Air Services, Fresh Air, Meridian Airlines, Nigerian Eagle Airlines, Okada Air, Sosoliso Airlines, to mention just a few have since gone into extinction, with only a fraction barely struggling to survive the hard times.

    According to the result of a survey carried out by the Nigerian Civil Aviation Authority (NCAA), the apex regulatory body overseeing airlines in the country, there has been a high turnover of airlines in the last 17 years.

    Mr. Sam Adurogboye, the NCAA’s spokesperson, who shared the outcome of the survey with The Nation at the weekend, said the number of airline operators which peaked at over 150 as at the year 2000 have thinned down considerably to nine operators at the moment.

    He listed a number of factors from poor managerial capacity of the operators, high cost of maintenance, credit crunch, poor business model, poor infrastructure, to mention just a few as being responsible for the parlous state of the sector.

    Reason for high turnover of airlines

    Adurogboye’s claim is further buttressed by experts, who equally hold the view and very strongly too that the sorry state of the nation’s aviation industry is a function of unfavourable operating climate, inconsistency in government policies, high cost of maintenance, credit crunch, poor business model, poor infrastructure, among other militating factors.

    Firing the first salvo, a player in the sector who simply gave his name as Dotun said the sector is plagued by a lot of problems which is rooted in the wrong business model adopted by a majority of the actors in the industry.

    Expatiating, Dotun said, “There are lots of things wrong with the system. I think the problem with the sector is symptomatic of the trouble with the country itself. This speaks to our penchant for allowing sentiments rather than intelligence to determine our reasoning. Most of the airlines that have become extinct today is as a result of allowing mediocrity to reign supreme when logic should have been the case.”

    Pressed further, he said: “There is an unconfirmed report that a particular airline, has since gained notoriety for laying off staff at the beginning of the year. This ploy is to simply ensure that no permanent staff in on its employment so that it may not have to pay severance package when they exit from the company. Most of their staff are on a short term contract.”

    Politics not ruled out

    Besides the issue of poor management and infrastructure, Mr. Daniel Adebusuyi, a stakeholder in the sector also argued matter-of-factly that a number of owners of airlines operating in the country are politically exposed persons, PEPs, such that once they fall out with the new government, their businesses are naturally affected as they loss patronage.

    A case in point, he says, is Slok Air, owned by former Abia state governor, Dr Orji Uzor Kalu, one of the political godsons of the then president Olusegun Obasanjo, who was forced to move his airline operations out of the country to the Gambia.

    “You may recall that Chief Olusegun Obasanjo’s led regime in 2004 forcefully revoked the license of Slok Air. Today, the airline is the major air carrier in the Gambia, and has other operating offices in Ivory Coast, Ghana, Senegal, Sierra Leone, Guinea and Liberia thereby giving quality employment to the citizens of its host countries. But for Obasanjo’s vindictiveness, Nigeria and her citizens would have enormously benefitted from the operations of Slok Air, especially in the area of employment.”

    A snapshot of the sector’s present standing

    Nigeria’s civil aviation industry is currently hit by a financial crisis which affects all airlines in the country, including the nation’s flag carrier Arik Air.  Arik Air and Aero Contractors have since been taken over by the Asset Management Corporation of Nigeria because of their huge debt profiles.

    On the other hand, according to the Airline Operators of Nigeria (AON), it had enumerated about 15 different charges imposed on them. These charges are blamed to have contribution for causing financial problems for the airlines.

    A recession, combined with a shortage of dollars, high costs and scarce fuel supplies have created the perfect storm for the industry.

  • Airline operators panic as aviation fuel sells for N265 per litre

    Panic has gripped domestic carriers over the increase in the price of aviation fuel, otherwise known as Jet A1.

    The product now sells for about N265 per litre, representing over 110 per cent hike in the last 12 months.

    It sold for N120 per litre between January and February, last year.

    Investigations revealed that the increase has created panic among operators, raising concerns over the future of many domestic carriers already operating under huge and multiple charges.

    It was learnt that in Kano, Kaduna and other states in the North, the aviation fuel sells for between N255 and N265 per litre. In Lagos, it sells for between N240 and N250, depending on the volume purchased by the airline and marketer selling the product.

    A few months ago, same product was sold for N220 per litre in Lagos and N230 per litre at airports outside the state.

    In other clime such as Saudi Arabia, local airlines pay 20 cents per litre and foreign airlines pay 41 per cent.

    A worker with a major oil marketer, who spoke on the condition of anonymity, confirmed the price hike.

    He attributed the development to Naira’s downward slide against the dollar.

    He said the exchange rate of $1 to Naira at the black market few weeks ago was between N460 to N490, adding that as at February 18, it has jumped to between N505 and N510 to $1.

    “No one can blame the major oil marketers for the recent increase in the price of Jet A1. We all buy dollars from the black market, though the Federal Government, through the banks sell dollars to investors at a relatively cheaper rate.

    “But, the unfortunate thing is that when you approach them, they collect your money and close up. The money may not be available to you even in the next three months. The industry we are in does not wait for anyone. We can’t wait for three months to do business. So, we have to approach the black market for dollars, which is at a very high rate when compared to what government sells. You can see that subsidy has been re-introduced to Premium Motor Spirit (PMS). It is because of the continuous free fall of naira,” the source said.

    A management worker of the Aero Contractors warned that the high price of Jet A1 fuel might force more airlines to go under, except the Federal Government intervenes.

    Though he confirmed the price increased from N220 in January to between N240 and N265 per litre in February, wondering why airlines should still be selling tickets for N18, 000 for one hour flight, “if they are not cutting corners”.

    He argued that with the present situation, “a ticket for one-hour flight cannot be lower than N40, 000”.

    The source called on the Nigerian Civil Aviation Authority (NCAA) to take a critical look into the operations of some airlines to avert air accidents occasioned by lack of oversight.

    According to him, “As at today, fuel is going for N240 to N250 in Lagos and higher in other airports like Kaduna, Sokoto and Port Harcourt. At those places, a litre sells for between N255 and N265 per. How much are we selling one-hour flight tickets to passengers? I learnt some airlines are still selling tickets at N18,000 to Abuja. I don’t know how they can break even. A ticket should not go for less than N40, 000 for an hour flight.”

    Airlines, he added, have been hamstrung by foreign exchange scarcity.

  • NCAA fines airline N32m for violating safety rules

    NCAA fines airline N32m for violating safety rules

    •Pilot to pay N1.5m

    An airline, First Nation Airways and one of its pilots have been fined N32 million and N1.5 million by the Nigeria Civil Aviation Authority (NCAA) for violating safety regulations.

    NCAA spokesman Sam Adurogboye, who said this yesterday, added that the airline and the pilot were fined for allowing a flight crew member to operate 16 scheduled flights without a valid medical certificate.

    The NCAA said the airline erred by allowing a crew member operate flights after his medical certificate had expired since November 1, 2016.

    A statement by the authority reads: “During  a Ramp Inspection on your Airbus A319 Aircraft with registration mark 5N-FNE at the Nnamdi Azikiwe International Airport (NAIA), it was discovered that the pilot in command was not in personal possession of a current medical certificate neither was it readily accessible.

    “Consequent upon this, a Letter of Investigation (LOI) was sent to the airline and the pilot.

    “However, in their response, the pilot admitted violating Nigerian Civil Aviation Regulations (NCARs) while the airline demonstrated lack of thorough knowledge of the requirements of the regulations.

    “Therefore, the airline has contravened the regulations by allowing a flight crew member to be rostered to operate a total of 16 nos scheduled flights on the 2nd, 3rd, 4th, 6th, 7th and 8th November, 2016.

    “These operations were carried out while his medical certificate had expired since on the 1st November, 2016, thereby rendering his pilot licence subsequently invalid from that date…

    “On this strength, the airline is required to pay a total sum of N32,000,000 only while the pilot will pay N1.5 million only, being moderate civil penalty for the violation. The fine must, however, be paid within seven days of receipt of the letter from the authority.

    “The NCAA, therefore, wishes to advise all airline operators to acquaint themselves properly with the NCARs to guide their operations as violation(s) is viewed seriously.”

  • Med-View Airline to list N15b shares on Stock Exchange

    Med-View Airline to list N15b shares on Stock Exchange

    The council of the Nigerian Stock Exchange (NSE) has given approval to Med-View Airline Plc to list its entire issued share capital on the Exchange, in a move that will see the return of the airlines industry to the stock market after the delisting of the previous carriers.

    Regulatory documents obtained by The Nation at the weekend indicated that the Quotation Committee, which oversees listing at the Exchange, has approved the listing of Med-View Airline.

    Med-View Airline will be listing 9.75 billion ordinary shares of 50 kobo each at N1.50 per share, indicating a start-off market capitalisation of N14.63 billion. Trust Yields Securities Limited and Kedari Capital Limited, two investment firms, were said to be working with the board of Med-View Airline to facilitate the listing.

    The listing will be done by way of introduction, implying that Med-View Airline will be available initially through the secondary market, though the airline was said to be interested in floating its initial public offering (IPO) as the market condition improves.

    A source in the know said the listing of the airline might be in the first quarter of 2017.

    Two other aviation-related companies are listed on the NSE. Airlines Services and Logistics, an in-flight catering company, is currently trading at N2.50 while Nigerian Aviation Handling Company (Nahco), a ground-handling company, trades at N3.16 per share.

    From its humble beginning in 2007, Med-View Airline has grown to become an emerging major domestic airline. The coming of Med-View airline into the Nigeria scene came with Hajj operations in year 2007 shortly after its incorporation, as a litmus-test, and changed the whole concept of pilgrims airlift in Nigeria.

    The remarkable performance in airlifting passengers earlier than expected during Hajj 2007-2008 was said to have impressed the authorities of National Hajj commission (NAHCON), which subsequently called on the newly incorporated airline to carry out rescue operations for pilgrims stranded in Ilorin, Lagos, Sokoto, Maiduguri and Yola during outbound to Saudi Arabia and those stranded in Saudi Arabia during inbound to Nigeria.

    Med-View Airline second time participation in pilgrims airlift, 2008-2009 Hajj operations, witnessed another commendable performance and it also carried out rescue operations for the stranded pilgrims under the auspices of NAHCON. In 2009, Med-view Airline started participating in Umrah (lesser Hajj) operation.

    Med-View Airline commenced domestic operation in November 2012 with a fleet of two Boeing 737-400 aircraft. It added another Boeing 737-800 just a month after.

    “Med-view Airline is an emerging giant in the comity of reputable carriers in Sub-Sahara Africa. Our partnership with Euro-Atlantic Airways of Lisbon, Portugal, coupled with General Sales Agency (GSA) agreement with Saudi Air Cargo, our blossom business relationship with Pluna Air of Uruguay and Air Atlanta of Iceland combined to set a standard in Aviation industry yet to be beaten,” the company stated in its profile.

  • Aero sacks 100 employeees

    Aero sacks 100 employeees

    Aero Contractors Friday sacked over 100 workers from its payroll industry sources hinted.

    But, the airline according to statement by its public relations consultants, SY& T said it only reviewed its contract with the out sourcing firm: SBL.
    Most of those affected by the sack, according to a source were support staff who have spent few years with the airline.

    A source close to the airline who didn’t want his name in print confirmed the development.

    The statement from the airline consultants, reads “In the course of reorganizing and repositioning its business, Aero Contractors has reviewed its relationship with Skyborne by cutting down some of the serves required from the company. This will help the company to invest more resources to enhance customer service. For the record Aero has not sacked any of its staff.”

    But, a source said those affected by the development were contract staff whose contract have expired with the company.

    The source added that some departments and workers were outsourced by the management, stressing that since the airline no longer required their services, it was pertinent for them to be relieved of their jobs, insisting that no staff of the airline was affected by the management decision.

    The source insisted that what the organization did was not to sack workers, but reduce workforce especially those whose their services were no longer required by the airline.

    The source said that the reduction in staff cut across all the departments in the company and equally confirmed that over 100 personnel were affected by the decision.

    He said, “Those laid off were not staff of our airline. You know in Aero, some departments and duties are outsourced. Son what the management did was not to renew their contracts once it expired.

    “I can tell you that our staff are intact and we don’t have the plans to retrench workers. We didn’t have the need of those outsourced and we felt they should be withdrawn from our services.”

    A letter to one of the affected workers said that the sack was as a result of the ongoing restructuring in the airline.

    The letter reads in part: “Dear colleague, in the light of the ongoing restructuring at Aero, we regret to inform you that your services are no longer required and employment with SBL terminated with immediate effect.

    “Please, return all company properties to your Manager/Supervisor by 8am on 28/04/2016. We regret any inconvenience caused.”

  • Virgin Atlantic pulls out of Nigeria, sacks crew

    Virgin Atlantic pulls out of Nigeria, sacks crew

    Confusion enveloped the aviation sector on Saturday when news filtered in that British flag carrier, Virgin Atlantic Airways is pulling out of the Nigerian route .
    Though the airline is yet to officially announce its pull out, it has issued letters of sack to its Nigerian cabin crew .
    A source close the regulatory authority hinted that the British carrier has also shut down its call centre in the Ikeja axis of the metropolis .
    The exit from the Nigerian market, a source hinted may be connected with disappointment by the airline management over promises by government on Its operations in the country .
    The source said :” Virgin Atlantic Airways has laid off all their Nigerian cabin crew. They were only given three weeks notice and no severance package regardless of their length of service will be paid.
    “The air-hostesses they sacked were about 20 and last year, they closed down their Nigerian call centre and let go of all the Nigerian staff. ”
    This is not the first time the airline is disappointed over doing business in Nigeria.
    After the liquidation of Nigeria Airways in 2003, government invited the chairman of Virgin Atlantic Airways, Sir Richard Branson to float a domestic carrier in the country.
    Within a few months, Virgin Nigeria Airways was set up with the British carrier as its technical partner .
    After six years, Virgin Atlantic Airways pulled out as technical partner to the Nigerian arm of the business.
    Following the sour relationship, Branson in 2012 said he was very weary about doing business in Nigeria.
    Meanwhile, aviation unions have vowed to ensure that the entitlements of Nigerian cabin crew are paid in line with relevant provisions .

  • Airline to ply Niger, Ghana, Camerooon, Senegal, South Africa, routes

    Airline to ply Niger, Ghana, Camerooon, Senegal, South Africa, routes

    Air Peace flew over 500,000 passengers  in the first year of its operation, its Chairman, Mr Allen Onyema has said.

    This, according to him, is the highest by any new carrier on the domestic scene in recent times.

    In an interview to mark the airline’s first anniversary, he said the firm has got the nod to fly into  Niger, Gabon, Senegal. Gambia, Cameroon, Ghana and South Africa , West and some  Central African countries.

    Onyema said the airline plans to expand into Europe and Asia in a few years. The airline has changed the face of air transportation in the last 24 months, despite the challenges facing the sector, he said.

    To him, many industry players did not give Air Peace the benefit of doubt considering the many hurdles it faced.

    Onyema said the airline has recorded many milestones in the last one year.

    With a modest fleet of seven aircraft at inception, Air Peace, he said, has over 11 airplanes.

    He said: “In the last eleven months, we have air lifted over half a million passengers. This is quite remarkable, not with 20 aircraft but with just five of our seven aircraft.

    “Within the same period the government has called on Air Peace to undertake the development of a new route – Kebbi International Airport. This has never happened with a new airline before.

    “This is the first time a new airline, less than two months into its operations, was signed by a state government to develop a new route.

    “We have showed strength and capacity from day one of our operations. We have zeal towards doing the right thing.”

    Air Peace expansion plan is in place. It started with five routes and has increased its flight frequency. After two months, it added two aircraft to its fleet. Eight months into its operations, it added two more to bring its fleet to 11.

    We have maintained commonality of fleet to ensure that all our aircraft is Boeing aircraft for many operational benefits .

    We have invested heavily in the maintenance of our aircraft to ensure safety.

    Air Peace he said has invested much in the maintenance of its aircraft to ensure  zero tolerance for unsafe practices .

    He  spoke on plans by the airline to expand :” The Federal Government has approved Air Peace to fly into new routes out of Nigeria . This was achieved under seven months of our existence as an airline.

    “This is  because we have proven our mettle . We have a solid team . In the coming months we will commence operations in the African region . Next year plan to operate into Asia, Europe .

    “The Federal government has give us  permission  to go fly to Niger , Cote D’ Ivoire , Gabon , Ghana , Senegal  ,Cameroon and we are planning to hit South Africa and Congo.

    “In the long term we are looking at Europe and Asia .

    “We believe when the time comes government should allow us to fly into these routes because it will bring revenue to the country .

    It will stop capital flight into this country being exploited by foreign carriers .”

    He said the airline is already working on its international certification through training programme organized by the International Air Transport Association ( IATA) operations and safety audit programme .

    He assured that Air Peace will get the certification by the first quarter of next year .”

    He said there is need for operators to speak in one voice to advance the cause of the sector , even as he said there is urgent need fir government to rework existing policies .

    He said :” You and I may not have the ears of government, but I have discovered that some many people who advise government on aviation do not have business doing so because as stakeholders they do not get it right in their advice to government .

    “If we do not get it , every thing will go down . Nigeria has had over 60 airlines , only five or six are operating is is not complimentary , but why  do these airlines go under ?

    “Some of the reasons  could be traced to the owners of the airline. But, majority of the reasons should be traced to government policies over time.

    “A lot of  experts in the sector offer  advice  to government based on primordial sentiments .

    “This is not good for the growth and development of the aviation sector .

    “Government needs to reconsider the 22 years age limit or ban on aircraft operating in the country . This and other policies needs to be reconsidered.”