Tag: public interest

  • In public interest?

    In public interest?

    Had Festus Keyamo, Minister of Aviation and Aerospace Development not been overtly consumed by his planned January trip to Dublin to meet his so-called major airline financiers supposedly to bail out his ailing aviation sector, he would most probably have sufficient time to pore the issues without his rather uncharitable, but quite frankly, characteristic exuberance of dubbing another agency of the same government as ‘careless’ on prime time television.  

    “It was a very careless statement by the agency, making such a pronouncement without consulting the NCAA,” he said of the tiff over which the Federal Competition and Consumer Protection Commission, FCCPC, and the local airline, Air Peace had, days before, been locked in combat.

    “The NCAA is responsible for regulating airlines and ensuring compliance with pricing structures. The FCCPC should have allowed us to provide the facts before issuing public statements”, he reportedly told Arise News with a tone of finality.

    Clearly, if for the most part of the interview, the minister chose to be oblivious of the fact that an agency like the FCCPC actually exists, what came out rather alarmingly is that a steward of state sworn to the performance of public duty would choose to play the mouthpiece of a private organisation that was supposed to be under investigation. Citing what he called the overriding challenges faced by Nigerian airlines, including Air Peace, which in his view, stem from capacity limitations and foreign exchange volatility, he made no pretences about which side his ministry’s interest lay in the context of the raging controversies over anti-competitive behaviours of that particular dominant airline operator.

    Nigerians already know how things came to be. Earlier in the month, FCCPC issued a public notice conveying its intentions to launch an inquiry into widespread consumer complaints against leading players in the banking, telecommunications and aviation sectors. The inquiry, it said, were intended to address issues of poor service delivery, exploitative practices and potential consumer rights violations. Specifically named were three entities –Guaranty Trust Bank (GTB) for network failures hindering customers from accessing their funds or using their banking applications; the telecommunications giant, MTN, for persistent complaints about undelivered data services, unexplained depletion and inadequate customer care; and finally, Air Peace, for alleged exploitative ticket pricing, including significant price hikes for advance bookings on certain domestic routes. To leave no one in doubt as to the source of its powers, the notice cited the FCCPC Act 2018, particularly Sections 17, 18, 32, 33, 80,110,111, 112 and 113, which it says, empowers it to investigate and resolve practices that undermine consumer rights, disrupt markets or create unfair competition.

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    Of the three, Air Peace thought little of the inquiry. In fact, the conduct of the airline in the aftermath of the interaction with the FCCPC – and this is typical of the airline – would somehow betray the antics of an entity that somehow considers itself as being beyond regulation. For a supposed business – a serious one at that, it has been tantrums all the way! From claiming to have reported the allegation of exploitative fares by the FCCPC to the Presidency, to an alleged loss of a summer slot in another country to the damage occasioned by FCCPC allegation, to the ludicrous claim that it should actually be charging N500,000 to N700,000 for a one hour flight (coincidentally, this happened in the same week that another airline actually pegged a one-hour flight fare at N80,000), the airline, quite characteristically, has chosen to fall short of addressing the issues at the heart of its tango with the FCCPC! 

    The tragedy here is that the minister, rather than direct his agency, the NCAA to undertake its separate investigations, merely picked up the gauntlet, not on behalf of the public at whose behest he purports to serve, but in defence of the interests of the operator. Yes, if Minister Keyamo saw any substance in those complaints that have long become commonplace, he was neither prepared to acknowledge them let alone finding merits in them. Like the proverbial dog in a manger, he would rather have the foremost consumer protection body, FCCPC do nothing – while his beloved NCAA luxuriates in its Rip Van Winkle sleep!

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    So much for the jurisdictional and operational issues raised by the minister as highlighted in the interview, it must be surely amusing that the minister actually believes that the airlines problems, which he appears all too eager to inundate the public with, actually vitiate the right of the consumer to seek redress with the FCCPC or any other agency for that matter, within the ambits of the law.

    But even worse is the false assumption, again by the minister, that the NCAA’s statutes somehow convey on it the exclusive jurisdiction on matters bordering on consumer rights and protection in the aviation sector. Even in the United States where the Department of Transportation is often assumed to possess exclusive jurisdiction on such matters, we have seen how, not too long ago, a bipartisan group of 36 state attorneys general actually took an unprecedented bold move to ensure that the country’s Federal Trade Commission (FTC) is granted new powers to investigate airline passengers’ complaints – and this against a 1958 law, under which passenger airlines are exempt from FTC oversight and most state investigations for consumer complaints.

    Said the attorneys general: “Americans are justifiably frustrated that federal government agencies charged with overseeing airline consumer protection are unable or unwilling to hold the airline industry accountable and to swiftly investigate complaints”. 

    Familiar?

    The development, if it must count for anything, is obviously a measure of how the world has changed; an attestation to the primacy of consumer interest in the emerging global aviation eco-system. Applied strictly to the Nigerian situation, it shouldn’t be hard to locate the source of a number of the problems plaguing the aviation in the unwillingness and failure of the players and the regulators to adapt to change and to global best practices. For while it would ordinarily be bad enough that an airline operator would threaten to shut down operations upon being called upon to answer to consumer complaints, (under the patently vainglorious assumption that an entire country should be perpetually indebted to him), what could be worse than the sector’s minister going to a television house to put down an agency of the same federal government? Only in Minister Keyamo’s book!

    Last line:

    It’s been nearly six months since Keyamo’s Federal Aviation Authority of Nigeria (FAAN) mounted its toll at the new Lagos international airport terminal requiring each passing motorists to pay N2,000 in cash only! A less distracted minister would obviously have recognised the arrangement for what it is – an infrastructure in service of Corruption Incorporated. Would that also require a trip to Spain to dismantle?

  • In public interest

    In public interest

    • Society’s health will benefit from NAFDAC ban on alcoholic drinks in sachets

    A ban by the National Agency for Food and Drug Administration and Control (NAFDAC) on alcoholic beverages packaged in small sachets and pet bottles came into force last week. The agency said it had since December 2018 struck a deal with stakeholders to stop production of the beverages in such packages and gave manufacturers a five-year window to phase them out. It was after the grace period lapsed that enforcement of the ban kicked in on February 1.

    Following the deadline expiration, operatives of NAFDAC have been moving in on alcoholic beverage-producing factories not in compliance to seal them off. NAFDAC Director-General, Professor Mojisola Adeyeye, said the ban was not a sudden thing, but rather the outcome of an agreement by a multilateral committee that the policy be implemented in phases. Under the pact, production was to be cut by 50 percent by 2020, while outright ban was to take effect on January 31, this year. Given that decision, the regulatory agency had not issued licence renewal beyond last month to any manufacturer.

    At a parley with journalists in Abuja, the NAFDAC helmswoman said the agency resorted to eliminating alcoholic beverages in sachets because of the negative effects on public health, especially underage children. According to her, the beverages were being packaged in pocket-friendly sizes and at affordable costs, which made them accessible to children, among others, with susceptibility to addiction. She recalled that the decision to eliminate the packages stemmed from the recommendation in December 2018 of a panel involving the Federal Ministry of Health and NAFDAC on one hand, and the Federal Competition and Consumer Protection Commission (FCCPC), industry stakeholders represented by the Association of Food, Beverages and Tobacco Employers (AFBTE), as well as Distillers and Blenders Association of Nigeria (DIBAN), on the other hand.

    Adeyeye outlined sundry hazards to public health constituted by the packaging being eliminated. “The people who are mostly at risk of the negative effect of consumption of the banned pack sizes of alcoholic beverages are the under-aged and commercial vehicle drivers and riders,” she said. According to the NAFDAC boss, the World Health Organisation (WHO) has established that children who drink alcohol “are more likely to use drugs, get bad grades, suffer injury or death, engage in risky sexual activity, make bad decisions and have health problems. The WHO also stated that harmful consumption of alcohol is linked to more than 200 health conditions, including infectious diseases (tuberculosis and HIV/AIDS) and non-communicable conditions (liver cirrhosis and different types of cancer). It is also associated with social problems such as alcohol addiction and gender-based violence.” She added: “To curb the menace of abuse of alcohol, the WHO recommended some actions and strategies to policy makers that have shown to be effective and cost-effective. These include regulating the marketing of alcoholic beverages (in particular to younger people) and regulating and restricting the availability of alcohol.”

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    We are in total agreement with the regulatory czarina that sachet-pack alcoholic beverages have been hugely detrimental to public health in the country; hence, the clampdown is a welcome step that portends great benefit to society. And this isn’t just in the area of health. The heightened crime wave presently being experienced has been found to involve more of youthful persons, with their emboldening most likely stemming from easily accessed stimulating drinks and drugs that society would be better off getting out of reach. Safety on our roads will also be positively impacted because drunk driving by commercial drivers is largely attributable to easy access to sachet alcohol at motor parks.

    Organised labour was reported raising opposition to the NAFDAC ban and shutdown of production lines of companies manufacturing alcoholic drinks in sachets and small bottles below 200ml. Protesting workers, led by labour leaders to NAFDAC office in Lagos, complained that no fewer than 45,000 jobs and billions of Naira in investments were at the risk of going down the drain. But it is pertinent to note that these producers had a five-year window to readapt their production lines, which they didn’t avail themselves of. Labour should encourage such re-adaptation now rather than fight the laudable policy of NAFDAC. Adeyeye was bang on point when she said the future of Nigeria superseded other considerations in the enforcement of the policy, and that saving Nigerian children and protecting the health of the larger society was paramount to the agency. We can’t agree more.