Many citizens have described as shameful, the inability of the planned country’s carrier, Nigeria Air, to takeoff, years after about a million US dollar was spent in mist launching its logo. JOSHUA EGBODO writes on emerging issues occasioned by recent interventions of the House of Representatives
A lame project?
It was all excitement when on July 18, 2018, the Nigeria Air logo was launched, with commendations flowing in appreciation of the Federal Government on what many saw as a visionary initiative. Years later, however, pessimism has dogged the initiative on the genuineness or otherwise of the dream, with allusions of the authority using same as another conduit.
Experts in the field and followers of the inability of the national carrier to takeoff expressed that it shouldn’t be a surprise to anybody, as promoters of the project were moving around the world in search of no specific items, a development they explained as pointer to the fact that there were no concrete plans on ground to show that an airline was to be.
Cited as an instance was the conflict of ideas between the Ministry of Transport and the ICRC, the regulatory body in charge of certifying the conditions to be met before a national carrier could be established.
Another noted impediments was were, of decaying and in some critical cases, non-existing infrastructure; and the then Nigerian Airways pensioners unpaid arrears, though same was later attended to by the government.
There was also the ICRC’s condition that the Nigerian government must not wholly operate the airline; and numerous other issues. Pundits were of the opinion that without the preliminaries required for the birthing of such a project, it was akin to a dead on arrival arrangement.
The $700 million foreign airlines’ fund issue, a new boost?
While the debate lasted on the feasibility of Nigeria Air, reports were up on the controversial trapping of about $700 million belonging to foreign airlines operating into the country’s airspace. Threats were issued by the affected operators, including possible stoppage of flights to Nigeria. Many saw the development as one of the boosters to the recent interventions by the House of Representatives.
Reiteration of takeoff timeline
Intervention of the House of Representatives, through its Speaker, Femi Gbajabiamila saw a reiteration of the December 2022 take off date for the national carrier. During the meeting held last Friday, Minister of Aviation, Hadi Sirika, said the federal government was making efforts to ensure the Nigeria Air takes off in December.
He also said the government has already ordered 20 training aircraft in preparation for the national carrier project, adding that that President Muhammadu Buhari, at the just concluded ministers’ retreat gave a marching order to ensure that the project becomes a reality.
“When I came in as a minister, we didn’t arrogate to ourselves knowledge and wisdom. We believe in the stakeholders on whose behalf we are servicing. Having been made minister, I came out with a road map which in my little wisdom will help transform civil aviation in Nigeria.
“I ran it through the system within the ministry and we commissioned some consultants to conduct a market survey and see where we are as an industry at that time. We set out to concession our airports not to privatise but to concession the airports. We also set out to put a proper airline the size, capacity, dynamics and the population and the markets and the complexity of the nation, Nigeria and also set out a leasing company and develop the cargo terminals and so on.
“When I came to the House of Representatives, I found out that the Act that was signed by Jaja Nwachukwu in 1963 was the Act that we were using, charging pounds and shillings in 2003. We hurriedly, as we were departing in 2007, got the Civil Aviation Bill passed in 2006 with some imperfections.
“There were some important ones, roadmaps and to God be the glory that today we have done what we thought is good as an Act. So, all these roadmap items are private-sector-led and driven. It’s intended to do the framework and the foundation and steer it in such a way that it will be beneficial to the people and make it a private sector initiative to which the government has some interests, understanding the civil aviation in value addition, improving the GDP and jobs.
“The national carrier is in the works and we have advanced significantly just yesterday, Mr President in concluding the retreat has directed that this airline must work between now and December. And it will work by God’s grace. We have ordered 20 brand new training aircraft that use petrol. So far nine have been delivered. All these in the national carrier efforts,” he said.
Why necessary
In his justification for the national carrier, Sarika said with it, the government is giving every Nigerian the opportunity to participate in the airline so that the project can be workable, especially those in the aviation sector. “We have so far from all the submissions identified the partners, and the investors and we are currently negotiating and processing the AOC. We are twerking the business case in such a way it will give us an advantage and set in in the most efficient manner. So, I want to commit here by the grace of God, between now and the end of the year, the airline will work”, he stressed.
But the concerns
Speaker Femi Gbajabiamila, line many other Nigerians, during the meeting pointed out that there have been issues with the planned establishment of the national carrier. “The issue of the national carrier is very important. It is something we are all paying attention to. We just want to make sure we get it right. There have been some misgivings. Some issues have been raised. But there are issues that need clarification,” he said.
Also in his remarks, Chairman of the House Committee on Aviation, Nnodim Nnaji, expressed concern over allowing another country’s national carrier to own a major stake in the expected Nigeria Air, expressing fears of possible counter-productivity, demanding that the Federal Ministry of Aviation to furnish the committee with the actual financial value of the 49 per cent equity being ceded to the Ethiopian Airline in the proposed Nigeria Air Limited.
The committee further urged the Minister to ensure that the members of the Airline Operators of Nigeria that were willing to acquire shares in the national carrier were accommodated. “You must also ensure that Nigeria Air when established will not have undue advantage over the local airlines,” the committee stressed, urging the Nigeria Civil Aviation Authority (NCAA) to ensure a level playing ground for both the national carrier and the other indigenous airlines.
Speaking during the meeting, Captain Roland Iyayi for the Airline Operators of Nigeria (AON) said some domestic issues had to be sorted out. “Many issues have not been addressed by this proposition. These issues must be addressed to be of benefit to Nigerians. There is need to have a structure that takes the interest of the country and domestic airlines. Domestic airlines can be equipped to become national carriers.
“The operations of the Nigerian Air could stifle domestic operators if not properly managed”, he said.
In similar vein, Vice President of AON, Allen Onyema asked that domestic airlines have to be carried along. “The manner Ethiopia is coming into the arrangement for Nigeria Air could cause existential problems for indigenous airlines. There is need to carry domestic airlines along in the process. Let us come together as it is not too late to do so”, he said.
Assurances
To many, the observed concerns are not misplaced, and therefore must be squarely addressed. To this, Minister Sirika disclosed that the Ethiopian Airline would hold 49 percent shares while the Nigerian Government and the Nigerian public would retain 5 percent and 46 percent equities respectively.
According to him, the 49 percent majority shares would be held by a Consortium to be spearheaded by Ethiopia Airlines, assuring the House of Representatives that the full business case (FBC) which would be out in six weeks (from last Friday) would spell out all details of the shares.
Hope reignited?
With further assurance from the House of Representatives, through its committee on aviation, many Nigerians say it is hope brought back to life. Nnaji had equally stressed that the committee was up in vigilance to ensure that Nigerians are not shortchanged in the entire process, so it is a case of time to seeing that the hopes are not dashed.
