N47bn Debt: NCAA Slams ‘No Pay, No Service’ Sanction On Debtor Airlines

The acting director general of the Nigerian Civil Aviation Authority (NCAA), Capt. Chris Najomo, has disclosed that any of the local airlines owing the authority would be denied operations.

Speaking, in a media forum held, over the weekend, in Lagos, the NCAA boss revealed that the airline’s debt runs into several billions of naira.

Najomo did not disclose how much the carriers owe the agency and other parastatals but as of August 2022, no fewer than 23 domestic airlines owe the Nigerian aviation agencies about N47 billion for various operational charges.

While they owed the NCAA, for statutory five per cent Ticket Sales Charge and Cargo Sales Charge (TSC/CSC) N19 billion and $7.8 million, they are also indebted to the Federal Airports Authority of Nigeria (FAAN), and the Nigerian Airspace Management Agency (NAMA) to the tune of N18 billion and N5 billion respectively.

According to him, any airline that failed to service its debt, henceforth, may not have its Air Operator Certificate (AOC) renewed.

He stated that the authority had already set up a debt recovery task force mandated to implement its debt recovery drive.

“All debtors to the NCAA shall seize services from the authority. Its operation, no pay, no service, now has strict sanctions for defaulting operators.”

“We are intensifying our cost recovery drive; the federal government now takes 50 per cent of the money. Most of the airlines are owing us, we have told them to pay up. A debt recovery joint task force shall be mandated to implement the cost recovery drive,” he added.

Najomo, who unveiled his agenda for the authority, said the journey to transform the Aviation sector has just begun.

According to him, digital transformation, intensified revenue drive; Universal Safety Audit and ISO 9001 certification are part of his agenda for the year.

Najomo stated that the NCAA is committed to implementing a simplified certification/licensing system to streamline the approval process.

According to him, this will be extended to other authorizations, approvals and permits.

“This is a derivative of the Ease-of-doing-business philosophy towards encouraging growth of the Aviation industry.”

Speaking on consumer protection, the NCAA boss disclosed that there are consumer protection officers monitoring airlines operations at all Nigeria’s airports.

He further explained that some delays and cancellations are not the fault of the airlines but when it’s their fault, they will be made to pay according to the regulations.

He hinted at putting up a portal where passengers can log in their complaints for prompt attention and resolutions.

“Enforcing airlines’ compliance with the Nig. Cars 2023 Part 19 (Consumer Protection Regulations) is priority. We will ensure that airlines provide timely care to passengers for service disruptions, we will ensure that consumers receive quality service In the Nigerian aviation industry and that their rights are always protected,” he said.