By Adeleye Kunle
The Minister of Information and Culture, Alhaji Lai Mohammed, has stated that relevant authorities are working to address issues concerning foreign airline revenue that has been trapped in Nigeria, which is estimated to be worth more than $600 million.
The minister said yesterday during a facility tour of the new international terminal at Murtala Muhammed Airport in Lagos, “On the trapped funds, I can tell you that the relevant authorities are working hard on that issue.”
Emirates Airlines announced last week that it would cease all scheduled flights to Nigeria on September 1, 2022, unless the government took action to address the airline’s revenues that it had been unable to repatriate, which had risen to approximately $95 million.
Other foreign airlines may reconsider their operations in Nigeria due to their inability to repatriate their earnings from the country.
In response to the delayed start of flight operations at the new Lagos terminal, the minister stated that the facility needed to be thoroughly tested to ensure that all equipment was in working order before the terminal could be used.
“I was here when the first terminal opened 40 years ago.” There is a period of time between when an airport is commissioned and when it becomes operational. You are aware that mistakes in aviation are not forgiven. So we need to test everything and make sure everything is working properly,” Mohammed explained.
The minister stated that the Chinese loan used to facilitate the construction of the new terminal would be repaid, and that Nigeria’s major challenge was that its tax to GDP ratio was so low because most Nigerians do not pay tax.
He did, however, appeal to Nigerians to assist the government by paying their taxes so that the country’s deficit could be reduced.
The new International Terminal 2 at Murtala Muhammed International Airport in Lagos was built to supplement, not replace, Terminal 1. Passengers would be able to check in at one terminal and board at another using this method.
Mohammed also stated that this was the first terminal added to the original terminal in over 40 years.
“Under a bilateral agreement with the People’s Republic of China, the Terminal 2 Project began in 2013 and was completed by the current administration in 2022.” The terminal, which has cutting-edge facilities and fittings, can handle 14 million passengers per year.
“Aesthetics, comfort, free trolley services, hotel and premium lounges, friendly customer service, and free wifi create an entirely new experience.” The news terminal has created over 10,000 direct and indirect job opportunities,” he added.
Speaking at the event, the Managing Director of the Federal Airports Authority of Nigeria, (FAAN), Rabiu Yadudu, stated that the FAAN would rather take its time than begin flight operations at the new airport on the wrong footing, but added that this did not mean that nothing was being done.
He stated that five more airlines would begin operations in the new international terminal on September 1, 2022.
Yadudu stated that much integration is required and that more than eight airlines have expressed interest in beginning operations at the new terminal, but only five will begin operations on September 1.
“There is a connecting area with the old terminal where passengers will be able to transfer from one terminal to the other.” We require the aircraft to be able to park on one side only.
“The second part is that FAAN is working with the federal government to ensure that obstructions are removed so that planes can park in that area.”
Musa Nuhu, Director General of the Nigeria Civil Aviation Authority (NCAA), also spoke after the tour and denied reports that the authority had raised landing and parking fees.
“I am not aware of any charge increase, and I have not authorized it.” The truth is that the last time the NCAA raised its fees was ten years ago. If we charged N5,000 ten years ago and are still charging the same amount today, it means we are not recouping our costs.
“We provide services and subsidize them.” We understand the industry’s current challenges, but going forward, we must sit down and review it because the NCAA receives no funding from the federal government. All of our revenues are generated internally, and we rely on them to provide the necessary services for the public’s safety, security, and efficient service delivery. “The NCAA cannot also raise any fees without first consulting with stakeholders,” Nuhu explained.
