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Tuesday, September 29, 2015

‘Airlines Not Ready To Pay Debts To Agencies’

Aviation
Despite aviation unions’ protests over alleged N100 billion airlines’ indebtedness to aviation agencies, especially the Federal Airports Authority of Nigeria (FAAN), airlines do not appear ready yet to begin payment of the debt.
According a competent aviation source, a major debtor airline has yet to come to agreement as to the actual value of its debt.
“They have had meetings with the permanent secretary of Aviation on the issue, but they are saying that the debt figures are unrealistic, demanding one adjustment or the other. I can say that they have not shown any readiness to begin paying the debts,” the source said.
 The Air Transport Services Senior Staff Association of Nigeria (ATSSSAN) and National Union of Air Transport Employees (NUATE) recently grounded activities at the FAAN headquarters in the Murtala Mohammed Airport complex, Lagos in a protest over indebtedness by airlines to the airport agency.

During the protest, the general secretary of NUATE, Comrade Olayinka Abioye alleged that one domestic airline alone owed FAAN N25 billion and gave all debtor airlines one week to settle their debts.

Also addressing the workers, the president of ATSSSAN Comrade Benjamin Okewu said the debt profile by airlines were becoming too alarming.

Okewu said, “A bleak future await all debtor airlines as it will never be business as usual. I believe aviation stakeholders still remember how sent one concessionaire at this airport packing from the airport and same will be extended to debtor airlines and concessionaires.

“If we want to achieve, let all prepare for war. We must act and consolidate our decision to do the right thing.”

In spite of the debt controversies, LEADERSHIP gathered that affected airlines have not even come to terms with the factual amount that they owe. Some of them merely asked for “reconciliation of the debt figures” stating that the debt values as given by FAAN have been over bloated.

The ministry of Aviation had in August 2015 alleged that the debts owed to the aviation agencies by Nigerian airlines had risen to about N100 billion. The debts are alleged to be owed to the Federal Airports FAAN, the Nigerian Airspace Management Agency (NAMA) and the Nigerian Civil Aviation Authority (NCAA).

The debts emanated from failure of the airlines to remit to agencies five per cent service charge, landing and parking charges as well as en-route navigational charges which they collect from air passengers on behalf of the agencies.

The permanent secretary at the Aviation ministry, Hajia Binta Bello and FAAN senior staff in August met with some of the airlines to review their indebtedness and a committee was set up, which would reconcile the debts.

On the debts owed by the airline, Arik Air’s deputy managing director, Captain Ado Sanusi, had called for “a rescheduling” of the airline’s debts, as well as a downward review of interest rates.

“The aviation parastatals should do a re-set button for the airlines. They can look at the whole debts and negotiate with the airlines. They can reconcile the debts and tell the airlines to pay a percentage of the total debts and agree on payment modalities,” he said.

The post ‘Airlines Not Ready To Pay Debts To Agencies’ appeared first on Nigerian News from Leadership News.

Source:: Leadership Newspaper

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