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..Blames FCCPC for sabotaging expansion opportunities
By Chinelo Obogo
Air Peace has said that it just lost the opportunity to get a slot for flight operations in another country as a result of the statement made by the Federal Competition and Consumer Protection Commission (FCCPC) that the airline is under investigation for ‘exploitative practices.’
Last Sunday, the FCCPC said it has launched a major inquiry into widespread consumer complaints against Air Peace, Guaranty Trust Bank and MTN.
The commission’ Director, Corporate Affairs, Ondaje Ijagwu, said in a statement that the inquisitions, will begin on December 3rd, 4th, and 5th and are intended to address issues of poor service delivery, exploitative practices, and potential consumer rights violations.
But the Chief Operating Officer of the airline, Toyin Olajide hit back at claims that Air Peace is engaged in poor service delivery and exploitative practices. She said it is unfortunate that despite the support President Bola Tinubu has given the airline, some government agencies are bent on undermining his efforts.
She said the aviation sector is regulated by the Nigerian Civil Aviation Authority (NCAA) and if there are any issues regarding any aviation company, there are proper channels and processes to follow.
Reiterating that the airline’s Chief Executive Officer, Allen Onyema, had personally responded to the inquiry at the FCCPC’s office, she expressed shock at the FCCPC’s allegations of being investigated She said, “We got this letter, and a day later, it was in the press that FCCPC was investigating Air Peace, even though the initial communication said it was an inquiry.”
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Olajide said that operating a one-hour flight costs Air Peace over N15 million, highlighting that fuel alone constitutes 60-65% of operational costs. At NGN1,400 per liter, fuel costs for a single hour amount to N7 million. Added to this are Aircraft Crew Maintenance and Insurance (ACMI) costs of $4,000 per hour, which translate to nearly NGN7 million more. Insurance, burdened by Nigeria’s risk stigma, introduces an additional NGN5 million per flight.
She further emphasised that the implications of such statements are far reaching and can affect the entire industry negatively. Citing an instance of such implications, she said one of the countries the airline has been applying to for a slot, wrote to them saying they aren’t a priority and do not have slots available. The COO said the negative response to its request was not unconnected to its current impasse with the commission.
“A country we have writing to for a slot wrote back to us yesterday to say that they don’t have a slot for us because they said we are not their priority.
“They tell us we are not priority because of the way we are treated in our country. I just hope we can support our own. We are trying our best to put Nigeria on a global map. We need just little support. Don’t destroy our efforts,” Olajide said.
She said when people read reports suggesting that a country is investigating its foremost airline, they will begin to treat the airline with disrespect and suspicion.
“We cannot allow this same airline that has come to the aid of Nigerians to be pulled down. Today we have other African carriers that come to Nigeria and are charging very high fares. Other countries are begging us to come to their country. What we are charging today is still below what our counterparts with better conditions are charging,” Olajide said.
She further explained that it costs $4,000 to operate an aircraft for a one-hour flight including crew, maintenance and insurance. She said insurance costs three times more than it costs in other climes because Nigeria is stigmatised.
