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The Nigeria Civil Aviation Authority (NCAA) has warned that any move to reduce its statutory share of the Ticket Sales Charge (TSC) could undermine aviation safety, weaken regulatory oversight and expose air travellers to significant risks.
The warning comes amid moves to amend the existing revenue-sharing structure in favour of the Nigerian Airspace Management Agency (NAMA), with a Bill already before the National Assembly seeking to alter the allocation of the TSC.
Speaking with journalists in Abuja, the NCAA’s Director of Public Affairs and Consumer Protection, Michael Achimugu, argued that cutting the Authority’s share of the TSC would cripple its ability to carry out critical safety oversight functions.
He stressed that the NCAA, as Nigeria’s aviation regulator, requires stronger financial support rather than further reductions in its funding.
According to him, weakening the regulator’s finances would have direct implications for aviation safety.
“The CAA even requires more money. First of all, let’s not forget that the federal government makes deductions from what even comes to the CAA in the first place. Any way you look at it, this move by a revenue-generating agency to cut even more into the CAA’s cost recovery is a very unnecessary move. The reason planes are not falling from the sky today under this administration, unlike in the past, is because of the CAA,” Achimugu said.
The NCAA currently collects the five per cent Ticket Sales Charge and remits portions to NAMA, the Nigerian Meteorological Agency (NiMet), the Nigerian College of Aviation Technology (NCAT) and the Nigerian Safety Investigation Bureau (NSIB), in line with statutory provisions.
Achimugu explained that while NAMA was established to operate as a self-sustaining agency through internally generated revenue, the NCAA was originally intended to be funded by the Federal Government because of its safety regulatory role. The introduction of the TSC, he noted, was designed to ease the government’s funding burden, although the regulator still shares its allocation with other aviation agencies.
Industry experts have also maintained that in many countries where Air Navigation Service Providers (ANSPs) operate on commercial or privatised models, they are largely self-financing rather than dependent on government allocations.
Achimugu maintained that regulatory agencies worldwide are adequately funded because they play a critical role in protecting lives and ensuring compliance with international aviation standards.
He said the NCAA’s inspectors must remain better trained than the operators they supervise to guarantee effective safety oversight.
“The staff of the regulatory agency must be better trained than the service providers they regulate. If inspectors do not possess superior technical knowledge, they cannot effectively enforce safety standards,” he said.
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He also credited the Authority’s regulatory efforts for Nigeria’s positive performance in global aviation assessments and improvements in passenger rights protection.
“The reason Nigeria continues to excel in safety and security audits is because of the NCAA. The reason passengers’ rights are better protected today is because of the NCAA,” he stated.
The NCAA spokesman urged stakeholders to carefully weigh the implications of reducing the regulator’s financial capacity, insisting that agencies with independent revenue-generation mandates should strengthen their own funding sources instead of seeking a larger share of the Authority’s statutory allocation.
“The NCAA needs more funding, not less. We are a cost-recovery agency, not a revenue-generating one. Proper funding ensures inspectors remain well-trained and adequately remunerated, reducing the risk of compromise and protecting the flying public,” he said.
Achimugu disclosed that the Minister of Aviation and Aerospace Development, Festus Keyamo, has already intervened to address the dispute over the proposed revenue-sharing arrangement.
According to him, discussions are ongoing among all parties involved to find an amicable resolution.
“The Honourable Minister of Aviation and Aerospace Development is already on top of these issues, discussing with all parties.
“I would like to call on persons who are always going to the press with inciting statements to desist from doing so. Since the minister is already handling the matter, there is no need to continue trying to influence public opinion,” he said.
Achimugu also dismissed reports alleging that the NCAA owes NAMA, describing such claims as inaccurate.
He explained that remittances to beneficiary aviation agencies are processed directly by the Central Bank of Nigeria (CBN) in accordance with statutory provisions, rather than by the NCAA itself.
“The NCAA does not make remittances directly to the agency. The CBN does so. From our checks, the remittances were being processed. So, the issue of the NCAA owing anybody does not arise,” he stated.
The latest dispute over the distribution of the Ticket Sales Charge comes as stakeholders continue to debate the financial sustainability of Nigeria’s aviation agencies, with the NCAA insisting that preserving adequate funding for the country’s safety regulator remains essential to maintaining aviation safety standards and protecting the flying public.
