Nigerian airlines demand permanent scrapping of $300 chopper landing fee

…Commend Keyamo for suspending charges

By Chinelo Obogo

The Airline Operators of Nigeria (AON) have opposed the $300 helicopter landing and take-off fee which was proposed to be implemented by the federal government, insisting that it must be permanently scrapped.

A memo signed by the Minister of Aviation and Aerospace Development, Festus Keyamo, required helicopter operators to pay a $300 landing fee per flight at all designated landing zones in Nigeria, including airports, helipads, airstrips, floating storage and offloading (FSO) units and oil industry infrastructure. The memo empowered Naebi Dynamic Concept Limited to exclusively collect these fees, emphasises strict compliance and threatens “appropriate sanctions” for noncompliance.

But the directive was heavily criticised by operators who argued that the fee contradicts Nigeria’s laws and international regulations as the Nigerian Airspace Management Agency (NAMA) Act and International Civil Aviation Organisation (ICAO) documents both state that fees should only be charged for services rendered. The AON then met with Keyamo and presented their position, which led to a temporary suspension of the fee and the formation of a committee to investigate the issue.

However, on Thursday, June 6th, the aviation body came out with an official position on the issue, insisting that the government didn’t follow proper procedures for introducing the fee, including seeking approval from relevant authorities or consulting stakeholders. In a statement signed by the spokesperson of the AON, Prof. Obiora Okonkwo, the body said in 2021, the immediate past minister of aviation, Hadi Sirika approved Messrs. Naebi Dynamic Concepts Limited to collect the fees but thanked Keyamo for temporarily suspending it.

The body said that despite the absence of any legal framework and justification for its imposition, and despite being so advised by the agencies, Sirika approved the proposal for collection of the fee for all helicopters landing and taking off on and from oil fields/terminals/platforms/rigs/FPSOs, etc. The airlines said consequent upon the approval and engagement, Naebi has since been demanding payment of hundreds of thousands of dollars from already overcharged helicopter operators as landing fee without providing any service whatsoever to the operators.

AON said: “This matter began in 2018 when Naebi Concepts proposed the introduction of this so-called fee to Sirika, who forwarded the proposal to the Nigeria Civil Aviation Authority (NCAA) for comment. NCAA made it clear that there was neither legal framework nor legal justification for it to introduce such fee, and that aside certification of helipads, most of which are privately-owned, and for which it charged certification fee, it did not provide any service to helicopter operators that would justify the imposition of such fee. The Federal Airports Authority of Nigeria (FAAN) which manages airports also had neither legal framework nor justification to impose such a charge on helicopter landing and take-off other than at its airports, which helicopter operators pay just like other aircraft operators in Nigeria.

“AON rejects the imposition of the fee for the following reasons: NAMA does not provide any additional service to helicopter operators to justify the imposition of the fee at all helipads, oil rig platforms, FSPOs, FSOs, etc. in Nigeria. The approval and imposition of the fee at private helipads, oil rig platforms, FSPOs, FSOs etc. when no service is provided at those locations to the helicopter operators by NAMA is contrary to the provision of section 7 (1) (r) of the then applicable NAMA Act as well as to section 1, paragraph 2 (1) of ICAO Document 9082. NAMA did not adhere to the policies, principles and guidelines contained in ICAO Documents 9082 (ICAO’s Policies on Charges for Airports and Air Navigation Services) and 9161 (Manual on Air Navigation Services Economics) before imposing the fee. Part 18, section 18.8.1.1 (e) of the Nigeria Civil Aviation Regulations require NAMA to adhere to the policies, principles and guidelines contained in those documents. NAMA did not obtain the approval of NCAA before imposing the fee. Part 18, section 18.8.1.1 (b) of the Nigeria Civil Aviation Regulations require NAMA to obtain the approval of NCAA before imposing any new charges and fees for its services.

“NCAA has the statutory power to regulate the charges that may be made in respect of air traffic control and for the use of aerodromes and for services provided at such aerodromes. NAMA did not consult the helicopter operators and other stakeholders before imposing the Helicopter Landing and Take-off Fee. Part 18, section 18.8.1.1 (d) of the Nigeria Civil Aviation Regulations require NAMA to adhere to the principles and procedures of consultation with users, cost-relatedness, non-discrimination and transparency in the application of charges and fees.Contrary to the Ministry’s Press Release of 13th May, 2024, neither NCAA nor FAAN is a party to the MoU between NAMA and Naebi Dynamic Concepts Limited for the collection of the fee as those agencies had made it clear that they have no legal framework or justification to impose such fee.

“The fee is charged and demanded for in US dollars contrary to the provision of section 15 of the Central Bank of Nigeria Act, which is clear that the unit of currency in Nigeria shall be the naira. There is nowhere in the world where the air navigation service provider does not provide any service to helicopter operators but charges landing and take-off fee for landings and take—off on and from private helipads, oil rig platforms, FSPOs, FSOs, etc. The engagement of Naebi did not follow due process as it did not comply with the requirements of the Public Procurement Act for the procurement of the services of consultants. The AON had at a meeting held recently with the Minister of Aviation and Aerospace Development made its position on the fee known. This led to the temporary suspension of the collection of the fee and the setting up of a committee to look into the issues raised by the AON and other stakeholders. We commend the Honourable Minister for giving a listening ear to our position on the matter and for his great leadership of the aviation industry and support for the growth and sustainability of Nigerian air operators.”

 

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