INTERVIEW: Cargo Development and Non-Aeronautical Revenue Key to Aviation Growth – ATSSSAN President Ogbe
Comrade John Ogbe is the new president of the Air Transport Services Senior Staff Association of Nigeria (ATSSSAN). In this interview with CHUKWUEMEKE IWELUNMO, he urges airport managers to focus on cargo development and non-aeronautical revenue streams to sustain airports. Ogbe also wants airlines to explore dry-lease agreements to bring in aircraft, while the government should encourage the establishment of MROs to ease aircraft maintenance and reduce capital flight. Excerpts…
Daily Times: Congratulations on your election as the president of Atsssan. Tell us what we should be looking forward to, especially from your members.
John Ogbe: Okay, like I said, in my manifesto, I highlighted a lot of issues that we need to address in the industry. Because when the workplace is good, my workers are smart. You cannot completely separate them.
If my airline is doing well, I have members in the airlines, on the ground, and in government agencies. So if their workplace is working well and everything is right, my members will be smart. Because I believe my members are critical stakeholders in the industry.
You know, they are the ones that oil the way, that rule the activities in the industry. So they are critical stakeholders. So with the airlines, what I would want the government to do is invest more in MRO facilities in the country.
From studies, we came to understand that when these aircraft go for C-checks, D-checks, and all that, they do C-checks and D-checks abroad, and it takes a lot of money. These things are in dollars. You know, they don’t pay in Naira.
So it’s a lot of cost for the airlines. And invariably, when the airlines are not doing well, it’s going to affect my members. So the government should open up, you know, through PPP.
Because I don’t think the government going into that business should create an enabling environment so that investors can come and set up MROs in Nigeria, where it can help and support the airlines. And I think the government signed, last year, the government signed this Cape Town thing that, on aircraft leasing, made it very easy for aircraft leasing. You know, that’s another thing.
Our airlines should tap into this dry lease agreement, which makes it affordable to bring in aircraft. And on a sustainable financial model, it will help to support the airlines. You understand? And another thing, again, I want them to sustain the waivers on spare parts of aircraft, which is very, very important.
Because these things are not being made in Nigeria, and airlines require forex to get them in. So if the government can continue to support the airlines in this regard, it will help with the expenses the airlines will require to finance their aircraft operations.
Daily Times: Generally, how would you assess the aviation industry last year?
John Ogbe: Yes, aviation is moving. It’s moving. You know, when something is moving, whether it’s not moving fast or it’s moving, if it’s moving slowly or it’s moving fast, the most important thing is that there’s a movement. There are indices there for growth. And we should sustain it. We should sustain it. Most of the engagements, like this Cape Town Convention, the dry leasing, the MRO initiative, and other things coming up are all activities of the airport.
So, the aviation industry is moving. And I also observe, too, again, the government policy of PPP in the area of bringing foreign funds to support airport infrastructure. It’s something that is good, and I would encourage the government to continue in that light. Because if the foreign investors know that their money can come, help develop the place, and they can recoup their money, it’s a very good development. So aviation is moving. It’s moving.
Daily Times: Let us look into opportunities around cargo. What is your projection?
John Ogbe: We have to develop cargo. We have to tap into the opportunities around perishable and non-aligned cargo all across Nigeria.
Because that is going to be a huge export potential for Nigeria. Because when we support facilities around cargo operation and we can take our goods out of the country, it’s going to bring forex to Nigeria. And it’s going to support the agenda of the one trillion Naira economy of the policy of the federal government.
So we need a lot of investment around cargo facilities all across Nigeria, where we have the potentialfora cargo export. So I want to look into this very seriously.
Daily Times: How would you rate the performance of the FAAN Managing Director?
John Ogbe: We must look at FAAN and the performance of our managing director for the past two years regarding labour issues.
I would like to say she has done very well, and the reason is simple: she is open, nd she creates room for that continuous engagement on any issues that have to do with staff welfare. So when issues are discussed, there will be a solution, and you will see that I look for a real solution to the problem.
So, my managing director has had an open-door policy, discussing with every level of the labour leaders to resolve issues in FAAN. We know what the issues were when we came in, before it was under our time, we were able to consolidate our salary, some of our allowances that took years or months to be resolved, weand are getting it resolved. And our pension issue, she is facing it headlong. Ifyou are conversant with the issue recently, we have been migrated to HMOs w, where people have started registration.
So everything that has to do with staff welfare, she takes the priority, so that is for the FAN MD. She is a lalabour-friendlyD and we know that even in the coming year, she is still going to do more to improve the welfare of FAN workers. Okay, so which particular area do you want her to give attention to? Because we know there are several issues regarding the staff.
Daily Times: Tell us the particular one you want her to face that is really a turning problem within the organisation.
John Ogbe: Yes, like I said, our condition of service right now is with the SRS and with this commission, which you see requires some levels of lobbying at the top to get it out. And I would be very glad, it is something that we celebrate in FAN, if she can chase out that condition of service.
I know she is doing a lot in regard to that right now, but in the end, it comes out the er for FAAN workers. And the other issue is our unresolved pension problem. She has been doing a lot of work because there are some requirements by PENCOM that there is some money that we need to continue dropping, and she has started paying that money.
You know the issue of the FAAN benefits schemes being operated in FAAN alongside the contributive pension scheme. So if we can get the pension issue completely resolved, though she has started working on it seriously, we want to get it resolved, and her condition of service is to go well for workers.
Daily Times: Can you also tell us something about what you expect from the government regarding NAMA and other agencies?
John Ogbe: For the NCAA, it has been doing very well. And I want them to continue to strengthen their regulatory activities.
It is very, very important. You know, regulation is very important. It keeps our aircraft very, very safe.
You know, for NAMA, there is something I observed. Their navigational charges have been there for over 15 years. You know, and the rate has not changed.
You know, and even if it is on cost recovery, the cost of providing those services more than 15 years ago cannot be the same thing now. I think the government should look into the tariff of the navigational charges of NAMA. It is very, very important.
So that they will befit for the purpose. They will be able to functionally carry out this responsibility and support. Because once we don’t have navigational charges, it becomes a safety concern.
So I want the government to look at it. And NCAA to continue to strengthen its regulations is very important onforirworthiness and other issues like that. Because we have not really had any major aircraft mishap in the country. And it is a good thing. But it is not magic. It is people doing some great work at the back end.
