Lai Mohammed, Babalakin urge aviation pros to participate in governance

…As airline operators decry harsh policies

For the aviation sector to be in a very good shape, Minister of Information, Culture and Tourism, Alhaji Lai Mohammed and Chairman Bi-Courtney Aviation Services Limited (BASL), Dr. Wale Babalakin have urged members of the Aviation Safety Round Table Initiative (ASRTI) to be part of the policy making process so that they can make the desired impact.

Speaking at the ASRTI breakfast meeting held yesterday in Lagos, Alhaji Mohammed pointed out that remaining an activist or a critic alone cannot help the industry, stressing that the ASRTI members should find a way to be part of the decision making process.

Alhaji Mohammed said “There are lots of challenges in the areas of regulatory framework and capacities; until you and I go there to change things, nothing will change. The greatest challenge that will face someone is institutional challenges.”

Mohammed who said that the government has never taken excuses for non-performance because they inherited a bad governance, stated that all they did was to let the world know what the government inherited. The minister emphasized the importance of government obeying agreement arrangements, just as warned that disobedience to agreements reached is a bad signal not only to the international community but to the local community.

“Agreement must be obeyed. We must not continue to be government to look at ethnic considerations in making policies. When you sit and make an agreement, it is not anyone’s fault that the other party did not come to the table ill prepared”, he said.

The minister said that tourism is not a stand-alone ministry and that is why they are collaborating with other government agencies such as Ministries of Agriculture, Aviation, Interior, Transport, including Central Bank of Nigeria (CBN) so as to survive.

Also speaking was the Chairman Bi-Courtney Aviation Services Limited (BASL), Dr. Wale Babalakin who advised ASRTI members to find a way into the political system so that they could be heard.

Dr Babalakin said that Nigeria should find a way at the negotiation period of any agreement, to bring in the best minds of the government to be part of it, just as he attributed the plight of operators in the aviation industry to the collusion of the previous military government with some civilians in the country who helped to bring the sector down.

The Bi-Courtney boss who spoke on “Investment Opportunity in Airport Development For Economic Growth” said that the military with active participation of civilians destroyed the aviation industry.

He pointed out, that it is also very important to research thoroughly for the reasons of collapse of airlines in the country, adding that, although the military shares the blame but on a deeper perspective, the aviators who did not really follow the path of the industry.

Dr Babalakin, apart from the military, civilian conspiracy faulted the educational system, pointing out that he was not sure that the educational system was designed to manage a successful economy. He therefore advised that that Nigeria should continue to emphasise good education since the educational system has filtered into all areas of endeavor, so as to ensure economic development.
Commenting on the plight of airlines, Chairman of Air Peace, Barrister Allen Onyema pointed out that airlines in the country were designed to fail ab-initio with the kind of operating environment where double taxation, lack of facilities for night flights and other issues are major challenges.

Onyema while speaking on “Safe Airlines Operations and Profitable Earnings for Economic Growth” stated that one cannot talk about safety and profitability if there is no change in policies.

The Air Peace boss who passionately explained what he went through to get the airline started, explained that aviation does not give the kinds of profits people think explaining that mega carriers like British Airways, Lufthansa and the rest make a marginal 3% to 5% but in Nigeria because of the harsh environment, airlines are talking about cutting their losses.

He said,” Aviation doesn’t give you the profit as an entrepreneur. Profit is marginal and airlines that operate in conducive environment make between 3%-5%. In Nigeria where the environment is harsh you don’t make profit but you talk about cutting losses. You cannot talk about safe airline operations without talking about policy. You talk about bureaucracy, I call it sheer wickedness, without conducive environment there is no safe airline operations.”

Onyema decried what he called double taxation stating that if something is not done airlines may not survive in the next year.

” We are paying 37 charges in all. So before you have started operations you have already lost 10% of a paltry N20,000 from that amount you pay all those charges will be deducted only N9,500 comes out from that N20,000 from where we carry out maintenance, buy fuel, pay salaries etc.”

The operators who noted that out of 150 airlines only 8 are in existence said “People say we are not being overburdened, has anyone bothered to ask why 150 airlines cannot do well if it flies for less than 12hours as there are no facilities for night flights and passengers do not know this they will only attack the airlines.”

“Part of the problems of the airlines are the owners, most Nigerians do not regard bank money with any iota of respect as a result it becomes difficult to secure bank loans. I pay 26% on my loans airlines must show integrity to pay loans how I get to my height is that on loans I created a sinking fund so automatically will enter into the bank and the banks get paid, that shows sincerity of purpose.”

Corroborating Onyema’s views, Chairman of Airline Operators of Nigeria (AON) said that the airlines are suffering from series of different charges, pleading that there is need to streamline all the different charges into one system.

“FAAN and NAMA are business organisations, so we must sign an agreement so that we cannot be arguing again. AON wants to partner with the government using tourism. Aviation can be the fourth contributor to the economy after oil, agriculture and mining.”