Just one month after Messrs NAEBI Dynamic Concept Limited was granted the exclusive right to collect Helicopter landing fees of $300 nationwide, the Ministry of Aviation and Aerospace Development has decided to temporarily stop the collection. This information was recently announced by Mr. Odutayo Oluseyi, Head of the Press and Public Affairs Unit. The federal government initially granted NAEBI Dynamic Concept Limited the role to gather aeronautical revenues from high and low airspace to maintain financial independence.
As per reports, the ministry decided to temporarily halt the collection process in order to address rising concerns brought up by industry stakeholders. Despite the suspension, the consultants in charge of collecting the levy will still retain their concession and mandate. It was stated that the Minister of Aviation and Aerospace Development Festus Keyamo, (SAN), has taken the step to suspend the project in order to further investigate the concerns raised by stakeholders. Subsequently, an in-depth analysis is currently being conducted to tackle concerns and create an innovative approach.
Stakeholders in the industry were urged to stay patient.
A committee with members from the ministry, relevant agencies, Airline Operators of Nigeria, and International Oil Companies (IOCs) has been formed to work towards this aim, according to the report. The report also shed light on the purpose of the committee, which was set up to tackle issues raised by industry stakeholders regarding the helicopter levy. The committee aims to create a practical structure for enforcing landing levy payments compliance, which will benefit all stakeholders involved.
Recommendations that would be proposed by the committee would determine the direction of helicopter landing fees nationwide, with the goal of maintaining a strong and sustainable aviation sector. Stakeholders in the aviation industry were urged to stay patient as the ministry works towards a solution that will support the growth and prosperity of Nigeria’s aviation industry. Keyamo had on April 25, 2024, released an official announcement, stating that Messrs NAEBI Dynamic Concept Limited has been granted exclusive rights by the Federal Government to collect helicopter landing fees at various locations in Nigeria, including aerodromes, helipads, airstrips, FPSO units, FSO units, and oil platforms.
Many operators choose not to adhere to the new directive.
Operators and stakeholders within civilian helicopter operations in Nigeria were mandated to obey the memo order stating they must follow the directive outlined or risk facing penalties. Thus, operators had to adhere to a newly implemented Landing Fee of $300, managed by NAEBI Dynamic Concept Limited on behalf of the federal government. The directive, however, sparked unease among operators, resulting in many choosing not to adhere to the new directive. Adding to the complexity is the looming threat of a strike from Petroleum unions, causing worries about possible industry disruptions.
They criticized the Federal Ministry of Aviation’s decision to enforce high fees on operators during tough economic times. Operators are questioning why payments are being directed to a private company’s account rather than the Federal Government’s Treasury Single Account. The focus is on ensuring payments are made to the right authorities, not dodging payments altogether, they added. Some believed that NAEBI Dynamic Concept Limited did not match the Infrastructure with the fees they were charging. Meanwhile, certain operators were upset about the landing fee adding to the already high aviation taxes.
Related Link: Helicopter operators fuming over landing fee
Nigerian Airspace Management Agency’s income has historically been largely dependent on Revenue from the upper airspace. The agency mentioned that implementing fees for helicopter landings, following global standards, aims to improve the efficiency of helicopter operations and recover costs. This fee would not only improve Security and surveillance measures but also elevate the overall standard of helicopter operations across the country. It is believed that the decision has the potential to boost the aviation sector through the augmentation of capacity, efficacy, safety, and protection, while also drawing in more financial resources.