Multiple destination: FG must review commercial agreements — Expert

By Seun Ibiyemi

The Chief Executive Ofiicer (CEO), Centurion Aviation Security Safety Consults and Secretary General of the Aviation Safety Round Table Initiative (ASRTI), Group Captain John Ojikutu has said that government needs review Commercial Agreements that give multiple destinations to foreign airlines and give no commercial benefits to the domestic airlines.

Captain Ojikutu speaking exclusively with Nigerian NewsDirect on his expectation in 2023 said that Federal Government needs to come out boldly with at least 2 flag carriers.

He said, “We need to do away with the idea of a government carrier that is being sold to Nigerians as national carrier.

“However,  we must support this with a very clear policy for flag carriers that the benefits must be national and not only to the operators.They must sell shares to the public in the Capital Market.

“Secondly, government must review the commercial agreements that gives multiple destinations to foreign airlines and give no commercial benefits to the domestic airlines,” he said.

Ojikutu added that “the review could give multiple frequencies to the foreign airlines not to Lagos and Abuja but to Lagos or Abuja and any other airport not to the same geographical zone with the airport of first choice.

“Concessions of the airports to investors, foreign and local is very necessary and should be fast tracked to remove  pressure on the government intervention funds for the sector.

“With over 5m international passengers traffic and 80 air trafficalone, the international airports can earn substantial earnings to sustain their operations and development.

“However government can from time to time provide intervention funds for projects development but such funds must be recoverable.”

He also said that “the idea of Aerotropolis development within any airport especially the planned development of the FAAN and NAMA headquarters in Lagos can only complicate the traffic on the only terminal service road that has been turned to a public road for transiting traffic between Ikeja and Apapa and return.

“Aerotropolis are developed between the airports and the urban development area.

“There are sufficient air MMA land of over 5,000 hectares on the western end that can be developed for Aerotropolis which can also provide land for the relocation of the Cargo Terminals and the General Aviation Terminals from their present locations to provide land for the future development of the domestic and international passengers terminals.

“Finally, government administration is more of Policy Development and Regeneration Enforcement of the sector and not about businesses participation in the sector which bring government into competition with the people it is elected to promote and protect.

“Yes, government can invest in public market but such market must allow the Nigerian people access into the same market to monitor how their taxes too are being used.

“That is why the flag carriers are airports concessions must be publicly sold in the Capital Market for the Nigerian People and not to few on the tables of those in the administration of our government and agencies.

“Please include that the movement of the Cargo terminals to the Western end of the airport must include the movement of the EPZ and the other associated commercial facilities,” he said.