The Federal Government through the Minister of Aviation and Aerospace Development, Mr Festus Keyamo has stated that it would make policy that would enhance the capacity of local airline operators operations within and outside the country.
This is just as he stated that establishing Maintain Repair Organisation(MRO) facility is in the heart of the Federal Government as part of its infrastructure enhancement in the aviation industry.
He said this while speaking at the 28th edition of the League of Airport and Aviation Correspondents(LAAC) annual conference with the theme, ‘Aviation Survivability Amidst A Challenging Macro-Economic Environment’ in Lagos .
He explained that already investors from Europe, Asia, America and Middle East are talking to the the Federal Government on how to invest in MRO.
The Minister informed that the plan for the provision of MRO would be based on Public Private Partnership (PPP) arrangement, adding that the Federal Government is in the process of drawing the plan for MRO.
“We are urging the world to invest in Nigeria and invest in MRO,” the Minister said.
On the shortage of aircraft and lack of capacity by domestic airlines to operate all their routes, the Minister lamented a situation where Air France operates 10 flights into Nigeria while up till this moment no Nigerian airline is reciprocating is not good for the development of the industry
He also frowned at a situation where Delta Airlines operates flights into Nigeria while Nigerian airlines have not been able to reciprocate in line with the provisions of the Bilateral Sir Service Agreement(BASA) signed between Nigeria and the United States.
To further buttress his point and show that Nigerian airlines lack the capacity to reciprocate, he mentioned the South Africa Airlines,which according to him operates into Nigeria without any reciprocity from Nigerian domestic carriers, adding that the Federal Government is committed to addressing the issue.
He added that the Federal Government is not comfortable with the current situation, adding that the narrative that some countries are using slot arrangement to designate Nigerian airlines to second tier airports abroad instead of first tier airports will no longer be tolerated.
Keyamo said that the Federal Government has written to its counterpart in the United Kingdom to address the one-sided arrangement.
He however stated that the era of local airlines not fulfilling their contractual obligations as agreed with aircraft leasing companies will also no longer be tolerated.
Speaking on the high insurance premium paid by Nigerian domestic carriers, the Minister stated that the high cost is brought about by the the lack of capacity by the domestic insurance companies to insure aircraft.
He explained that when airline operators insures their aircraft with local insurers , they inturn re- insure these aircraft with foreign insurance companies who have the capacity to do abroad.
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