The Nigerian Airspace Management Agency (NAMA) has announced
plans to increase the unit rate/minimum charge for en-route air navigation
services from N2,000 to N18,000.
Umar Farouk, managing director (MD) of NAMA, spoke on Friday
at the League of Airports and Aviation correspondents seminar in Lagos.
The event was themed ‘Aviation Survivability amidst a
Challenging Macro-Economic Environment’.
Farouk said the unit rate/minimum charge for terminal navigation charge (TCN domestic) would also be raised from N6,000 to N54,000 per flight.
The MD said the agency also plans to increase the extension
of service hours to airlines from N50,000 to N450,000, representing an 800
percent increase per extension to enable the agency to recover the cost of
diesel and other logistics during the extension period.
He said the new charges would take effect from September 1.
“The Nigerian Airspace Management Agency relies on statutory
fees for the management of the airspace (remember that aviation takes place
only in the air),” Farouk said.
“These funds are
generated from services we provide to the flying community. Without these
funds, NAMA can’t discharge its responsibility of ensuring the safety of our
airspace effectively.
“We mainly generate these funds through the airline
companies.”
Speaking further, Farouk said in 2023, NAMA had an
expenditure of about N21 billion in personnel costs alone, over N12 billion in
capital costs, and over N10 billion in overhead costs, adding that all these
were to be funded without the federal government budgetary allocation.
He also said NAMA had been charging as low as N11,000 per
flight when a one-way domestic ticket cost only N16,000.
The MD added that the agency’s navigational charges had
remained the same since June 2008, despite the hike in ticket prices which has
gone as high as between N150,000 to N200,000 for a one-way economy ticket owing
to the prevailing economic circumstances.
“Currently, our unit rate for international flights charged
for service provision is about $70, and domestic flights are charged N6,000,”
Farouk said.
“While NAMA recognises the difficult economic environment in
which aviation operates in Nigeria, it is equally a part of the ecosystem.
“It goes to the same market to procure equipment and other
services like training. If NAMA is to survive and continue to guarantee safety
and efficiency in the airspace, it must breathe.
“Even though most
costs in the economy have increased by more than 1,000 percent, NAMA has proposed
to increase its fees by 800%.
“The new rates for en-route and terminal navigation charges
are to be reviewed from N2,000 and N6,000 to N18,000 and N54,000 per flight.
“Also, the extension
of service hours is to be reviewed from N50,000 to N450,000 per extension to
enable the agency to recover the cost of diesel and other logistics during the
period of extension.”
“The largest percentage of NAMA’s revenue comes from en-route
navigation charges (domestic and international flights) and terminal navigation
charges (domestic and international flights).”
Farouk also said while international flights pay in dollars,
domestic flights pay in the Nigerian currency.
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