The Managing Director of Flights & Logistics Solution Limited, Amos Akpan, has emphasized that piecemeal approaches will not resolve the persistent crises in Nigeria's aviation sector. In an interview with Olusegun Koiki, Akpan addressed the ongoing disputes between ground-handling companies and domestic airlines, the recent reconciliation between the Federal Government and Bi-Courtney Aviation Services Limited (BASL) over Murtala Muhammed Airport Two (MMA2), and other pressing issues.
Resolution of the Concession Crisis
Akpan commented on the resolution of the long-standing concession crisis between the Federal Government and Bi-Courtney. He noted that previous administrations had reviewed the arrangement, leading to disagreements and court cases. If the current government successfully resolves the differences, it would serve as a successful example of a Public-Private Partnership (PPP) in the aviation industry.
Implications for Future PPPs
He stated that the resolution would signal to potential investors that Nigeria has addressed past setbacks and created a conducive environment for investment. The aviation sector could use this as a showcase for navigating implementation challenges.
Policy or Political Motivation?
Akpan stressed that the result should be prioritized over politics. He cautioned that until the revised agreement's details are examined, it cannot be conclusively deemed the final settlement.
Lessons from the Crisis
The crisis, he said, highlights the government's courage to partner with the private sector and the commitment needed to sustain such partnerships despite disagreements.
Incentives for Airline Operators
Regarding calls for incentives, Akpan argued that all aviation businesses need a more enabling environment. He urged a redesign of the framework to make aviation a launchpad for economic development, rather than applying piecemeal palliative measures.
Beyond Short-Term Solutions
Akpan criticized the recurring short-term emergency solutions, noting that airlines, handling companies, cargo agencies, and others are affected by a policy framework that does not align with national economic development. He cited issues such as the Central Bank of Nigeria's financial policies hindering aircraft acquisition.
Comprehensive Approach Needed
He highlighted recent interventions, including debt reductions and the establishment of an aircraft acquisition company, but warned against piecemeal solutions. He pointed to the need for Maintenance, Repair, and Overhaul (MRO) facilities, fuel supply logistics, and transit facilities at airports. Akpan commended Akwa Ibom State for developing a regional hub and MRO framework, urging a national-level approach where aviation is integral to the economic plan.
Integrating Aviation into National Policies
Akpan called for intentional policies akin to those in Ethiopia and the UAE, where aviation is deliberately designed and implemented through national carriers. He stressed the need for reliable data to guide investors and noted the sector's untapped potential due to Nigeria's location and population.
Minister's Role
He acknowledged the current Minister of Aviation and Aerospace Development, Festus Keyamo, for his passion and collaboration with stakeholders. Akpan urged stakeholders to leverage the minister's zeal to reset foundational policies, moving away from cosmetic short-term measures like bailouts.
Conclusion
Akpan concluded that the aviation industry requires clear indicators for investment returns, business sustainability, and global competitiveness. He emphasized the importance of building capacity for aircraft repairs, manpower training, and strategic initiatives like the aircraft acquisition company.
