“Airlines Not Willing To Pay Debts To Agencies” – Aviation Source

There are strong indications that indebted airlines will not pay up the debts owed to aviation  agencies anytime soon despite unions’ protests over alleged N100 billion debt.

A reliable aviation source revealed that a major debtor airline has yet to come to agreement as to the actual value of its debt.

The source said: “They have had meetings with the permanent secretary of Aviation on the issue, but they are saying that the debt figures are unrealistic, demanding one adjustment or the other. I can say that they have not shown any readiness to begin paying the debts.”

The Air Transport Services Senior Staff Association of Nigeria (ATSSSAN) and National Union of Air Transport Employees (NUATE) recently grounded activities at the FAAN headquarters in the Murtala Mohammed Airport complex, Lagos in a protest over indebtedness by airlines to the airport agency.

During the protest, the general secretary of NUATE, Comrade Olayinka Abioye alleged that one domestic airline alone owed FAAN N25 billion and gave all debtor airlines one week to settle their debts.


The debts emanated from failure of the airlines to remit to agencies five per cent service charge, landing and parking charges as well as en-route navigational charges which they collect from air passengers on behalf of the agencies.

The permanent secretary at the Aviation ministry, Hajia Binta Bello and FAAN senior staff in August met with some of the airlines to review their indebtedness and a committee was set up, which would reconcile the debts.

On the debts owed by the airline, Arik Air’s deputy managing director, Captain Ado Sanusi, had called for “a rescheduling” of the airline’s debts, as well as a downward review of interest rates

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By 9jatravel / Administrator, bbp_keymaster

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on Sep 30, 2015

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