HomeHEADLINESNAMA to shut airports over N4bn debt

NAMA to shut airports over N4bn debt

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  • Airlines to divert flights

Many aerodromes and airstrips owned by private firms and state governments may be closed over debt in excess of N4 billion. New Telegraph learnt that most of the aerodromes are hugely indebted to the Nigerian Airspace Management Agency (NAMA), just as paucity of funds has overstretched the finances of the airspace agency as many operators of airlines, airports and airstrips have reneged in paying for services rendered by the Agency.

NAMA relies on revenue generated from its services to pay workers and maintain its navigation equipment which run on electricity or generating plants for 24 hours. Sources familiar with NAMA’s operations hinted that the Agency is facing difficulty in funding the maintenance of its critical equipment as well as payment of staff remunerations and pensions to its retired personnel owing to airlines’ huge indebtedness to it. NAMA provides very critical services fundamental to flight operations, including air traffic control, visual and non-visual aids, aeronautical telecommunication services that enhance commercial, private and military aircraft fly in and out of Nigeria’s airspace.

The Agency had, in 2016, given the breakdown of debts owed it by airlines and others. The breakdown of these debts, it was gathered, revealed that domestic airlines, including the ones that had closed operations in Nigeria, owe the Agency over N6.5 billion, while private oil companies and state governments are indebted to it to the tune of N1.5 billion, totalling N8.08 billion.

This amount, according to sources, has increased. It was also gathered that NAMA owes its retired staff about N18 billion, which accumulated over the years and with the dwindling revenues due to these debts, it finds it difficult to carry out this obligation as internally generated revenue (IGR)-dependent Agency, which has the obligation to also remit 25 per cent of its earnings to the federation account. All efforts made by NAMA to make the airlines service the huge debts failed, even when their refusal to pay up has started taking its toll on the Agency as it is finding it tough to carry out major safety projects across the airports presently.

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After several efforts to make the managers of the private airports see why they should pay up failed, the management of the Agency has concluded plans to withdraw its services from the indebted airstrips. A top official in NAMA, who spoke to our correspondent on condition of anonymity, said the Agency may soon shut nearly all private airstrips in the country. Top on the list of the private airstrips is Osubi, said to be indebted to NAMA to the tune of N500 million, which the private firm allegedly refused to offset.

Many other airstrips/ airports are said to have been put on the alert to reconcile their debts. Some of them are Azare airstrip in Bauchi, Bacita airstrip in Kwara, Bajoga airstrip in Gombe, Bebi airstrip in Cross River, Bida airstrip in Niger, Eket airstrip in Akwa Ibom, Escravos airstrip in Delta and Gusau airstrip in Zamfara State. Others are Nguru airstrip in Yobe, Potiskum airstrip in Yobe, Shiroro airstrip in Niger and Tuga airstrip in Kebbi. NAMA had, in a circular issued on August 29, 2018, said it was withdrawing Air Traffic Services (ATC) from Osubi Airport from 0000 hours on September 3, 2018 until further notice.

The Agency, however, gave no reason for the action. In order to minimise the disruption of travel plans of its customers, Arik Air said all its flights into Osubi Airport, Warri from Lagos and Abuja would be diverted to land at the Benin Airport from Monday, September 3, 2018, until the Warri Airport is reopened. The action of NAMA could force the operator of the airstrip/airport to reconcile its debts with the Agency because the airport is very strategic to oil firms, players in the oil and gas sector and its proximity to many places in Delta State.

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