Olisa Agbakoba Legal (OAL) has advocated for an amendment of Nigeria Civil Aviation Authority (NCAA) Act to establish strong governance code in the aviation sector given that most airlines are one-man owned businesses.
Senior Partner, OAL, OlisaAgbakoba, speaking at a media parley, yesterday, also called for aviation cabotage through the Fly Nigeria Act.
He noted that the absence of Aviation Cabotage, an enabling legal and policy environment for national airlines, is a fundamental factor contributing to the failure of Nigerian airlines.
He, however, stated that though Nigerian aviation sector faces significant challenges that have hindered its contribution to the country’s economic growth, proposals such as the Fly Nigeria Bill, Aviation Corporate Governance Code, and the domestication of international conventions have been suggested to address these challenges.
“OAL has been working on these issues for 15 years, advising several ministers, with the current Minister of Aviation and Aerospace Development, Festus Keyamo, being the most responsive.
“The OAL Fly Nigeria Act, modeled on the Fly America Act, aims to apply public funds for air travel exclusively to national carriers, generating passenger traffic and supporting their international growth,” he said.
According to him, domestication of international instruments, enforcement of Bilateral Air Service Agreements (BASAs) and concessioning of airports are key components of the needed reforms in the sector.
“These reforms will free the government from direct management of airports, create jobs, drive revenue, and allow for a limited government focused on policy while enabling private sector growth.
“Recent successes of Air Peace, with its direct flights to London, and the Dangote Group, with its world-class refinery, have brought down prices and reduced pressure on foreign exchange.”
These achievements highlight the potential of private sector-driven growth in Nigeria,”Agbakoba added.
He opined that if the challenges of the sector are addressed, it has the potential to generate revenue, create jobs, and stimulate other industries like hospitality and tourism, noting that the aviation industry has experienced a high turnover of registered airlines, with many having a short lifespan of 5 to 10 years.
