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AGHAN New Rate: Aviation stakeholders bemoan NASS interference as handlers threaten strike

AGHAN New Rate: Aviation stakeholders bemoan NASS interference as handlers threaten strike

By Abisola THOMPSON

Aviation Ground Handling Association of Nigeria (AGHAN) has threatened to commence indefinite strike over the National Assembly’s interference with the new safety handling rate approved by Nigerian Civil Aviation Authority (NCAA) in August.

The ground handling companies in Nigeria are the Nigerian Aviation Handling Company (NAHCO) Plc, the Skyway Aviation Handling Company (SAHCO) Plc, Precision Aviation Handling Company Limited (PAHCOL) and the Swissport Handling Company

The association’s President, Mr Olaniyi Adigun, made this known to newsmen in Lagos on Monday.

It would be recalled that NCAA gave the approval to the ground handling companies to increase the new safety threshold handling rates.

This is coming after 36 years with commencement dates slated for Oct. 1, 2021 (for international) and Jan. 1, 2022 (for local) operators, but the House Committee on Aviation directed it to stop the implementation forthwith.

With the new rates, the handlers can charge between $1,500 and $5,000 (passenger and cargo flights) for narrow and wide body aircraft on international routes, respectively, while for domestic operators it was upped to N20,000 and N70,000, depending on the aircraft type.

Adigun told newsmen that the strike which would begin this Friday would definitely had adverse effect on the industry as the operations of the airline sub-sector would be paralysed.

He noted that the ground handling companies in Nigeria were expected to charge the same handling rates as their counterparts in the sub-African countries.

Adigun urged the government to allow the regulator to do its job without any form of interference from the House of Reps Committee and its Senate counterpart.

He said: “This will not help us with the safety applications that we have been pushing up. This is an industry that came up from the crisis safety management and had improved on safety and assiduously improving the commercial part.”

Speaking, Mr Olumide Ohunayo, Director, Research, Zenith Trave urged the National Assembly to back off from interfering with the decisions taken by the regulator of the industry.

He said: “I think the National Assembly should back off from interfering with the decisions taken by the regulator of the industry. This will not augur well for us.

“We cherish our achievements on the safety level, based on the prowess of our regulator and the ability to sustain it over the years and that has made them to retain all certifications – FAA and ICAO.

“Rather, all they can do is to advice or raise a resolution and pass it across to the regulator or ask other industry players to speak on such issues instead of interfering directly on such issues.

“It boomeranged with what has happened with AOC of NG Eagle and it also boomeranged with the pressure being put on the ground handlers.”

Ohunayo, however, advised ground handling services not to withdraw their services but considered continue dialogue because they were critical part of the industry.

Adigun said the ticket fares had increased from 1990 till now, reflecting the reality of today. the ticket they were paying N50,000, N60,000 for, was below N10,000; 20 years ago.

He asked if the ground handlers should remain stunted to the over 30 years agreement and their equipment were not procured in Nigeria.

Also, Dr Gabriel Olowo, President, Sabre Network, West Africa said the increment in the handling rate was justifiable.

According to him, it is absolutely justifiable given global economic indexes on all factors of production that has increased astronomically, including severe currency fluctuations.

Olowo, who is also the President, Aviation RoundTable, said Refusal by government not to allow the prices to be driven by market forces suggests that the operators may be enjoying all sorts of subsidies, waivers, etc.

Commenting, Grp. John Ojikutu, the Chief Executive Officer (CEO) Centurion Security Services, noted that the Nig.Civil Aviation Regulations (CARs) is a legal authority of the NASS to the NCAA to perform the functions of regulating service rates and fare charges.

Ojikutu said one of the NASS chambers cannot interfere into the law it had legislated on except the court with competent jurisdiction.

He noted that the former political interference had been some form of deterrence in the progress of its economic sector and had caused the defunct or the downfalls of most Nigerian airlines, including the Nigeria Airways.