Hadi Sirika
Government stakeholders insist on airport concession, national carrier
Minister of State for Aviation, Sen. Hadi Sirika, has said that the
current state of international airports in the country is unbefitting of
Nigeria’s status, and its quest for the West African sub-regional hub.
Sirika said that while the government has no sufficient fund to
upgrade the infrastructure, it has decided that there is no going back
on planned concession of the airports, beginning with the big four.
The minister, apparently reacting to dissenting voices against
planned concession, said the Federal Government is now attracting
private sector-driven investments to the sector, with the focus on
airport concessioning, floating of a national carrier, Maintenance,
Repair and Overhaul (MRO) facility and aviation leasing company – all as
part of the roadmap to optimise potentials that abound in aviation.
Meeting with aviation correspondents in Lagos recently, Sirika said
there is no doubt that the airports are in terrible shape and government
has already commenced plans to give them to private investors to
rebuild and manage, beginning with the international airports in Abuja,
Lagos, Port Harcourt and Kano.
It would be recalled that the workers’ unions in the sector last
month staged a nationwide protest, insisting that the planned “sale” of
the airports must be suspended.
The unions under the aegis of Air Transport Services Senior Staff
Association of Nigeria (ATSSSAN), National Union of Air Transport
Employees (NUATE) and the National Union of Pensioners (NUP) said the
“sale” of airports would lead to more job loss in the sector.
Sirika, however, said that the protesters have apparently shown lack
of understanding between concession arrangements and outright sale of
the airports.
He said: “People are protesting against concessioning due to lack of
information. I could see from the reports and their letter of protest
that there is a mix up between what concession is and privatisation or
outright sale of airport.”
He said while the government was not unmindful of the need to protect
jobs, planned concessioning was the ministry’s best option to
fast-track growth amidst opportunities that abound for Nigeria in
aviation.
His words: “We are very conscious of what Nigeria is as a country. We
are a people of 173milion in a 923, 678sqm of land. We are serving the
West African market of 400million people and contiguous to Central
Africa of 600million people. It is indeed a very interesting market for
transportation and we understand that.
“But there is a total absence of a strong carrier and a Maintenance,
Repair and Overhaul (MRO) centre within this region. It also doesn’t
have a single leasing company that I can remember.
“We, therefore, think that we are in the right direction. We are in
the right market. We have the potentials and the advantage to have these
things in our country.”
Continuing, Sirika said: “We cannot grow with our airports in the
current state. No way. You cannot create a hub with Murtala Muhammed
International Airport, Lagos or Nnamdi Azikiwe International Airport,
Abuja, as they are or the ones in Port Harcourt and Kano.
“Because, some of the recent high-capacity airplanes that are flying
around the world like the A380s and 777s and so on are just too
sophisticated and too large to be handled by our airports at the moment.
The atmosphere within these airports is not anything to talk about. It
is really difficult for us to attract passengers to them,” he said.
It would also be recalled that there has been growing concerns on the
state of infrastructure at the airports, despite the Internally
Generated Revenues (IGRs) and the government intervention funds in the
sector.
Some foreign airlines in fact petitioned the Ministry of Transportation over appalling facilities at virtually all the airports across the country.
They called on the Federal Government to look deeply into airport
terminals in order to give better services to airline operators,
passengers and others carrying out both aeronautic and non-aeronautic
businesses at the terminal
Sirika said such petitions, among others, justified the need to act
fast on the concessioning plan, adding that the gains would far outweigh
the losses as implied in some quarters.
“Today we are doing 15million passengers per annum. With the right
things in place, Nigeria has the potentials of doing 70 to 100million
within five years.
“Research has shown that about 40 per cent of passengers like to
transit through fantastic airports. Dubai is a classical example.
“We must be able to develop our airports. Government, however, no
longer has the money to put into these public properties. As social
democrats, we are also not willing to sell or privatise these entities.
We will not.
“So, the only option that we have is to concession them. Unions are
saying ‘what have we made of the ones we concessioned in the past?’ ‘We
are not going to concession airports; we must leave them as they are’.
“By tomorrow, they will complain that there is no air-condition
working in the terminal and it is already too hot and not like Heathrow
Terminal 5 (in London). But they have forgotten that it is not the UK
government that is putting its money into Terminal 5.
“The money is simply not there. We must concession and I know no
other way. In 24 months we can have brand new airports with new runways
and other facilities around it. We have seen it and we will concession
here too,” he said.
President of Aviation Round Table (ART), Gabriel Olowo, said the
government would do the sector a huge favour if privatisation is
considered in place of concessioning.
Olowo said: “Concessioning is scratching the problem on the surface. I am for more than concession to outright privatisation.
“Telecomm, Banking, Airlines, and so on have been privatised and the
merits are obvious in the market. Airports should. Lessons learnt from
the case study of Bi-Courtney and few others should come handy.
“Nigeria requires three to four Airport Companies of Nigeria (ACN) to
bring an end to the inefficient government monopoly. To meet the
people’s sentiment, privatisation process should proceed along
geopolitical zones,” he said.
SOURCE:- guardian.ng
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