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Business & Economy

Helicopter operators threaten to ground services over new charges by FG

The FrontierThe FrontierMay 4, 2024 2063 Minutes read0

•Aviation Minister Fetus Keyamo

Nigerian helicopter oper­ators have threatened to shut down their opera­tions in response to new charges imposed by the federal government through the Min­istry of Aviation and Aerospace Development.

There are also fears that the threat, if carried out, may lead to loss of 1.1 million barrels of oil daily by Nigeria, reports Saturday Independent.

This comes as an industry stakeholder questions the gov­ernment’s $300 landing fee im­posed on helicopter operators and challenges the government to show details of the contractual agreement.

Mr. Festus Keyamo, Minister of Aviation and Aerospace De­velopment, re-engaged NAEBI Dynamic Concept last month to collect charges from helicopter operators after the contract was cancelled in the fourth quarter of 2023.

Senator Hadi Sirika, the for­mer Minister of Aviation, hired NAEIB Dynamic Concept in Oc­tober 2022 to collect charges from over 250 helicopter platforms, oil rig platforms, airstrips, aero­dromes, helipads, and Floating Production Storage and Offload­ing (FSPO) facilities across the country.

The government stated that the company would help plug leaks and increase revenue gen­eration in the aviation sector, cre­ate job opportunities, and provide surveillance through the installa­tion of mobile radar technology by the Nigeria Airspace Man­agement Agency’s (NAMA) wide area multi-lateration project.

However, upon taking office, Keyamo cancelled the contract for allegedly collecting NAMA fees without proper oversight, putting aviation functions at risk, and promised to investigate the company.

However, according to a recent memo from Keyamo, helicopter operators must pay landing fees to NAEBI at all Nigerian aerodromes, helipads, airstrips, floating production storage and offloading (FPSO) units, floating storage and offloading (FSO) units, and other oil platforms.

In addition, in a television interview last week, Keyamo re­versed his earlier statement about the contract and described it as a good deal. He admitted that he in­herited the contract from his pre­decessor, but he had previously stated that helicopter operations were completely unregulated, costing the country millions and billions of dollars each year.

“As I previously stated, gov­ernment is a continuum. This is a good deal; someone said, “Look, I can help you collect your helicop­ter fees.” It is a Public Private Part­nership (PPP). They will deploy infrastructure and personnel on the ground, collect fees, and then remit to the federal government.

“Everything goes into the fed­eration account, which is then re­mitted to the federal government, and they get their cut.”

However, helicopter opera­tors have vowed to oppose the payment, threatening to ground their operations if the Federal Government proceeds with the landing fees.

In response to the issue, Capt. Ado Sanusi, Chief Executive Of­ficer (CEO) of Aero Contractors, a company with fixed and rotary wings and a major player in the oil and gas sector, stated that heli­copter operators may shut down operations or go to court over the new charges.

Sanusi insisted that the land­ing charge had no basis, claiming that operators pay for services rendered, whereas international oil companies own the helipads where helicopters land and take off in offshore operations and other locations.

He also refuted Keyamo’s claim that helicopter operations were unregulated, stating that they are fully regulated, just like any other aircraft operation in the country.

Also, a major industry stake­holder, who did not want his name published, described the $300 helicopter landing fee as a massive fraud.

The expert also challenged the ministry to reveal any industry in the world where such a charge is paid, questioning why operators should pay an additional fee for landing on their property after paying all necessary charges to NAMA.

Furthermore, the stakehold­ers questioned Keyamo about the process that led to the company’s appointment by the ministry and whether the contractor was building any infrastructure for the operators to warrant such a payment.

The source stated, “Companies should pay $300 even if they land on their property. Where does that happen anywhere in the world?

 

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