A former pilot with the defunct national carrier, Nigeria Airways, Mohammed Badamasi, has called for an urgent restructuring of Nigeria’s aviation industry.

He also urged domestic airlines to embrace cooperation, route rationalisation and consolidation to survive rising operating costs.

Badamasi also challenged the Federal government to review the numerous taxes and charges imposed on airlines, while calling on aviation agencies to resolve their revenue-sharing disputes internally, rather than washing their “dirty linens” in public.

Speaking with The Guardian in Lagos yesterday, Badamasi said the industry’s major challenge was revenue, stressing that both airlines and government agencies were struggling to generate sufficient income to sustain their operations.

According to him, while the high cost of aviation fuel and government taxes remain major factors affecting airline profitability, he declared that operators must also adopt modern technologies and business strategies to improve their efficiency.

Badamasi identified the high cost of aviation fuel and government taxes as major factors responsible for the poor profitability of Nigerian airlines.

He, however, noted that fuel pricing was a global challenge, with differences in prices across markets often depending on local circumstances.

He suggested stronger engagement between the airlines and Dangote Industries, suggesting that the leadership of the Airline Operators of Nigeria (AON) should explore discussions with the management of Dangote Group on ways to secure better fuel pricing for domestic carriers.

He said: “The fuel issue is global, with marginal differences in pricing. I believe that the chairman of Dangote Group will be happy to meet the executive of the AON to provide better fuel pricing for the airlines.

“We are in the digital age. Airlines that don’t deploy Artificial Intelligence and predictive maintenance technologies to optimise fuel management, fail to minimise turnaround times, and lack streamlined labour scheduling are yet to wake up to the reality of a changing aviation world.”

Besides, he canvassed aggressive route rationalisation by domestic carriers, advising airlines to discontinue consistently unprofitable routes and exercise greater capacity discipline in order to protect ticket yields.

Badamasi further advocated stronger risk management and hedging strategies, as well as industry consolidation, alliances and joint ventures among Nigerian carriers.

He advised domestic airlines to stop viewing themselves as competitors, declaring that greater cooperation could help operators reduce costs and improve profitability.

He cited a situation where two airlines operating on the same route were recording poor passenger loads, saying the operators could consider combining their flights, with one airline operating the flight while both share the resulting revenue.