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Row over ‘essential service’ status for airlines, suspension of 5% PSC

Minister of Aviation and Aerospace Development, Festus Keyamo (SAN)
Minister of Aviation and Aerospace Development, Festus Keyamo (SAN)

The Deputy General-Secretary of the Association of Nigeria Aviation Professionals (ANAP), Ocheme Aba, has disagreed with the classification of airline operations as essential services, saying that only air traffic control services qualify under this definition in the aviation industry.

Aba, who also opposed calls for the abrogation of the five per cent Ticket Sales Charge (TSC) in some quarters, especially among the nation’s airline operators, said the scrapping of the charge would expose the nation’s aviation industry to danger.

Aba in an interview with The Guardian in Lagos, said that withdrawing airline operations would not expose the public to the same level of danger that could arise from withdrawing critical air traffic control services.

He explained that the International LabourOrganisation (ILO) defines essential services as those whose withdrawal could expose a significant portion of the population to serious risks.

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According to him, the withdrawal of airline services did not meet that threshold, likening it to the suspension of road transport operations.

He said: “The only essential service that is rendered in aviation is that provided by air traffic control in relation to aircraft in the air.

“If you withdraw service from an aircraft that is already in the air, you are subjecting the people in the aircraft to danger. If you prevent an airline from taking off, in fact, you are reducing their danger.”

Aba further argued that the position had received judicial backing, citing a ruling by the National Industrial Court (NIC) in a 2023 case instituted by Aero Contractors against aviation unions, which, according to him, established that airlines do not provide essential services.

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He maintained that airline operations should not be placed in the same category as air traffic control, except where airline personnel are directly involved in providing such services.

The union leader also queried aspects of the regulatory framework empowering the Nigeria Civil Aviation Authority (NCAA) to regulate trade unions, arguing that such responsibilities already fall within the jurisdiction of the Federal Ministry of Labour and Employment.

Speaking on the controversy surrounding the five per cent TSC, Aba rejected calls for its outright abolition, insisting that airlines had a responsibility to contribute to the agencies and institutions providing the infrastructure and services that sustain their operations.

He posited that the charge was not peculiar to the aviation industry, noting that similar arrangements existed in other sectors, including maritime and road transportation, where operators contribute to the systems supporting their businesses.

According to him, the TSC was designed to provide funding for critical aviation agencies and should not be viewed as an unjustified financial burden on airlines.

Five Nigerian aviation agencies share from the five per cent TSC, which is warehoused by the NCAA.

The agencies are NCAA, 56 per cent; Nigerian Airspace Management Agency (NAMA), 22 per cent; Nigerian Meteorological Agency (NiMet), nine per cent; Nigerian College of Aviation Technology (NCAT), seven per cent; and Nigerian Safety Investigation Bureau (NSIB), six per cent.

Aba, however, agreed the need to address concerns surrounding the collection and remittance of the charge, suggesting that the Federal government should introduce a centralised electronic platform to deduct the money directly at source and distribute it to the beneficiary agencies, rather than going through the airlines.

He said: “Instead of leaving the money in the purse of the airlines and running after it, let us have a system, a portal, where this money can be deducted at source and split and sent to the various agencies that own it. And I think that is doable.

“Also, allowing the International Air Transport Association (IATA) to collect the charge on behalf of the government could result in additional costs. Definitely, IATA will not perform that function for the government for free. It will require payment for its services.”

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Besides, Aba further disclosed that aviation unions had raised the issue of the TSC with the Director-General of Civil Aviation, Chris Najomo during a recent engagement, adding that the regulator indicated that work was already ongoing to address the matter.

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