Keyamo suspends $300 helicopter landing fee for operators

Minister of Aviation and Aerospace Development, Festus Keyamo

Sets up inter-ministerial committee
The Federal Government has again suspended the controversial $300 helicopter landing fee imposed on operators operating in the country’s oil and gas facilities.

This suspension followed the rising tensions between aviation regulators and international oil companies (IOCs), including helicopter operators who have consistently described the fee as multiple taxation from the government.

This time around, the Minister of Aviation and Aerospace Development, Festus Keyamo, ordered the suspension of the enforcement and collection of the fee for an initial period of two months after a meeting with the Minister of State for Petroleum Resources (Oil), Heineken Lokpobiri and stakeholders in the oil and gas industry.

Last week, The Guardian gathered that helicopter operators were temporarily grounded by some officials of the government from operating in the rigs and platforms, following the refusal of the operators to pay the controversial sum.

Also, industry operators had warned that the continued enforcement of the charge could disrupt critical offshore operations, particularly helicopter services that transport personnel and equipment to oil platforms, rigs and production facilities across the Niger Delta.

The helicopter landing fee is prescribed by the Nigerian Airspace Management Agency (NAMA) and applies to helicopter operations conducted to oil fields, terminals, platforms, rigs, Floating Production Storage and Offloading (FPSO) facilities, as well as heliports, helipads, airstrips and aerodromes used in the course of oil and gas activities.

The tussle over the controversial charge has lingered for more than four years, dating back to the tenure of the former Aviation Minister, Hadi Sirika, who initially introduced the fee, but later suspended its implementation following widespread opposition from industry players.

A statement on Tuesday by the Special Adviser on Media and Communications to Keyamo, Tunde Moshood said that the minister in his office in Abuja on Monday, held a meeting with the officials of the oil and gas industry and aviation sector on the issue.

According to the statement, the petroleum industry delegation included representatives of the Nigerian Upstream Petroleum Regulatory Commission (NUPRC), International Oil Companies operating in Nigeria, the Oil Producers Trade Section (OPTS), and the Independent Petroleum Producers Group (IPPG).

Also present at the meeting were the outgoing Permanent Secretary of the Ministry of Aviation and Aerospace Development, Dr. Yakubu Adam Kofarmata, the Managing Director of NAMA, Umar Farouk, as well as senior officials of the Nigeria Civil Aviation Authority (NCAA) and other aviation stakeholders.

The meeting was convened following concerns raised by oil and gas operators over the impact of the landing fee on their operations.

The oil industry representatives told the ministers that enforcing the charge in its current structure could significantly affect helicopter logistics used to support offshore exploration and production activities.

After deliberations, Keyamo directed the temporary suspension of the enforcement and collection of the landing fee for two months to allow further consultations among stakeholders.

He also announced the immediate constitution of an inter-ministerial committee, comprising representatives from both the aviation and petroleum sectors to examine the issues surrounding the fee and recommend an acceptable framework.

According Keyamo, the committee would review the regulatory, operational and financial implications of the landing fee and develop a solution that balances government regulatory responsibilities with the operational needs of the oil and gas sector.

The statement read in part: “The minister further announced that an inter-ministerial committee comprising representatives from the aviation and petroleum sectors will be constituted immediately to examine the issues raised in detail and work towards an amicable resolution that will produce an acceptable framework for all stakeholders.

“The two ministers reaffirmed the commitment of their respective ministries to continued collaboration in ensuring that regulatory policies support operational efficiency in both the aviation and petroleum sectors, which remain critical pillars of the Nigerian economy.”

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