Nigerian Airspace Management Agency (NAMA) has joined calls for the exemption of aviation agencies from the Treasury Single Account (TSA) policy and attendant remittance of 40 per cent of earnings to the Federation Account.

The airspace agency noted that the bureaucracy inherent in the TSA initiative is a clog in the wheel of aviation development and progress.

Managing Director of NAMA, Mohammed Odunowo, said the mechanism of remittance to the TSA is not the challenge, but of the long-winding process and delays in accessing remitted funds for critical expenditure – especially in a sector where time is of essence.

Odunowo’s call is preceded by similar advocacy by the Federal Airports Authority of Nigeria (FAAN) to the Federal Government to exempt it from the remittance of 25 per cent of its Internally Generated Revenue (IGR) to the Federation Account.

Most recently, President Bola Tinubu exempted the Federal Capital Territory Administration (FCTA) from the TSA policy of the Federal Government. The goal is to enable the FCTA to utilise the Territory’s Internally Generated Revenue (IGR) for the development of the nation’s capital city.

Odunowo noted that aviation develops faster with unencumbered access to its revenue and reinvestment into its operations.

He added that NAMA is more of a service provider than a profit generating agency. “Yes, we generate incomes, but we are also meant to be self-sufficient. So, ploughing 40 per cent of revenue into government accounts hinders major projects and it affects operational efficiency. Eliminating this deduction is crucial for our thriving.

“We have issues of debt from our service areas. Let me paint a picture. For an hour operation in Ilorin Airport, the charge is N50, 000. But the airport does not have power, so we run on generators. That costs about N500, 000 in operating cost per hour. That is a challenge for us,” he said.

Director of Operations NAMA, Lawrence Pwajok, advocated airport concessioning to ensure better financial viability and equitable service charges among agencies.

In a related development, Odunowo explained that NAMA has begun the process of systems automation with an eye on adopting smart technology to keep pace with global airspace modernisation agenda.

He said central to the evolution is the transition from conventional ground-based navigation to the more sophisticated satellite-based navigation facilitated by Automatic Dependent Surveillance–Broadcast (ADS-B).

ADS-B is a revolutionary surveillance technology empowering aircraft to ascertain their positions through satellite navigation. The technology also carries out periodic broadcasts of this information. This enhances situational awareness and air traffic management significantly.

“Automation is crucial for ANSPs. It forms our lifeline. The U.S., with its NextGen programme, successfully shifted from ground to satellite-based ADS-B, leveraging GPS superiority.

“Currently, NAMA is bolstering Nigeria’s position in this modernisation race through strategic measures, deploying fibre infrastructure across its 46 stations.
“This is in collaboration with Galaxy Backbone—a high-capacity network infrastructure. This tech not only supports ADS-B but also ensures robust data transmission, reliability, and comprehensive coverage,” he said.

Nigerian Airspace Management Agency (NAMA) has joined calls for the exemption of aviation agencies from the Treasury Single Account (TSA) policy and attendant remittance of 40 per cent of earnings to the Federation Account.

The airspace agency noted that the bureaucracy inherent in the TSA initiative is a clog in the wheel of aviation development and progress.

Managing Director of NAMA, Mohammed Odunowo, said the mechanism of remittance to the TSA is not the challenge, but of the long-winding process and delays in accessing remitted funds for critical expenditure – especially in a sector where time is of essence.

Odunowo’s call is preceded by similar advocacy by the Federal Airports Authority of Nigeria (FAAN) to the Federal Government to exempt it from the remittance of 25 per cent of its Internally Generated Revenue (IGR) to the Federation Account.

Most recently, President Bola Tinubu exempted the Federal Capital Territory Administration (FCTA) from the TSA policy of the Federal Government. The goal is to enable the FCTA to utilise the Territory’s Internally Generated Revenue (IGR) for the development of the nation’s capital city.

Odunowo noted that aviation develops faster with unencumbered access to its revenue and reinvestment into its operations.
He added that NAMA is more of a service provider than a profit generating agency. “Yes, we generate incomes, but we are also meant to be self-sufficient. So, ploughing 40 per cent of revenue into government accounts hinders major projects and it affects operational efficiency. Eliminating this deduction is crucial for our thriving.

“We have issues of debt from our service areas. Let me paint a picture. For an hour operation in Ilorin Airport, the charge is N50, 000. But the airport does not have power, so we run on generators. That costs about N500, 000 in operating cost per hour. That is a challenge for us,” he said.

Director of Operations NAMA, Lawrence Pwajok, advocated airport concessioning to ensure better financial viability and equitable service charges among agencies.

In a related development, Odunowo explained that NAMA has begun the process of systems automation with an eye on adopting smart technology to keep pace with global airspace modernisation agenda.

He said central to the evolution is the transition from conventional ground-based navigation to the more sophisticated satellite-based navigation facilitated by Automatic Dependent Surveillance–Broadcast (ADS-B).

ADS-B is a revolutionary surveillance technology empowering aircraft to ascertain their positions through satellite navigation. The technology also carries out periodic broadcasts of this information. This enhances situational awareness and air traffic management significantly.

“Automation is crucial for ANSPs. It forms our lifeline. The U.S., with its NextGen programme, successfully shifted from ground to satellite-based ADS-B, leveraging GPS superiority.

“Currently, NAMA is bolstering Nigeria’s position in this modernisation race through strategic measures, deploying fibre infrastructure across its 46 stations.

“This is in collaboration with Galaxy Backbone—a high-capacity network infrastructure. This tech not only supports ADS-B but also ensures robust data transmission, reliability, and comprehensive coverage,” he said.