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5% TSC: Expert canvasses write-off of airlines’ legacy debts

Airlines

• As Bi-Courtney unveils platform for tackling flight delays, cancellations

Federal Government has been called upon to write off doubtful legacy debts owed by indigenous airlines to curb the incessant crisis over the five per cent Ticket Sales Charge (TSC).

The Group Managing Director, Finchglow Holdings Limited, Bankole Bernard, made the call in Lagos yesterday during an interaction with aviation journalists.

Bernard stated that forcing new managements to inherit liabilities accumulated over several years could undermine the survival, financial stability and safety of the carriers.

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There has been a crisis between domestic airlines and the Nigeria Civil Aviation Authority (NCAA) over the non-remittance of the five per cent TSC.

While the NCAA alleged that domestic airlines were indebted to it to the tune of N19 billion and $7.6 million in unremitted five per cent TSC and Cargo Sales Charges (CSC), the airlines insisted they were not indebted to the agency.

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Meanwhile, Bi-Courtney Aviation Services Limited (BASL), the operator of the Murtala Muhammed Airport Terminal Two (MMA2), Lagos, has unveiled plans to establish an airport collaboration and decision-making platform to curb the high rate of flight delays and cancellations among domestic airlines.

Speaking yesterday at the 22nd edition of the Akwaaba African Travel Market, held in Lagos, the Chief Operating Officer (COO), BASL, Remi Jibodu, said that the platform would involve airlines, air traffic controllers, ground handling companies and other necessary organisations.

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Also, the Chief Operating Officer, ValueJet, Henry Trevor, said airlines took On-Time Performance (OTP) seriously.

He noted that several processes had to be completed before an aircraft could depart.

Also speaking on the occasion, the Chief Operating Officer (COO), United Nigeria Airlines, Adedayo Adewuyi, emphasised that flight delays could result from circumstances beyond the control of airlines, including technical problems, adverse weather, airport congestion and limitations in airport infrastructure.

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