Stakeholders in Nigeria’s aviation sector have called on the Federal Government to extend financial incentives and policy support to ground handling companies.
The industry experts feared that the survival of the handling companies was being threatened by the over N9 billion debt owed to them by domestic airlines and the ongoing crisis in the Middle East.
The call came amid growing concerns over the financial health of ground handling firms, which provide essential services such as passenger check-in, baggage handling and ramp operations for airlines across the country.
Those spoken to by The Guardian at the weekend said the government needed to come to the aid of the handlers and other organisations in the sector, just as it approved a 30 per cent discount on charges, levies and taxes to the airlines a few weeks ago due to the ongoing crisis in the Middle East.
Chairman of the Aviation Ground Handlers Association of Nigeria (AGHAN), Olaniyi Adigun, said the association had already suspended a planned industrial action following the Nigeria Civil Aviation Authority’s (NCAA) intervention, but stressed that urgent support was needed to prevent a deeper crisis.
Adigun said the debt burden had continued to rise despite repeated efforts by handlers to recover payments from airlines.
He noted that while the Federal Government recently approved incentives for airlines, other operators within the aviation ecosystem also deserved support.
Besides, former Rector of the Nigerian College of Aviation Technology (NCAT), Samuel Caulcrick, said handlers deserved relief measures given the scale of the debts airlines owed them.
He said the support could come in the form of discounts on obligations owed to the Federal Government rather than outright financial bailouts.
Caulcrick also advocated establishing a central financial clearing structure for the aviation industry, possibly through the proposed Aviation Development Bank (ADB), to guarantee prompt payment settlement among operators.
The aviation expert also advised the handlers to adopt various technology platforms to prevent future debts for airlines, warning that unchecked debts could cripple their operations.
Also, aviation analyst, Olumide Ohunayo, said it would be unfair for only airlines to benefit from government incentives while other private investors in the sector grapple with the same economic realities.
On his part, aviation consultant, Amos Akpan, said the recurring financial crises in the aviation industry indicated policy and structural weaknesses.
However, aviation consultant, Chris Aligbe, opposed calls for incentives for handling companies, arguing that airlines faced thinner profit margins and heavier operational pressures.
Aligbe advised handlers to introduce stricter payment systems to prevent airlines from accumulating fresh debts.
MEANWHILE, the National Association of Aircraft Pilots and Engineers (NAAPE) have raised concern over the growing impact of Jet A1 aviation fuel shortage in the country, warning that the prolonged supply disruptions is posing serious risks to flight safety, airline sustainability, and workforce stability.
The union, which represents licensed pilots and aeronautical engineers, said the persistent scarcity of aviation fuel had triggered widespread operational disruptions, including flight delays, extended crew duty periods, and route adjustments by airlines already struggling with rising operating costs.
NAAPE noted that airlines are contending with foreign exchange volatility, high maintenance costs, airport infrastructure challenges, and fluctuating fuel prices, which have significantly altered operational economics over the past three years.
NAAPE President, Bunmi Gindeh, in a statement, described the situation as a matter requiring urgent national intervention, warning that fatigue among flight crew members could erode critical safety margins within the system.
He, therefore, urged the Federal Government, the Nigerian Civil Aviation Authority (NCAA), the Nigerian Midstream and Downstream Petroleum Regulatory Authority (NMDPRA) and fuel suppliers to treat the Jet A1 shortage as a matter of urgent national priority.
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