Air fares rise as Dana, Aero grounded

 The escalating crisis facing Nigeria’s aviation sector has reduced the number of aircraft operating local flights from 46 to 31, leaving hundreds of passengers stranded daily, with fares shooting up by over 30 percent.

Also, the country runs the risk of losing its much coveted ‘Category One’ status if the current crisis rocking the aviation sector persists, analysts have said.

The removal of Harold Demuren as director-general of the Nigerian Civil Aviation Authority (NCAA), the withdrawal of Dana Airline’s operating licence and the grounding of Aero Airlines by an industrial action, all within a week, have precipitated an escalating crisis and doubt in local and international aviation circles, over the fate of the country’s air transport sector, industry watchers say .

With Aero Airlines withdrawing 12 aircraft following an industrial action and Dana three, only Arik and Medview are left to cope with traffic demand.

Already, Aero may have lost over $720,000 in six days of flight suspension, as it generates $60,000 revenue from each aircraft daily.

‘Cartegory One’ status is an aviation sector certification issued by the United States (US) which attests that a country has met US safety standards and authorises aircraft registered in that country to fly into its airspace.

Industry watchers have also expressed fears over passenger safety, as the crisis deepens due partly to what they say is the Nigerian government’s inconsistent aviation policies.

Muhammed Tukur, assistant secretary-general of the Airline Operators of Nigeria (AON) observed that ‘Nigeria might lose its coveted

‘Category One’ status if government continues to interfere with the regulations of the NCAA’.

“I think this is a planned crisis and it is not good for investors. There is too much interference in the affairs of the regulatory authority. You don’t play pranks with aviation. We may lose our Category One, it is dangerous and operators should be careful too,” he said.

Experts are worried that while the industry is yet to come to terms with reasons adduced by government for the removal Harold Demuren as director-general of the Nigerian Civil Aviation Authority (NCAA) government again at the weekend suspended Dana Airlines’ operations, giving no reason for the action after it restored it two months ago.

According to them, the problem is capable of jeopardising safety, as the few airlines and crew left on the scene would be forced to work prolonged hours, stressing their personnel and equipment.

Other experts say government means well and is concerned about aviation safety in the country but that the expression of that concern is revealing the “poor state of the aviation sector in Nigeria”.

Dele Ore, a renowned Nigerian pilot, with 16,000 flying hours, who has flown several aircraft types, including the DC-10, regretted that

“the sector is being run on sentiment”, adding that “government is sending a dangerous signal to the world through some of its decisions.

“The people that are elected as Senators, often know little about aviation. They made recommendations to the President to sack NCAA-DG but there is no DG that has more qualifications in Africa than Demuren.

“They are running the sector on sentiments. The depression in the sector now is a circle and Nigeria is diplomatically sending investors away”, Ore said.

The current crisis, which has reduced the number of airlines to almost just one, started when the National Assembly committees on Aviation recommended the sack of Demuren for alleged ‘incompetence and negligence’ and the withdrawal of Dana Air Operators Certificate (AOC), after its public hearing on the June 3, 2012 crash.

At the weekend, Aero Airlines laid off over 60 workers in its restructuring exercise. The shutting down of its operations and Dana’s sudden grounding, have compounded the woes of air travellers, whose choices are now limited.

These developments have also caused air fares for one hour flights to increase by over 30 per cent.

According to John Ojikutu, a retired air traffic controller, “a pilot is not supposed to make more than  three-four landings per day but as the situation is now, they could be forced to start making more than seven landings, then fatigue and depression set in for the crew and aircraft.

“They have destabilised the regulatory agency that is supposed to do the oversight, the National Assembly should be cautious of safety implications in their decision and not go beyond their limits”, he said.

“You can see the Nigeria aviation sector is in dire strait, it collapsing amidst scheming at the expense of safety, you see that the two major recommendations have been implemented and the National Assembly will now be happy that the sector which they are supposed to guard is in pieces as a result of their ill-informed conclusion. It is unfortunate that the same government which restored Dana’s licence is saying that it was done in error about three months later.

“In many respects, Nigeria has not been a reference in the air transport industry in Africa. The Nigerian air transport industry has been encountering lots of challenges to affirm itself in the continent. From the above, Nigeria appears as a good representation of a great number of African countries which have been less successful in the establishment of a vibrant air transport industry,” an analyst said.

Analysts are worried that the aviation sector contributes less than 3 percent to Gross Domestic Product and in the prevailing circumstances, is sure to fall below that mark.

 

SADE WILLIAMS