Nigeria signs IDERA, Implements Cape Town protocol for aircraft de-registration

The Federal government has implemented the Cape Town Convention protocol on de-registration and export requests of leased aircraft.

Festus Keyamo, Minister of Aviation and Aerospace Development, Speaking at the signing of protocol documentation of Irrevocable Delegation of Authority to de-Register Aircraft (IDERA) on Wednesday in Abuja, explained that it is a necessary step in allowing new aircraft to come into the country.

“We are here today, having fulfilled all our judicial obligations, we want to update the administrative rules, and this is what they called, the Advising circular.

“This requirement is an international requirement, a global requirement, which we have not attended to all along. This is a very important step in raising Nigeria further in the world of leases and financiers,”

Keyamo further explained that certain negotiations around the world by Nigerian aircraft operators are on hold now. “One of my aids will tell you that they are trying to assess certain aircraft now on dry leases, those negotiations are on hold until we sign this as a country.

Read also: Nigeria signs the Cape Town Convention on Aircraft Lease

“As I speak with you, I got that information yesterday. They are holding back. They said they want the IDERA to be signed, and then the aircraft will come.

“This is to make sure that their aircrafts are safe within our jurisdiction. And that is why we are doing this today” the minister stated.

On his part, Chris Najomo, Director General of the Nigerian Civil Aviation Authority (NCAA), explained that the Cape Town Convention and the associated Aircraft Protocol came into force in the United Kingdom on 1 November 2015 through The International Interests in Aircraft Equipment (Cape Town Convention) Regulations 2015.

He reiterated that the Cape Town Convention aims to reduce the cost of raising finance for large, high-value mobile assets which routinely cross borders.

“About registration and operation of aircraft in Nigeria, the main impact of the Convention is the ability of the registered owner to request an Irrevocable De-Registration and Export Request Authorisation (“‘IDERA”) over an eligible aircraft.

According to him, Once an IDERA is recorded, the party that has been declared by the registered owner as the “authorised party” will be the only party with the right to de-register and export the aircraft.

Read also: Pros, cons of newly-signed Cape Town Convention

Najomo explained further that the smooth execution of this authorisation has been impeded by judicial pronouncements and unwilling lessees. However, he noted that the Minister of Aviation & Aerospace Development has taken the bull by the horns in ameliorating the consequences of this occurrence, and that is why we are gathered here today.

“Nigeria is a Contracting State to the Convention On International Interests In Mobile Equipment (the Convention) and the Protocol Thereto On Matters Specific To Aircraft Equipment (the Protocol) and had made a declaration under Article XXX(1) of the Protocol providing for the recordation and enforcement of IDERAs.

“In line with the HM’s efforts, I am issuing an Advisory Circular: NCAA-AC-AWS001A dated 16th October 2024 intended to provide information and guidance on the civil aviation regulatory requirements and procedures for recordation and cancellation of an IDERA and de-registration of aircraft and exporting aircraft, including aircraft objects located in Nigeria, for purposes of any export remedies.

“The goal of enabling our airlines have access to dry-lease aircraft to boost operational capacity will be eased as a result of today’s achievement,” he noted.