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Many Nigerians have become nostalgic for the federal government's plan to launch another national airline, but doubts remain about the future, funding and profitability of the airline considered, writes Chinedu Eze
. The logo and the name of the planned national carrier, scheduled to come into service in December of this year, were unveiled Wednesday at the Farnborough Air Show
. to make Nigeria a key player in the air transport sector in Africa
The government has also shown a firm commitment to the new airline, whose update is considered a major program of the Muhammadu administration Buhari in the aviation industry. From national carrier to the development of aviation in any country is invaluable because it becomes the point of support for the formation of aviation, the establishment of the maintenance facility, restoration, ground ha
Industry observers indicate that if the deceased Nigeria Airways had not been liquidated in 2003, the country would have made progress in the air transport sector
. They also noted that about 500 drivers who are currently unemployed in Nigeria would have obtained employment with the national carrier or would have completed their type rating with the airline. Today, Nigeria lacks young drivers, engineers and other technical personnel because a national carrier, which serves as a catalyst for the development of the workforce. , is absent
Private Sector
When the Minister of State, Aviation, Hadi Sirika One of the main achievements of the Buhari administration in the industry of l & rsquo; Aviation would be the creation of a national carrier, he stressed that it would be the private sector.
But today, as the process of having a national carrier has progressed, there is no indication that it would be established in private equity. The government is investing considerable funds into the project.
Recently, the Infrastructure Concession Regulatory Commission (ICRC) issued a Certificate of Compliance with the Summary Business Case for Updating the National Carrier Project
. reviewed the report on the structure of the PRS and the outline of the report on the project structure presented by the Federal Ministry of Transport (Aviation) for the establishment of a national carrier by means of a SRP / OBC Joint Venture (Joint Venture) Agreement
market research and all other available information, this certificate confirms that the bid is in substantial compliance with the ICRC Act 2005 and the National Partnership Policy Public-Private
"This certificate is issued on the condition that the federal government demonstrates its commitment to the leverage of the national enterprise by the granting of an initial grant / of a viability gap financing (VGF) to finance the acquisition of aircraft and start-up capital.
"The FGN also agrees not to contribute to the decisions of airline management and not to exercise management control by the government. Any attempt to impose government control over the management of the airline invalidates this certificate and the whole process, "said the ICRC, adding that the validity of the certificate was 12 months," given the As the project conditions may change over time, this certificate is valid for 12 months from the date indicated below. "
" This certificate is issued to allow the Department to launch an open international tender "
But Sirika recently admitted that the original cost of the project was $ 8.8 million and that this amount was added to 1.7 billion nairas paid to consultants.
Financing
In addition, Sirika confirmed that the proposed airline would consume $ 8.8 million in preliminary costs and $ 300 million in take-off costs and that the project would be executed by PPP [19659004] But until now, there is no indication that the private sector would inject funds into the airline.
Chris Aligbe, industrial consultant and CEO of Belujane Konsult, recently told THISDAY that it was unlikely that private investors He explained that investors would want to know in what they are investing their money. So, the airline must be viable before such an engagement.
But Sirika has so far been dumb about any interested party wishing to invest or having invested money in the airline.
THISDAY learned that until now, the committee The Minister held a meeting with aircraft builders, Standard Chartered Bank, Qatar Airway and Ethiopian Airlines
Meetings with aircraft manufacturers involved orders or acquisitions of aircraft, that of the bank was funded, while meetings with Ethiopia The airlines and Qatar aimed to obtain a lead investor or a technical partner for the planned airline.
Technical Processes
Nevertheless, industry stakeholders argued that even though they hoped a successful national carrier for the nation, in the dark about how the government would achieve the airline company.
They argued that there was not a clear picture of how the government wants to start the business, what the part "What we do not understand, c & # 39; 39 is how the national carrier can be achieved in less than six months until the deadline when the government said it would do it. establish an airline, "said an operator who pleaded for anonymity.
In addition, a senior official of one of the airlines who said that a national carrier would provide The pivot for aviation development in Nigeria, however, emphasized that "If the federal government sets up the airline, it must be supported by a law that establishes it, which means that we have to return to the National Assembly.
"I doubt that this can be achieved in the next six months because Take the time and you must have to repeal the law that established the defunct Nigeria Airways Limited (NAL) before you adopt a new law for the airline
Transparency
Many industry stakeholders who have spoken to THISDAY, argued that the process of establishing the national carrier does not have any effect. was not transparent, saying that there was nothing on the ground to show that the airline was about to take off.
Up to now, there is no physical office for the airline taking off in December, there is no recruitment of personnel and other structures necessary to take off from the airline are not available, they said.
Another insider told THISDAY that it was not appropriate for the government to unveil the logo and name of the new national carrier in Britain without informing stakeholders or involving Nigerians in the project to create the airline.
"It is not appropriate to unveil the airline abroad without regard to what is happening.It should have told the stakeholders before going to London
" Soon we will arrive at a T junction that any move we make will determine the success or failure of the airline. There are so many things that are opaque about the airline. That's what others had already achieved and because of the secretary surrounding the plan, that failed, "said a source to THISDAY
while some said the minister had begun to look for candidates for the airline, in the opinion that if the private sector were involved and the airline had a technical partner or a principal investor as stipulated, it would not be the duty of the minister to appoint for the new airline
this should be done by the lead investor or technical partner, but the government should provide advice saying, for example, that all second-line managers must be Nigerian because that they would take over later
what happened to Virgin Nigeria Airways and what happened to the airline that was to be launched by the The source said:
Aircraft Leasing
When the minister unveiled the federal government's plan in the aviation sector in 2016, he had stated that in addition To establish a national carrier, the government would also establish a leasing company and a maintenance facility.
He had explained that a leasing company would provide the new airliner while maintenance would be performed at the maintenance facility in Nigeria. help Nigeria save foreign currency because aircraft maintenance disrupts airline resources because major maintenance work is done overseas.
As a result, industry observers believe that there is no indication that the leasing company was about to establish itself. ] In addition, they also argued that there is also no plan to set up the maintenance facility, the establishment of a national carrier is like putting the cart before the horse.
Sirika had previously stated that one of the factors that led to the failure of Nigeria Airways was the inability of the airline to maintain its planes locally.
That, by the time the airline sank, the engines of its planes were
Procedures
Industry stakeholders are also of the view that before the airline starts operating, it must establish its own manual, and it takes at least three months to come to fruition because The Chairman of the Aviation Roundtable (ART) and a seasoned aviator, Gbenga Olowo said: "If Nigeria has to have a national airline again, then we have to do it right, that's my point." The ICRC obviously insists on the control and management of the private sector because Is the inefficiency of the government that killed the former airline of Nigeria.
"The airline became a rescue train for fat men high placed.They used the planes to private purposes … "
Maybe Some of these procedures could be ignored for the establishment of the national carrier, but if they are omitted, it would not be said that due process was followed. (function (d, s, id) {
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