I hope Virgin don't throw in the towel unless FAAN come up with a sensible solution to move transfer passengers securely inside the airport perimeter in shuttle buses as suggested by Surely Not.
SN, Arik have already agreed to move, but don't know if they have yet as they were still in International terminal 3 weeks ago. I wonder if that's related to Van Elk having been MD of Arik?
Chanchangi didn't seem too impressed with the new terminal and withdrew from there due to what it termed "unnecessary bills".
Captain Daniel Omale's article in today's Leadership newspaper is a fair summary of the state of affairs:
Leadership - Airline Operators of Nigeria Baseless Threat
Airline Operators Of Nigeria’s Baseless Argument/Threat
Airline operators of Nigeria (AON), last week, called on the federal government to immediately order Arik Air and Virgin Nigeria out of the international wing of Murtala Mohammed Airport, Lagos, attributing the incessant drug trafficking cases at the airport to the lumping of both the international and domestic flights at the international wing of the airport. AON also threatened to sanction any member airline that does not operate from the new domestic terminal, MMA2, run by Bi-Courtney Aviation Services. The chairman of the organization, Dr Steve Mahonwu, is either ignorant of the principles of airline business, or the principles of economics.
The main objective of running any business is to make profit; period. If MMA2 run by Bi-Courtney Aviation Services is more expensive than the Federal Airport Authority of Nigeria’s (FAAN) terminals, then the airlines have the choice of what is more profitable for their business. This country operates on the economic of free enterprise, scarcity and choice and demand and supply. If Bi-Courtney Aviation Services has the best product for the airlines, at the most affordable price, then it is the responsibility of Bi-Courtney to sell themselves to the airlines and not AON to order any airline to use MMA2.
Secondly, operating both domestic and international flights from one airport cannot be the catalyst for drug trafficking. 99% of all the airports in the World today operate both local and international flights from one terminal building. If we are indisciplined as Nigerians and cocaine smuggling has now re-surfaced at our airports, then, we must question ourselves as to why the re-occurrence and what is the National Drug Law Enforcement Agency (NDLEA) doing to curtail the situation?
The airlines have the choice of patronizing either FAAN or Bi-Courtney, which ever they find cheaper and conducive for their passengers. The passengers on the other hand have choices of airlines to fly with regard to airfare, terminal and boarding services. If an airline chooses to use MMA2, which is more expensive than London Heathrow (as insinuated by Arik Airline MD) and the airline can keep its business profitable, then it is the absolute right of the airline to patronize Bi-Courtney terminal.
What we are advocating for in airline business, which is still highly regulated, is pure de-regulation, without any form of government intervention or obstruction, except in the areas of safety, international relations and defense.
It is an irony that AON has just noticed that the past government of Obasanjo favoured Virgin Nigeria over other airlines during their entrance into our market. What has AON done since Kema Chikwe’s regime when all the airlines with airplanes above 22 years old were banned from operating without any grace period? AON’s argument is baseless, illegal and empty. AON as an organization needs to be cohesive and un-individualistic. If a member airline is undergoing unnecessary pressure from the NCAA or other government agencies today, members turn their heads the other way, leaving that airline to suffer the consequences, alone. What is the chairman of AON’s interest in forcing our airlines to patronize Bi-Courtney terminal? If MMA2 is affordable for the airlines, patronage cannot be a problems for the terminal will sell itself.
With due respect to Wale Babalakin, who has invested so much to develop the terminal to international standard for passengers comfort, we all support this laudable project, but it must be devoid of any unwarranted intimidation.
The former General Manager (legal) of FAAN, Yomi Oyelola was sacked by Fani- Kayode, the then minister of aviation, when Oyelola explained the illegality of extending the build Operate and transfer (BOT) contract of Bi-Courtney Aviation Services with FAAN. The original contract was for 15 years, it was later changed to 20 years and now extended to 36 years. To me, this is very sad, as the GM did nothing wrong by opposing the alterations of the contract. If Nigerians are not free to express their views, especially, as it regards their official responsibilities, then we are not yet ready to run a nation. The General Manager, for posterity, must be recalled to explain his own version on the issue, if we are to practice justice in this country.
Airlines in this country have the right to use any terminal of their choice; the only deciders are the passengers, who pay the bills, and not AON.
Competition is the name of the game. Let FAAN and Bi-Courtney compete for the patronage of the airlines with good rates and services. The choice is theirs and not AON.
It is more encouraging for airline operators of Nigeria to sanction any member that deviates from safety practices such as standard training for their crews, bi-annual Cockpit Resource Management (CRM) for their pilots and poor maintenance of their aircraft. The unfortunate thing about the airline industry in Nigeria is that, most airline owners are business people who lack basic knowledge of the industry, but find it hard to trust and utilize the knowledge of their employees.
MMA2 operated by Bi-Courtney Aviation Services does not in any way constitute a safer flight operational standard, but may render better passenger services that can only be ascertained by both the lessee and those they intend to serve. By and large, the price must be acceptable to those wishing to engage in business with MMA2. If Bi-Courtney cannot attract customers for their business, it is not AON’s duty to coerce its members.
FAAN held the monopoly of airport and terminal services in the past, but with MMA2 run by a private company, airlines should expect better services from FAAN and competitive prices from Bi-Courtney. If the lease rate of the new terminal run by a private company is too high for individual airline, the choice of staying with FAAN or using FAAN terminals, solely rest with the airline. This is the choice that arises out of competition. We need more private interests in running our airports to improve services and lower lease rates for the airlines, which will be transferred to the passengers.
The combination of both AON and Nigeria Civil Aviation Authority (NCAA) to foster safety initiatives will definitely improve flight safety in aviation industry in Nigeria.
The greatest setbacks in aviation industry in our country are in areas of aircraft maintenance and engineering, and manpower shortage.
Maintenance is a 24-7 function that requires careful organization, tight control, diligent oversight and robust quality assurance. Airlines have instituted comprehensive oversight systems to ensure that aircraft are maintained properly in accordance with FAA regulations and manufacturers standards. In addition to FAA oversight, air carriers generally maintain their own on-site staff at their major maintenance-provider locations to continually monitor performance and quality.
Airline operation is a fragile and capital intensive business; AON should focus more on serious issues like safety and manpower development than soliciting patronage for someone else’s business.