The Nigeria Civil Aviation Authority has temporarily suspended enforcement of its “no pay, no service” directive against airlines with outstanding statutory remittances, citing concerns about the industry’s current operational realities.
Its director-general, Chris Najomo, disclosed this in a statement on Sunday. He said the decision followed extensive consultations and a review of prevailing challenges affecting airline operations, particularly the increasing cost of aviation fuel.
According to the NCAA boss, the suspension should not be interpreted as a cancellation, waiver, or forgiveness of airlines’ financial obligations, stressing that affected operators remain fully responsible for settling all outstanding statutory debts.
The NCAA chief stated that President Bola Tinubu had earlier approved a 30 per cent discount on outstanding fees owed by domestic airlines to aviation agencies, including the NCAA. He added that the discount was part of measures aimed at cushioning the impact of rising Jet A1 fuel prices on operators.
The intervention, according to Najomo, formed part of the broader federal government’s efforts to support airline operations and maintain stability within the aviation sector.
He added that the NCAA would continue to engage airlines individually through structured arrangements to ensure debt recovery while balancing compliance requirements with industry sustainability.
Mr Najomo explained that the five per cent ticket and cargo sales charge was a mandatory component established under the Civil Aviation Act and incorporated into the cost of passenger and cargo services.
All affected operators, he said, therefore remained fully responsible for settling their statutory debts, and the NCAA will pursue structured engagements with airlines individually to ensure recovery.
He noted that these charges were collected by airlines at the point of ticket and cargo sales on behalf of the aviation ecosystem and are expected to be remitted to the regulator.
The NCAA had, in an internal memo dated May 22, directed its directorates to suspend services to 11 domestic airlines. It added the airlines to its updated no-pay-no-service list for unpaid statutory charges owed to the regulator.
The memo ordered all NCAA departments to withhold regulatory and administrative services from the affected operators until they clear their outstanding debts or agree on repayment plans.
The indebted airlines, according to the NCAA, are Air Peace, Ibom Air, Arik Air, United Nigeria Airlines, Umza Air, NG Eagle, Max Air, Caverton Helicopters, Overland Airways, Rano Air and ValueJet.
(NAN)
