The Federal Government has been advised to demand less from Bi-Courtney Aviation Services Limited (BASL) on its agreement for the Concession of Murtala Muhammed Airport Terminal Two (MMA2).
Aviation Expert and Analyst Group Captain John Ojikutu (Rtd) in an interview with Swiftnews, disclosed that the conditions attached to the resolution of the conflict between FG and BASL appears lopsided because the company had secured legal victory from courts of jurisdiction on the matter in the past.
While welcoming the resolution, Ojikutu, however, expressed worries over the continued silence of BASL on the matter, adding that there is nothing unusual in the offer to carry out regional flights from the MMA2 Terminal, as it was part of the clause attached to the agreement at inception.
He stated : ” I am very concerned , and so should stakeholders be on this matter that had dragged on for almost two decades.”
” But, it is getting to two weeks after the Minister’s GOSPEL TALK, we have not heard from Babalakin or his company , Bi-Courtney on a matter that I believe needs the Supreme Court Endorsement of any Agreements – between the two- against it judgement especially knowing that the two – Keyamo and Babalakin – are SANs.
“What the Successive government administrations have done to Bi-Courtney is not different from what they have done, probably still doing to Dangote since the Obasanjo administration left. Note that Sirika walked on the same path and did not work. Designating the Terminal for WA Regional Passengers is not a new innovation by this administration but was already a part of the terminal at inception and completion.”
He further added : “My take, without hearing from Bi-Courtney, the government administration should demand less, not more than the Supreme Court’s Judgement that favours Babalakin’s Bi-Courtney.”
Ojikutu while commenting on the spike in Airfares and Fuel prices, noted that the situation is becoming worrisome because the regulatory authority has not been carrying out enough regular commercial audit on Airlines.
“Judging by present inflation rates, there cannot be much difference in the prices of the two in Dollar Rates. In the mid 90s when prices were at a reasonable level, local Airfares were between N3,800 to N4,000 or $100 when it was $/N40. That period was when fuel was refined in the country and sold about N100/ltr. Today, fuel is imported in dollars and at N1300/$ not at N40/$ it was in the mid 90s.”
” The airfare rate today cannot be less than $150 and at the Naira rate, it can never be less N195,000 or N200,000. Please note that there are other associated aeronautical services like the Ground Handling Services, Catering ,” he affirmed.
Ojikutu went on : “Had the NCAA been carrying out the regular commercial Auditing in compliance with the Economic Regulations of the Nig CARs Part 18, the situation could not have gotten escalated as it is today.”
On the escalating price of Aviation fuel, Ojikutu called on the Federal government to take advantage of the increase in crude oil exploration by giving 450,000 barrels for local refining.
He said: “My suggestion to those in the government administration and the Management of the agencies is to take advantage of the increase in the crude oil exploration by taking 500,000 barrels from the 1.8m barrels daily. Give 450,000 barrels to Dangote to refine in the various products for home consumption as has been with the four government’s refineries. The price for any product should not be more than N300/ltr.
“This is much reasonable to do for Nigerians than the Rice, Garri, Oil that are being distributed all over the country. It will bring prices of all commodities down and would reach every Nigerian than the distributed food items. This should not be too much to give to Nigerian population by the government.”
He further advised : “The balance of the 50,000 should be given to Dangote as payment for the refined products.”
The Federal government last week announced the settlement of a two decade rift it had with BASL on the Concession agreement of MMA2.
Minister of Aviation and Aerospace Development Festus Keyamo who brokered the resolution said the intervention will boost investor confidence in infrastructure financing in the aviation sector.
Keyamo stated that regional flights will soon commence at MMA2, as the FG concludes plans to carry out Apron expansion at the facility.
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