16 years after, NAMA proposes 800% hike in air navigation charges
The Nigeria Airspace Management Agency (NAMA) at the weekend announced the upward review of navigation charges and fees paid by airlines with 800 per cent rate proposed. The new rates, which will take effect from September 1, according to the Managing Director/Chief Executive Officer of NAMA, Engr Farouk Umar, is in line with the prevailing […]
The Nigeria Airspace Management Agency (NAMA) at the weekend announced the upward review of navigation charges and fees paid by airlines with 800 per cent rate proposed.
The new rates, which will take effect from September 1, according to the Managing Director/Chief Executive Officer of NAMA, Engr Farouk Umar, is in line with the prevailing economic realities.
NAMA is an agency of the Federal Ministry of Aviation managing the nation’s airspace and ensuring safety on the ground and in the sky.
Since 2008, the agency has not reviewed its charges, comprising en route navigational charge, terminal navigation charge, among others, for domestic and international airlines.
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Speaking during the 28th annual conference of the League of Airports and Aviation Correspondents (LAAC), with the theme: “Aviation Survivability Amid a Challenging Macro-Economic Environment”, the NAMA MD recalled that as far back as 2008 when a one-way one hour ticket was N16,000, NAMA had been charging N11,000 per flight.
Daily Trust reports that the announcement has been generating uneasy calm in the industry amid fear of a further rise in air fares.
But the MD clarified that while the airlines had been responding to the macroeconomic environment by regularly reviewing their fares with a one-way flight costing as much as N150,000 to N200,000, the agency had maintained the same charges for 16 years.
He said, “It is in the light of this and in the spirit of this conference’s theme of survivability that NAMA announces the review of its fees and charges. Even though most costs in the economy have increased by more than 1,000 per cent, NAMA has proposed to increase its fees and charges by 800 per cent.
“The new unit rate/minimum charge for en route is N18,000 from N2,000 per flight, while the new unit rate/minimum charge for terminal navigation charge (TCN domestic) is N54,000 from N6,000 per flight with effect from the 1st of September, 2024.
“Also, the extension of hours of service is also to be reviewed from N50,000 to N450,000 per extension to enable the agency recover the cost of diesel and other logistics during the period of extension.”
Umar further said that the agency would meet with stakeholders, especially the airlines, to explain the need for the review.