Another levy, another burden for air travellers
The Nigerian Civil Aviation Authority (NCAA) needs to review its decision to unilaterally impose an $11.50 security levy on all inbound and outbound international flight tickets in Nigeria. This decision, contained in a memo signed by the authority’s Director-General, Capt Chris Najomo, has triggered strong reactions from airline operators, industry associations, and passengers in the […]
The Nigerian Civil Aviation Authority (NCAA)
The Nigerian Civil Aviation Authority (NCAA) needs to review its decision to unilaterally impose an $11.50 security levy on all inbound and outbound international flight tickets in Nigeria. This decision, contained in a memo signed by the authority’s Director-General, Capt Chris Najomo, has triggered strong reactions from airline operators, industry associations, and passengers in the country. It also contravenes certain values that Nigeria aspires to advance, including ease of doing business and lessening the burden on an already overburdened populace.
The new levy, known as the Advance Passenger Information System (APIS) protocol, which will take effect from December 1, 2025, will bring the total security-related ticket fees to $31.50 or approximately N45, 500. This will raise the levy to the third highest in Africa.
It is pertinent to point out that Canada charges about $34 (CAD) per passenger; Nigeria’s per capita income is not comparable to that of the North American country. Countries such as the US charge under six dollars for security levies.
While APIS is a globally recognised protocol, in most cases, governments worldwide absorb the cost. Considering that Nigerian passengers are already overtaxed, with a five per cent Value Added Tax, five per cent on Ticket Sales Charge, a Passenger Service Charge by FAAN, security and fuel surcharges, as well as airport development levies and navigation fees, the introduction of another security levy will be excessive.
Therefore, this levy will impose a significant burden on the estimated 4.1 million inbound and outbound passengers using Nigerian airports annually, according to NCAA and FAAN. With this figure in mind, the NCAA hopes to raise billions over the proposed 20-year lifespan of this levy.
The NCAA claims this revenue will be used to enhance aviation, security, passenger data management, and border control in line with global standards. If this aim were better articulated and properly justified, it could have been seen as a commendable objective, provided there is a system in place to guarantee accountability and ensure the funds are utilised for the intended purposes.
However, the lack of a public assessment of the policy and the unilateral nature of its declaration, without consulting or sensitising aviation stakeholders, passenger groups, and industry associations, leaves much to be desired.
Furthermore, the NCAA’s failure to fully justify and account for its use of the previous $20 security levy charged on tickets towards achieving some of the objectives tied to the new tariffs hardly inspires confidence that the revenue generated from this new levy would be used for this purpose.
We at the Daily Trust call for an assessment of the policy before its implementation. Until a public assessment of this policy can be conducted and these justifications and guarantees provided, it is imprudent to hastily implement such a policy.
We also want to point out that the implication of this new policy is that it makes airfare even less affordable for Nigerians, families, students, and business travellers. This will reduce accessibility to international travel for many Nigerians.
Additionally, the policy could negatively impact the Nigerian economy. Aside from contravening the ease-of-doing-business mantra that the country has been promoting, this new policy could discourage tourism, stifle foreign investment, and reduce the competitiveness of Nigerian airports compared to other regions.
Again, Nigeria has been struggling to gain commitment from airlines to operate in and out of the country. This policy is unlikely to improve that situation and will only further dissuade foreign airlines from operating in Nigeria, especially in the absence of a national carrier. Another possible consequence of this policy is that local airlines, such as Air Peace, may face reciprocal levies abroad.
Considering all these circumstances and the overwhelming concerns of stakeholders, including airline operators, industry associations, and passengers, we call on the NCAA to immediately halt the implementation of this process, review the introduction of the new levy, audit and account for the generation and use of the existing levy, and conduct a town hall to discuss future directions. In these crucial times, it is important that policies are people- and business-friendly and sensitive to the economic realities of the country.
Government should also introduce policies that will further enhance the economy of the country. This one may not achieve that.