Thursday, June 19, 2014

Senate Aviaiton Committee: Playing the Ostrich

The Senate Aviation Committee recently visited the Ministry of Aviation and other agencies on a supposed oversight function. During the visit, statements were made that sounded like revelations, but those that can discern this publicity stunt garnished in a typical ostrich game know that the Committee was merely playing to the gallery. This Committee was constituted about four years ago by the Senate President and members have not changed till today. Surprisingly, they feign ignorance about the remodelling of the airports, assaulting media hype, suffocating debts, flawed procedure of awarding contracts, surreptitious concessioning of Abuja GAT and fund allocation. This is the same airspace and airports they have traversed every day, while also participating in the commissioning, contracting and receiving foreign airlines that operate into 'emotional' airports. In my last article on mergers, I stated that “FAAN is self-sustaining, if it is free from Government interference. The same organisation that is not ready for privatisation due to security threats, but can collect international facility with interest to build five new international terminals, while also revamping twenty one airports at the same time is a commercial architechural world record, in view of the perceived security threats.” The hen has come home to roost. The Committee is challenged to come clean by washing their hands like Pilate did in public before going for corrective measures. They also need to tell the Presidency to review the merging of the regulator with service providers, and also protect FAAN from Government interference, so it can run commercially as advised by the Committee. Since the Executive and Legislature have foisted the leadership of NCAA on us over the years despite our advice to allow our best legs compete through advertisement, rather than through nomination which has weakened the regulatory and autonomous prowess of the NCAA. We implore the Committee to immediately initiate a regulatory consolidation process for our airlines, by raising the bar to a minimum of seven aircrafts. The recent excitement over the granting of AOCs to three airlines , which practically limped to make the minimum regulation of two aircraft is simply appalling. Foreign airlines are all over our airspace enjoying our political cabotage, while bypassing our weak carriers due to their size, financial prowess and processes. We need to break the scale. Is it not a shame that we do not have a Nigerian carrier in IATA Clearing House and only one of them is IOSA certified, yet we have delegations with allowances that are in DOHA sitting at IATA gatherings with shoulders raised as Nigerians. The Committee should also look into manpower distribution, which is improperly skewed and bleeding the agencies dry. Rather than merge, they can cut cost drastically by restructuring and placing political employees on the appropriate scale. BASA fund has run dry and has not been used for critical safety issues as espoused by agigators who did not want it domiciled with the CBN. It was instead gulped by commercial projects. Considering the interest and passion we have for that fund, I do not see our airlines going beyond the triangular routes. The Permanent Secretary in the Ministry, Mrs. Jamila Shua’ra should be left alone to her job, she cannot turn rocks to cash. Using a section of the media, that was in the past used to hype the transformation, to run her down, while exonerating the Supervising Minister is sheer blackmail. We have bitten more than we can chew, so let us clear the bowels before proceeding on medication. I also want to advise the Supervising Minister to limit his press statement on the projects and cargo airport, they are becoming incoherent. Lest I forget, the the Chinese contractors handling the new terminal at MMIA have erected a billboard stating clearly the client, developer and other contracting partners. This is the norm and a clear departure from the transformation remodellers, whose identities are shrouded in secrecy . The Senate Committe members did not see anything wrong, neither did they invite the Minister to the hallowed chamber to defend this anomaly. On the matter of inspectors sponsored by operators with business class tickets to inspect aircrafts, I am of the opinion that ICT, networking and professionalism have taken care of this issue worldwide. In the beginning it was acceptable, they could go and inspect. Not anymore. The rules of engagement should be given to the operators and the regulator should be diligent before giving a temporary approval that can be reversed if need be. Physical inspection is not in isolation, it is part of a process with many options,which may make it unnecessary to travel out. This option puts all liabilities and risks on the airline. Professionalism is more transparent, compared to the past, when they collected DTA and tickets from the operator - a pseudo compromise albino. Inspectors should only travel in exceptional cases at the behest of the operator. On CAT 1, there is nothing to cheer other than the 'big boy' pride and swagger along the West Coast . It is over ten years since we signed 'open skies' and four years since we attained CAT 1 certification, yet only one Nigerian airline operates scheduled flights into the US. The airline has neither increased frequency, points of entry or been winked at for code share and other commercial alliances by American carriers. It is not the fault of the Americans, but a Nigerian problem. Let us get our policy act together. I cannot end without mentioning the unfair advantage given to Ethiopian airlines and Emirates in frequencies and points of entry. The Ethiopians have four entries and a decoy in ASKY airlines, which competes with our carriers on the West Coast. They invested in a Togolese carrier, with only one point of entry, Lome, while Nigeria with four points of entry that generate a lot of revenue is not good for investment. My heart bleeds when I consider that Emirates and Ethiad from the same country has increased frequencies and points of entry, while investing in other countries with lower frequencies. This is simply aerial 'boko haram.'

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