Saturday, May 18, 2013
AVIATION INFO &THE BUDDING GOEBBELS
I was thinking of a deserved rest from aviation related issues and join the growing list of siddon look, when I heard the half-state of emergency declared by Mr. President in the three northern states of Borno, Yobe and Adamawa. I use the word half-state because troops moved enmasse into the affected states under new rules of engagement, while all the governors and other political appointees were allowed to retain their seats.
The media was also awash with the half-state of emergency declared by the Ministry of Aviation, where the GM Corporate Communication (FAAN) was appointed the Coordinating Manager for Information and Communication for all agencies under the Ministry, with other officers retaining their seats in the different agencies.
This is an aberration and an elevation of propaganda in the industry, while the President is fighting the implacable and unidentifiable terrorists, who is the Ministry fighting?
The appointment is a strange novel in the industry; it is also not a surprise considering his penchant for defending the Ministry and propagating their activities at the expense of FAAN, his constituency.
The pain here is that barely a week after the World Bank complained of excessive political interference in the agencies, we are declaring a state of emergency in information management.
The regulators, NCAA and the new baby NAERU are also to clear their press releases through the new appointee, who represents an agency they regulate. Incidentally, he advised some days ago that aviation should be taken from the Madding Crowd. Please practice what you preach.
Regarding Amaechi’s jet, the pyrrhic excitement should stop; we should rather use the opportunity to correct all the ills in private jet operation, which stand till this moment. All the relevant agencies responsible for monitoring and coordinating the operations of this category of operators are guilty and have persistently failed to deliver the dividends of corporate jet operations.
That aircraft had clearance up to the 4th of April, 2013, yet it kept flying in the Nigerian airspace till the 26th of April, 2013. On that day with the same clearance and untidy sheet, it departed PH for Owerri, thereafter Akure. Who gave start up in PH and Owerri? The speaker of the House of Representatives simply dropped a member of his team and asked Gov. Ameachi to hop with him from Akure when the governor’s aircraft had issues. Did the speaker’s team present a new manifest to reflect the new passenger?
The prosecution option of the Ministry, rather than penalties as accepted in civil aviation coupled with concurrent press statements and the inability to probe other violators in that sector tilts towards witch hunting.
Tuesday, May 14, 2013
RE: The New Nigeria Civil Aviation Policy (NCAP 2013)
The Honourable Minister of Aviation recently unveiled the new NCAP, which has attracted more condemnation than commendation. A civil aviation policy document is usually midwife by the Honourable Minister through the interplay of various stakeholders. This policy did not go through that refining process, hence the hurried meeting with operators and stakeholders five days after the unveiling.
In the minister’s message, which was personally signed, she said “the Federal Government is conscious of the fact that sustainable implementation of this policy will require the collective participation of all stakeholders.” The stakeholders should have been carried along from the beginning rather having selective participation.
The policy is out and having gone through it, I will align with those commending the policy, while I also believe we need to tweak some positions taken. Fortunately, it is a policy and not regulations and can be reviewed if it’s not in the best interest of the country.
The Nigerian Aviation Economic Regulatory Unit is a refreshing innovation that will curb and punish predatory activities, while gingering competition and most importantly protect domestic carriers and consumers from companies and airlines with significant market power and dominant position.
The NCAA should focus on technical and safety oversight, their core competence, incidentally the policy tallies with the World Bank report that was presented to stakeholders last week.
If the unit is not politicised or made an appendage of the Ministry, it will be the most important legacy of this administration, and will also act as a purveyor of an encompassing antitrust body that will protect Nigerians in other sectors of the economy.
The requirement for a minimum of three aircraft for domestic operators and five for regional and international operators is also commendable, though a little shy of our expectations, but a good beginning for the regulatory consolidation process. The minimum paid up capital does not work here, it is a mere paper document that can be sourced by conniving with the same banks and other institutions they used to siphon bailout fund.
The policy statement on foreign registered aircrafts and some operational aspects will ginger the transformation and improve the local content input of the aviation industry. It will also encourage pooling of resources, which is a better ownership option.
It is also commendable that after an Initial Gra Gra (IGG), the Ministry has accepted the inevitability of the PPP concept. The World Bank team reechoed it last week, it is the only panacea for maintaining and sustaining our airports, what has always been the problem is transparency and openness. The transformation train should be prepared to berth at FAAN as an organization, while also thrashing out the numerous PPP associated litigations.
The route dispersal guidelines and schedule operators permit entrenched in the Public Service Obligation (PSO) programme is also commendable. I will advise that the host state and adjoining local governments close to such airports be made to partake in the programme. Also, with the PSO programme in place, it is not necessary to give incentive to domestic operators of 80 seats and below, the idea is a selfish subsidy.
Routes allocated and not utilized by Nigerian carriers should be withdrawn immediately and given to other Nigerian carriers that have shown interest. If reciprocity is the dignifying word we should not shackle carriers that are ready and willing. The policy got this right; I must also commend the idea of encouraging non-schedule operators to ply routes abandoned by schedule operators, the civil aviation regulations in place might make it difficult in the short run, due to the certification needed to operate commercially.
The National Aviation Safety Committee will coordinate the activities of the Nigerian Airlines with respect to the NCAP and the Aviation Consumer Council, comprising stakeholders and users are innovations that will aid monitoring and key performance index.
After numerous litigations that have increased the country’s public debt, it is with great relief that the policy has asked Service providers in the aviation industry including Airports and the Air Navigation Operators to put in place adequate third party insurance cover.
The policy reiterated the waiver on import duties and spares for commercial and private operators. The waiver is a subsidy and should be for commercial operators, not for private operators. Rather, a luxury tax should be added for this category of operators.
Yamoussoukro Declaration will be the basis of negotiation with member states, since the policy says so. Then the request of the Ghanaian and Gambian carriers that have applied to operate into the country should be granted without delay in the interest of our leadership position in the sub-region and Nigerian consumers the policy seeks to protect. Passengers flying Banjul and Accra routes are being fleeced by Arik in fares and service.
Single and Seamless Sky is a futuristic project that is also commendable, it will improve safety, reduce pollution and fuel burn. NAMA management should begin to look at alternate source of funding, while critically perusing the recent World Bank report. The message in the World Bank report with respect to NAMA calls for reflection rather than grandiose.
Some aspects of the policy need to be reviewed, an independent search and rescue agency with offices in the six geo-political zones will only over burden the system with attendant cost implication.
Why do we want to protect a new group of private investors at the expense of existing investors using the banner of a National Carrier? The government is starting another flag carrier not national, so the carrier should be free to compete rather than seek government protection. The same protection Virgin Nigeria signed with government only to repudiate to the consternation of the investors. Also, the Fly Nigeria Act that would have aided our commercial airlines was again bypassed, a phased implementation starting with charter flights and some regional routes would have been appropriate. The MD guaranty trust bank last week said “ we will rather invest in the private jet sector rather than the commercial jet sector that are there today and tomorrow no more.” Let’s ponder !!!
I also strongly feel that the issue of insurance and passengers to be ferried by the private jet operators should be in the regulations rather than the policy. It would have saved us the unnecessary distractions that it has generated since it’s unveiling.
In concluding, NCAP 2013 says, “the policy is designed to provide a platform for the way forward and future prospects of the aviation industry, set new paradigms in air travel standards which will provide consumers with appropriate protections without affecting the ability of airlines to set service levels in a competitive market”. Also, “all civil aviation service providers shall promote effective implementation of the NCAP in their areas of activities and ensure that the spirit of the NCAP is adhered to.”
The NCAP 2013 spirit can only be achieved if the ministry can boldly and honestly allow these tripod- implementation, monitoring and review without political interference or imposition.
Thursday, May 9, 2013
RE: AMEACHI’S AIRCRAFT AND FLIGHT CLEARANCE
RE: AMEACHI’S AIRCRAFT AND FLIGHT CLEARANCE
By Olu Ohunayo
Gov Ameachi’s aircraft and the unabated controversies with respect to his last flight to Akure and other operations in the general aviation sector is well known to stakeholders over the years, who have deliberately turned blind eyes or are afraid to act due to the caliber of clients or owners of these private jets whether foreign or Nigerian registered.
The government should go ahead with the probe and be bold enough to dig deep, press the rewind button and most importantly make their report public. The necessary sanctions and fines should be applied, which is not witch hunting but will act as a deterrent.
Gov Ameachi’s aircraft should not be singled out for the investigation rather it should initiate other probes, majority of the general aviation flights operated spontaneously or over the weekend have the same lapses, so if we are going to investigate we should make it open, even those shouting hosanna will be surprised at the rot.
If flight clearance process is a vital safety and security component of civil aviation worldwide and requires the involvement of both the civil aviation authorities and the national security agencies before approval is given, while full disclosure of the aircraft, passengers and crew must be provided as required by law, then how did the incarcerated former governor of Delta State leave the country or is it the recently pardoned former governor of Bayelsa state, who returned to the country through the same “Egbesu route” only to hop on another helicopter that took him to Yenegoa. Mr president ,who was the acting governor at that time had to quietly slip to Otuoke for his own safety.
The discrepancies noticed with the flight clearance, plan and registration of Gov Ameachi’s aircraft is a norm and not an exception in general aviation in this country, we should used this opportunity to reverse the trend in the interest of safety ,security and improved revenue generation.
I will also not forget to reiterate that the civilians, military retirees inclusive should not be allowed on board military aircraft, since they are not subjected to the civil aviation laws and norms, if the military wants to partake in charter services they should form and register a company for that purpose that will compete and subject itself to the civil and compensation processes.
The various agencies and the supervising ministry are over heating the aero-political landscape with the concurrent and similar press releases as if they were all drafted on the same laptop or are they
trying to convince the boss ''Oga'' at the top that they are working
Monday, April 8, 2013
Re: re FG keeps Emirates, Turkish out of Kano despite Minister's pledge
The SA to the Hon Minister of Aviation was forced to clear the air for the umpteenth time on this lopsided bilateral agreement that clearly favours the government of UAE and Turkey.
Quoting him "once again we are constrained to comment on the above subject matter and make further clarifications since some interest seem bent on making political capital out of an already settled question", while I am not surprised at the political angle being taken by the ministry to survive the concurrent blackmail and pressure by a coordinated group which is detrimental to the growth of our airlines and obviously at variance with the projected GDP contribution of aviation as espoused by the Honourable Minister in her road map for the industry.
My surprise is the unbelievable silence of the operators, AON, unions and other interest groups that prefer to wait for bailout, free aircraft s and the new contraption Air Transformation aka national carrier.
Emirates and Etihad airlines are from one country, they were granted approval to operate into Lagos, Kano and Abuja respectively without reciprocity, somewhere along the line an enhanced BASA was signed to give Emirates a second daily flight to Lagos.
The two carriers operate about 42 flights a week in and out of Lagos alone, while also increasing gauge and in the nearest future will operate into Abuja and Kano. This is simply unfavourable and detrimental to the industry and the country as a whole. If they must operate into Abuja and Kano they must relinquish some frequencies into Lagos.
Nigeria Airways built this route using public funds that has not and can never be recouped, we need to separate politics from aviation,reciprocity,commercial partnership and protection is the common denominator in any bilateral. Etihad has bought shares in airlines in Seychelles, Ireland, Germany e.t.c and partnering with carriers in countries like South-Africa, Kenya India e.t.c, but in Nigeria they all want to operate to different cities unhindered.
The United States the proponents of the open skies have pressured weaker countries to join the train despite their weakness to compete but have cautiously refused to sign the same agreement with China because the American aviation unions resisted based on perceived job losses.
Emirates demand for extra frequencies into Canada and Germany was halted due to the pressure from Air Canada and Lufthansa respectively. It’s the same Lufthansa that operates into Lagos, combines Abuja and PH flight into the country and were recently granted fifth freedom into Accra, yet refused to pay royalties under the ridiculous tag of helping our aviation industry.
Delta Airlines has taken a government owned bank EX-IM bank, of USA to court for financial incentives given to Emirates and other foreign carriers. These incentives are meant to encourage the purchase of Boeing aircrafts.
These actions are geared towards protection and development of home grown carriers not using archaic options of bailout or formation of national carrier.
Least I forget can our policy makers go through the recently signed enhanced BASA between Singapore and India or between France, Mali and Burkina-faso, the rudiments of reciprocity and commercial partnership were clearly stated.
It’s what we sow that we will reap, cheap blackmail and executive capitulation without recourse to the rudiments stated above is two steps forward and eight steps backward. The GDP projections are meant for the foreign airlines operations based on our policies and we should not forget that these funds will be repatriated to their respective countries and not kept in Nigeria. We must tweak our policies urgently to attract investors and franchise partners.
AERO: THE NEEDLESS STRIKE
In an article,i wrote about a year ago titled "Aero Unending Counter Chaos",i asked the management to dig deep in finding solutions to the recurring counter problems and to spin off a low cost carrier, that will facilitate cost reduction initiatives,nurture its budding online clients and improve its online facilities in other to improve services,expenses and counter clogging.
Surprisingly, up till this moment management,staff and unions have not been able to weave amicable solutions to the present crisis which emanated from a mandatory cost cutting strategies needed to stabilise the airline.
One or two of them are either ignorant of the crippling liabilities of the airline or sarcastically unperturbed.it's no secret that the bailout fund could not help and an organisation saddled with the responsibility of sucking toxic debt has stepped in to help the airline creditors.
The strike has punctured the life raft of the airline and has quickened the provision of a life support machine.Aero staff should have learnt from there colleagues in Air Nigeria who went on a similar strike and ended up being consumed. The dialogue option would have been stretched,while the unions complement it with coordinated blackmail and clinical subterfuge,which is a better option for a troubled organisation.
The strike option chosen by Aero staff was hasty and counterproductive; it is a grave error and a concurrent misstep by airline staff in nigeria,which has contributed to the demise of airlines in the country while also increasing the unemployment market.
If Aero will ever return to the skies, it will be as a leaner organisation with some stringent cost cutting measures that would have been difficult to embark upon before the strike.i appeal to the management to reconsider the sack letters while the workers should brace for the hard truth,which is sequestration.
The only commendation for the management and staff is their ability to sustain the unblemish safety record of the airline over the years till the present day. Sadly, both parties forgot the passengers by abandoning them at the airports without any explanation and continued to sell tickets online,yet the management remembered the importance of getting a court injunction to stop the strike while the staff were equally mobilising and strategising for the strike without considering the customer that pay the wages.
This reckless and insensitive posture of both parties has led to a group of passengers seeking damages worth millions of naira in court. Its a shot in the arm,we must realise that "we no go gree" is industrial dispute. While"sorry we will not be operating and will endevour to put you on other flights or make a refund" is a divine message of care.
Tuesday, February 26, 2013
NAAPE's Macabre Dance
Finally NAAPE came out of the trenches after shadow boxing all these while through the legislative arm of government, the response has been quick from the graduate engineers, through their professional body while stains and stones have filtered to other unions and professionals that have made comments in support or against any of the warring group.
I sincerely hope this age long rift will simmer and all parties will see reasons why they must work together and kick start a seamless safety relationship. We must be careful of what we say, publish and do with respect to safety, or the option will be to kiss CAT 1 status goodbye and start a rigorous process of recertifying.
Ghana lost the FAA Category 1 in 2005 and Indonesia sometime in 2007 lost the CAT 1 status and are still struggling to retain it, despite improved efforts and investment.
Back in January 2008, the United States Federal Aviation Administration (FAA), after undertaking an International Aviation Safety Assessment on the Philippines, downgraded the country’s rating to Category 2 from Category 1. The US Embassy subsequently issued a warning to US citizens in the Philippines “to refrain from using Philippine-based carriers due to ‘serious concerns’ about the alleged mishandling of the aviation industry,” in effect blacklisting Philippine air carrier the European Union, following the FAA’s lead, also blacklisted the Philippines and banned Philippine carriers from flying to Europe. Other countries such as Korea and Japan have also used the ICAO, FAA and EU findings as basis for not allowing Philippine carriers to expand services into their respective territories, beyond existing traffic rights previously granted. Till date the Philippines is still a CAT 2 country
Also in 2008 the US reflected concerns about Israel's oversight of private aviation, rather than about its commercial carriers or security matters, despite his closeness to the US, Israel lost its CAT 1 status. They were frozen out for four years and only returned to the elite club two months ago.
Australia almost lost the CAT 1 status too, due to what was described as parliamentary under privileges with the senate by the state owned investigating agency. It had to lobby using all contacts to avert it.
Our greatest challenge is non-adherence to airline reciprocity by our carriers and their inability to attract commercial partnership which has hindered the provision of millions of potential new jobs to aviation and other sectors, while at the same time not attracting foreign direct investment, rather frequency and gauge are being increased by foreign carriers.
We cannot afford to include safety and it is erroneous and presumptuous to use the DANA accident as a barometer to rundown our safety achievements when investigations is on going.
Tuesday, February 5, 2013
The Senate Resolutions: Good, Bad & Ugly
The National Assembly recently passed some resolutions with respect to events in the industry; in unison we can applaud some of them while the others are either bad or ugly.
The directive to the Central Bank to recover funds given to Air Nigeria is commendable, with four aircraft parked in the cold in Hampshire, England awaiting the lessors’ decision and another parked close to the GAT graveyard without engines. It is clear that Air Nigeria has turned round the turnaround expert. This is a sad story, since this airline was flying without an investor or intervention fund sometime ago in this country and it was managed by a Nigerian. We are all to blame for its demise starting from the staff, unions, AON, UBA, Govt e.t.c. The funds in question are not missing - United Bank of Africa, must be made to pay to the last kobo, they fronted, guaranteed and had a financial adviser stationed with the airline.
The directive of giving full disclosure of all investigative report of past air accidents is a soothing balm to the industry and nation in general. It will uphold and safeguard the safety initiatives. It will also expose some pretenders who keep parading the corridors of power for one favour or the other, and in their hallucinating state think we have forgotten about the past.
The directive to compel NCAA to ensure all airlines involved in accidents settle all outstanding insurance obligations and ensure that all airlines have adequate insurance cover as required by the regulations is also a good one. They should go further and ensure that owners or managers of such airlines do not return to the industry in another name or designation without offsetting their liabilities.
The directive on returning the Air Field Lighting System to FAAN is also commendable. I agree that the air traffic controllers have a better view of the runway and will obviously be in a better position to determine the intensity of the lighting system. The Ministry did not follow due process in transferring the department; these agencies are governed by an act, which should be amended, not by ministerial fiat.
On the MD 83’s they are still flying without issues round the world, I stated sometime after the crash that Air Burkina & Air Mali are using those aircrafts to ferry Air France passengers to points beyond Ouagadougou and Bamako, while our airlines with brand new aircrafts are overlooked for such commercial agreements. The same aircraft has been picking Nigerian troops from Abuja and other African troops or officials under the auspices of the United Nations, will the UN use an unsafe aircraft with its LOGO emblazoned on it?
The directive setting passenger aircraft age limit at 15 years and cargo at 20 years is not a panacea to air crashes; rather it will drive some carriers out of the market, increase unemployment and fares. Is it the airframe or the engine that must have this age limit? What happens if the airframe is 16 years and the engines are 3years? Please let us leave the status quo and allow the regulators do their job, in line with air worthiness directives from reputable international agencies.
The directive asking the government to revoke the licence of DANA Airlines is a bad one; the airline has just been recertified by NCAA and some other airlines are going through that process. If the Legislature views the certification of DANA despite having an international AMO as partner is faulty and the NCAA cannot be trusted, it means all other AOCs issued by the NCAA should be revoked with immediate effect; anything short of this is RACISM. I just pray their country of descent will not target Nigerian investors too. The priority should be payment of compensation to all.
The directive demanding for the removal of the DG and the dismissal of the Engineer saddled with the inspection of the ill fated DANA aircraft is distasteful, hasty and ugly. Rather, a speedy investigation and conclusion of the accident report should be our priority; at that point there will be no place to hide for every one anymore.
What is playing out right now is the age long rivalry between the academically qualified engineers and those that rose through the ranks, which has metamorphosed into type qualified and type rated. We have gotten to the stage where industry experts and consultants that supplied the Legislature with information should come out boldly and defend their reports, information and allegations individually or collectively rather than hide under the ambit of the hallowed chambers.
I do not believe the demand of the Senate is based on tribal sentiments as espoused in some quarters rather it is based on some information that look mischievous emanating from the cocktail of submissions made before, during and after the public hearing. The DG should not be tagged with incompetence based on his record so far, he should rather be decorated with national honours for elevating the regulatory institution rather than being hounded disrespectfully. Let the senate hang proven corruption charges and breach of contract on him, the tide will change ferociously.
ROSAVIATSIA, the Russian equivalent of NCAA was almost pushed last year by their parliament, the DUMA to revoke the licences of some airlines due to air mishaps. The Agency resisted and conducted their investigations. Red Wings Airline only last week lost its AOC in that process. The Russian regulator said they are losing the licence, not because of the air crash they had on the 29th of December 2012, but due to the numerous significant violations found during recertification. Also, the airline lacked financial resources to provide ongoing operations consistent with appropriate level of safety. This is processes and procedure without interference but requisite oversight responsibility by all parties.
We are scaring investors. We need to stop the bickering and attract them by capitalising on our CAT 1 status.
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