NUATE Demands Review of 50% TSA Deduction on Aviation Revenue

The National Union of Air Transport Employees (NUATE), led by President Ben Nnabu, is advocating for a review of the federal government's policy requiring aviation agencies to remit 50% of their Internally Generated Revenue (IGR) to the Treasury Single Account (TSA). Nnabu explained that this policy restricts funds available for airport development and operations, making it challenging to maintain infrastructure and compete internationally.

He highlighted the negative impact on four major aviation agencies: the Federal Airports Authority of Nigeria (FAAN), the Nigerian Civil Aviation Authority (NCAA), the Nigerian Airspace Management Agency (NAMA), and the Nigerian College of Aviation Technology (NCAT). The union argues that retaining revenue is essential for accelerating growth and modernizing Nigeria's airports.

Nnabu also discussed the importance of improving worker welfare and noted ongoing issues with airline operations. The call for review comes in light of a circular from the Federal Ministry of Finance dated December 28, 2023, which directs compliance with fiscal responsibility laws.