Air Peace Chairman Warns on Aviation Revenue Deductions

On September 11, Allen Onyema, the Chairman of Air Peace, called on the Federal Government to cease the mandatory deduction of revenues from critical aviation agencies, stating that this policy undermines the infrastructure necessary for safe air travel in Nigeria. Speaking at the 30th Annual Conference of the League of Airport and Aviation Correspondents (LAAC) in Lagos, he criticized the statutory remittance of 25 to 50 percent of revenues from agencies like the Federal Airports Authority of Nigeria (FAAN) and the Nigeria Civil Aviation Authority (NCAA).

Onyema argued that these deductions deprive agencies of funds needed for aviation infrastructure and safety systems. He warned that the lack of adequate funding could worsen aviation infrastructure and increase operational burdens on airlines.

He cited a bird strike incident involving an Air Peace aircraft in Abuja, which incurred emergency repair costs of $1.85 million. Onyema emphasized that inadequate infrastructure leads to flight delays and cancellations, with airlines unfairly bearing the brunt of these issues.