General News

19 Nigerian airports not viable – FAAN

The Managing Director of the Federal Airports Authority of Nigeria, Olubunmi Kuku, has said that solely three of the 22 airports beneath his administration are worthwhile and contribute considerably to the expansion of the aviation sector.

Kuku, who was a visitor on Channels TV’s morning present on Tuesday, stated 19 airports within the nation beneath FAAN are being subsidised as a result of they don’t generate sufficient passenger site visitors to cowl operational prices.

She additional stated that many of the 22 airports managed by FAAN require upkeep and upgrades of crucial infrastructure reminiscent of terminal areas, landside and airside.

The revelation by the FAAN CEO is according to The RexGists findings that solely 4 of the over 30 airports within the nation are economically viable and have contributed N5.57 trillion to international commerce in 51 months.

The 4 airports, together with Nnamdi Azikiwe Worldwide Airport, Muritala Mohammed Airport, Kano and Port Harcourt, contributed a complete of N529.68 billion in exports and N5.05 trillion in imports between January 2020 and March 2024.

These statistics present that the majority airports are usually not economically viable to assist international commerce regardless of plans by a number of state governments to begin constructing airports to supposedly entice commerce.

Within the interview, the FAAN director indicated that the authority plans to supply cross-subsidies to sure new airports beneath growth.

“I began by saying now we have 22 airports that we personal and function,” Kuku stated.

“We even have about six or seven airports which can be owned by state governments or personal people or entities, which we additionally assist with aviation safety or hearth and rescue providers. Now we have a number of states within the North and within the South-West which can be organising new airports. I’d say that primarily based on right now’s statistics, solely three out of the 22 airports are literally worthwhile and largely contributing to the survival of the airport companies that we run.

“I’d additionally prefer to say that right now we’re cross-subsidising the opposite 19 airports, and generally we’ll substitute or cross-subsidise among the airports which can be additionally collaborating,” she added.

Kuku famous that FAAN allocates 50 % of its income to the federal authorities, which poses a major problem. She added that the authority was in talks with numerous arms of presidency to discover attainable emergency measures.

In keeping with the FAAN boss, passenger site visitors is extra intently linked to gross home product development and financial actions than to the development of latest airports.

Kuku harassed the significance of prioritising actions reminiscent of commerce, manufacturing and tourism to spice up airport site visitors.

“Slightly than constructing new airports, we should always take a look at the underside of the worth chain to find out which actions can generate site visitors to those airports,” Kuku stated.

She additionally indicated that FAAN is working intently with worldwide organizations such because the Worldwide Air Transport Affiliation and the Federal Ministry of Aviation to reinforce the growth of home and worldwide routes.

Kuku additionally famous that there are initiatives underway aimed toward growing Nigeria and remodeling particular airports within the nation into transit hubs.

“Meaning we will construct a community of airports so we will transfer our flights to different states or different places and begin utilizing our airports,” she stated.

The FAAN Director additionally indicated that nearly 4 million passengers at present journey internationally from Nigeria. He harassed the crucial significance of environment friendly use of infrastructure to keep up and maintain the amenities.

Checks by one among our correspondents on the contribution of state airports to international commerce confirmed that these airports carried out poorly in comparison with different technique of transport.

Based mostly on the Overseas Commerce Statistics report launched by the Nationwide Bureau of Statistics between January 2020 and March 2024, the sector supported import and export commerce value N5.57 trillion in 51 months

Nonetheless, that is 3,000 % or N167.83 trillion lower than the N173.4 trillion contributed by Apapa Port throughout the identical interval.

Additional evaluation revealed that items value Naira 331.82 billion had been exported, Naira 197.86 billion had been re-exported and Naira 5.04 trillion had been imported by means of the airports.

Murtala Mohammed Airport in Lagos State recorded the very best quantity at N2.59 trillion, adopted by Nnamdi Azikwe Airport in Abuja with a complete buying and selling worth of N740.75 billion.

Mallam Aminu Kano Worldwide Airport and Port Harcourt Worldwide Airport obtained N743 billion and N112.38 billion respectively.

Non-viable airports embrace Asaba Airport, Akwa Ibom Airport, Uyo, Bayelsa Worldwide Airport, MKO Abiola Worldwide Airport, Osun (not but accomplished), Ekiti Cargo Airport, Anambra Cargo Airport, Umuleri, Abia Airport, Wachakal Airport, Damaturu and Dutse Worldwide Airport.

Different airports embrace: Lafia Airport (not but accomplished), Kebbi Airport, Auchi Airport, Edo State (not but accomplished), Zamfara Airport, Nasarawa Airport and Gombe Airport, and Enugu, Kano, Kaduna, Benin, Owerri, Jos, Sokoto, Maiduguri, Yola, Bauchi, Akure, Ibadan, Ilorin, Calabar, Minna and Katsina.

Do you need to remove anything from this post or take it down due to copyright? please use the contact us page to get in touch with us

Related Articles

Leave a Reply

Your email address will not be published. Required fields are marked *

Back to top button