Despite outcry from domestic operators and stakeholders, the Minister of Aviation and Aerospace Development, Festus Keyamo, has defended the newly-introduced helicopter landing levy in Nigeria, saying there was no going back on it.
He argued thaat the move aligns with international best practices and benefits the aviation industry.
The Nigerian government recently came under fire for coming up with the new policy mandating a $300 landing fee for helicopter operators as industry experts said the policy imposes an unreasonable financial burden on the operators, which would translate to a staggering 127% increase in operational costs and push the overall tax burden to a hefty 45%. Stakeholder said Nigerian airlines, operators, and service providers are currently facing difficulties and the unintended consequences of imposing high airport charges on struggling airlines can worsen the industry’s crisis.
But the head, press and public affairs at the ministry, Odutayo Oluseyi, said in a statement on Monday, that Keyamo, granted Naebi Dynamic Concepts Limited exclusive rights to collect the $300 levy and that it aligns with a Memorandum of Understanding (MoU) between the Nigerian Airspace Management Agency (NAMA), the Federal Airport Authority of Nigeria (FAAN), the Nigerian Civil Aviation Authority (NCAA) and NAEBI.
He insisted that the levy is a cost-recovery measure aimed at improving the quality of helicopter operations and that the government aims to utilise revenue from helicopter dominant lower airspace to enhance NAMA’s self-sustainability and support improvements in security, surveillance, and overall helicopter operations.
The statement read: “The ministry of aviation recognises the importance of helicopter operations in Nigeria’s aviation industry and is committed to implementing international best practices in helicopter operations through its agency – Nigeria Airspace Management Agency (NAMA). The introduction of helicopter landing levies, which is in line with international best practices to enhance the quality of helicopter operations is a cost recovery measure.
“Helicopter landing levies are commonplace in countries such as the United States, the United Kingdom, India, and various regions worldwide. For instance, Tallahassee International Airport in Florida began implementing helicopter landing levies under Vector Airport Systems since October 1, 2022. Helicopter landing levies are common across airfields in the United Kingdom, ranging from major commercial ones to small general aviation fields. Typically, helicopter levies match or exceed those for fixed-wing aircraft, varying based on factors like location and services provided.
“The federal government has granted NAEBI Dynamic Concepts Limited exclusive rights to collect helicopter landing levies in line with the MoU between NAEBI Concept and NAMA (focal agency), Federal Airport Authority of Nigeria (FAAN) and the Nigeria Civil Aviation Authority (NCAA). It is instructive to note that NAMA under the Act as amended in 2022 is empowered to collect aeronautical revenues in both the upper and lower airspace to support her self-sustainability.
However, over the years NAMA has predominantly relied on the upper airspace for her revenue generation. Government in her wisdom having discovered a lacuna on the lower airspace where helicopter operations is dominant directed NAMA to live up to her responsibilities to enable them generate enough resources to sustain their aeronautical architecture, enhance security and surveillance, and improve the overall quality of helicopter operations in Nigeria.
We are confident that this move will improve capacity, efficiency, safety, security, and attract more investment in the aviation industry. We encourage all stakeholders to be committed to this laudable initiative that has followed due processes and procedures and should embrace the new normal.”
