NCAA orders local airlines to repay N45 billion debt or face license suspension
The Nigerian Civil Aviation Authority (NCAA) has ordered local Nigerian airlines to begin the repayment of debt to regulators within 30 days or risk having their licenses suspended.
This was disclosed in a meeting with local airline representatives on August 30, 2022.
According to The Guardian, NCAA Director-General, Musa Nuhu, revealed that Nigerian airlines were indebted to the NCAA, as well as the Federal Airports Authority of Nigeria (FAAN) and the Nigerian Airspace Management Agency (NAMA).
The total debt owed to regulators is more than N45 billion, the report added.
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The airlines’ debt obligations are as follows:
- NCAA – owed N19 billion and $7.8 million (N3.29 billion) on Ticket Sales Charges and Cargo Sales Charges (TSC/CSC).
- FAAN – owed N18 billion, on landing and parking charges.
- NAMA – owed N5 billion, on terminal and navigation charges.
Nuhu who warned that “aviation agencies may collapse very soon” if the outstanding debts are not settled said: “The airlines must enter an MoU on how they will pay their debts in the next 30 days from August 30th, 2022, or their license will be suspended at the expiration of the deadline,” Nuhu was quoted as saying in the Premium Times.
“This situation is crippling finances and pitching the Authority against the Federal Government as a government-owned revenue-generating agency, following the dire financial position of the Federal Government,” Nuhu added.
