Stakeholders say this implies that air fares would rise to reflect the new increase in charges.

Umar Ahmed Farouk, the Managing Director of NAMA, disclosed on Friday at the League of Airports and Aviation Correspondent (LAAC) seminar theme, “Aviation Survivability amidst a Challenging Macro-Economic Environment,” held in Lagos.

Recall that NAMA and the Nigerian Civil Aviation Authority (NCAA) in January held a strategic meeting with some airline operators under the aegis of Airline Operators of Nigeria (AON) to review what has been described as the outdated N16,000 Terminal Enroute Navigational Charges (TNS).

The meeting held in Abuja was called at the instance of the NCAA and NAMA to get the understanding of the airlines on the review of the rate which the airlines admitted needed to be reviewed.

The implication of the action which NAMA took to cushion its high cost of airspace surveillance and security could further lead to astronomical increases in domestic airfares and by extension fares on international routes.

He noted that the industry requires very efficient pricing of products and services, stressing that it is a critical lever for enhancing affordability, driving competition, supporting infrastructural development, promoting sustainability, and improving operational efficiency.

He however noted that the price for services must reflect the value of these services.

He said, “The Nigerian Airspace Management Agency relies on statutory fees for the management of the airspace (remember that aviation takes place only in the air). These funds are generated from services we provide to the flying community, without these funds NAMA can’t discharge its responsibility of ensuring the safety of our airspace effectively. We majorly generate these funds through the airline companies.”

Nigeria targets $500m from diaspora in August
Farouk further disclosed that for 2023, NAMA had an expenditure of about N21 billion in personnel costs alone, over N12 billion in capital costs and over N10 billion in overhead costs, adding that all these were to be (and were) funded from fees (no FGN budgetary allocation).

He said NAMA had been charging as low as N11,000 per flight when a one-way domestic ticket cost only N16,000.

He said while ticket prices today have gone up astronomically to as high as between N150,000 to N200,000 for a one-way economy ticket owing to the prevailing economic circumstances, NAMA navigational charges have remained the same since June 2008.

“Currently, our unit rate for international flights charged for service provision is about $70, domestic flights are charged 6,000 Naira. While NAMA recognizes the difficult economic environment aviation operates in Nigeria, it is equally a part of the ecosystem. It goes to the same market to procure equipment and other services like training. If NAMA is to survive and continue to guarantee safety and efficiency in the airspace, it must breathe.

“Even though most costs in the economy have increased by more than 1,000 percent, NAMA has proposed to increase its fees by 800%. The new rates for en-route and terminal navigation charges are to be reviewed from 2,000 and 6,000 Naira to N18,000 and N54,000 per flight. Also, the extension of hours of service is to be reviewed from N50,000 to N450,000 per extension to enable the agency to recover the cost of diesel and other logistics during the period of extension”.

“The largest percentage of NAMA’s revenue comes from en-route navigation charges (domestic and international flights) and terminal navigation charges (domestic and international flights). While international flights pay in US dollars, domestic flights pay in the Nigerian currency.”

The NAMA MD said as a service provider and under ICAO best practices, adding that NAMA does not make a profit.

He stressed that ICAO Doc 9082 recommends cost recovery for service provision to cater for the cost of equipment, personnel, training and other ancillary costs. This is what NAMA tries to do.

https://businessday.ng/aviation/article/airfares-to-rise-again-as-nama-to-increase-charges-by-800/#:~:text=The%20Nigerian%20Airspace%20Management%20Agency,800%20per%20cent%20increase%20per

Which sector has thiefnibuu not killed and buried in just 1 year?

So more citizens are to get exposed to rampaging kidnappers and bandits on the dilapidated roads.

And you expect no one to voice out or protest?

Well, maybe Nigerians will still endure.

Toh
Hmmm government wants Us all to Cry!!!

Nice one by APC .
Dem go force everyone use bad and insecured roads, then unleash their foot soldiers AkA bandits on innocent Nigerians

Tinubu go be satan second in command nothing you want tell me!!! The guy swear with his life that everybody must collect after he denied his root.
Pure yeye!!

This was when bateria took the oath to finish everyone

I support the increments of fare, this will help them pay the new minimum wage..

Toh

NaMe4:
So more citizens are to get exposed to rampaging kidnappers and bandits on the dilapidated roads.

And you expect no one to voice out or protest?

Well, maybe Nigerians will still endure.

They will still ensure oo

for 2023, NAMA had an expenditure of about N21 billion in personnel costs alone:

something is seriously wrong here. how many airports be dis ooo??
the politicians don put their relatives there too?

Some of us have accepted our fate. We won't be going anywhere by air for a very long time ..God have mercy ..🤔

Walahi Tinubu is the best president.Infact the cost should jump to 400k per flight.

At least all Emilokanist,Bulabalist,Jagabandist ,BATist and APC will be given a huge discount to fly at 10k.

These people that increase charges have special mission to wreck every sector of the economy and make lives so difficult for people

frog12:
for 2023, NAMA had an expenditure of about N21 billion in personnel costs alone:

something is seriously wrong here. how many airports be dis ooo??
the politicians don put their relatives there too?

Na wetin I talk before.
Most of the challenges this administration is facing are self-inflicted. Since the economy is experiencing difficulties, what stops this government from downsizing? Why don’t they carry out cost savings? Instead, they continue their spending spree.

Arostar2023:


Na wetin I talk before.
Most of the challenges this administration is facing are self-inflicted. Since the economy is experiencing difficulties, what stops this government from downsizing? Why don’t they carry out cost savings? Instead, they continue their spending spree.

They're advising prudence for the masses meanwhile unwilling to compromise their exorbitant lifestyle standards and looting habits.

Tinubu is causing more problems for our already fragile economy.
Tinubu should stop making life more difficult for we Nigerians.

Yet more increment in price of services and goods,,,will this ever abate?

It's very good.

The rate at which everything is getting increasingly high in this country I just wonder what condition we will be by December..

madridguy:
Tinubu is causing more problems for our already fragile economy.
Tinubu should stop making life more difficult for we Nigerians.

I don't know why this government is seriously insensitive. Is government all about inflation and increment of tax thereby making life unbearable for it's citizens? This is just too bad for the nation.

Lol... And yet its a family matter?

This is serious faaaa. Abi e o rinkan bayi. Ka gani ko?

Urrchins will avoid this thread. Tinubu has really killed every sector. He will never die a good death, by Gods Grace.

Greedy and wicked people have grabbed power. They don't care if you die or can't survive, not their business. As long as they can live the flashy lifestyle they want.

madridguy:
Tinubu is causing more problems for our already fragile economy.
Tinubu should stop making life more difficult for we Nigerians.

Liz Truss disastrous budget did not cause this much economic damage before her own party kicked her out as Prime minister of the UK in just 50 days on the seat.

But over here in Nigeria, the so called "billionaires and captains of industry" are keeping mute because they are profiting from the corrupt Nigerian system and have been doing so for ages. Their children no kuku dey live for Nigeria so if it descends into chaos, they will have escaped to join their families abroad on the private jets they bought with dubious funds and some of our politicians have Russian passports as that is where they stash some of the funds they loot from the Nigerian treasury.

And the so called mega pastors are deaf and dumb because apart from fleecing their gullible flock some of them are in receipt of stolen Nigerian property allocated to them illicitly by corrupt Nigerian civil servants and Govt officials and their own kids too reside abroad and these top pastors also have private jets with which to jet out of Nigeria when the anarchy starts.

Na wa ooo

You will not see our dead urchins comment here. Op you should have added Obi or Igbo in the topic. You will see them display their shameless self here asap.