The Nigeria Civil Aviation Authority (NCAA) has begun formal consultations with the Airline Operators of Nigeria (AON) on the introduction of Advance Payment Guarantees (APGs) to strengthen enforcement of the statutory five per cent Ticket Sales Charge (TSC) remittance by airlines.
The high-level engagement, held on Monday, February 2, 2026, at the Authority’s headquarters in Abuja, followed a request by AON for clarification on the requirement for operators to provide bank-backed guarantees. The move forms part of the NCAA’s renewed drive to safeguard funds collected from passengers on behalf of Nigeria’s aviation system.
Speaking at the meeting, the Director-General of Civil Aviation (DGCA), Captain Chris Najomo, said the NCAA’s mandate to collect the five per cent TSC is backed by the Civil Aviation Act (CAA) 2022 (as amended). He explained that the charge is paid by passengers and held in trust by airlines before being remitted to the Authority for equitable distribution to aviation agencies responsible for safety, security and regulatory oversight.
Najomo expressed concern over persistent delays by some operators in remitting the charges, noting that such lapses weaken the financial base required for effective regulation of the sector.
According to him, the proposed APG framework is not designed to stifle airline operations, but to strengthen compliance, improve remittance timelines and guarantee predictable funding for the NCAA to carry out its statutory responsibilities.
After extensive deliberations with airline representatives, the DGCA approved a 90-day deferment of the APG requirement. The grace period is intended to give operators time to regularise outstanding remittances and align with the new compliance structure.
He urged airlines to take advantage of the window to settle their obligations, reiterating the Authority’s commitment to industry stability and ease of doing business, without compromising its legal mandate to protect public funds and regulate the sector effectively.
Responding on behalf of the AON, the Chief Executive Officer of Overland Airways, Captain Edward Boyo, commended the NCAA for the open and constructive dialogue. He assured that all Air Operator Certificate (AOC) holders would utilise the deferment period to meet their financial obligations and achieve full compliance with the remittance requirements.
The meeting was attended by senior NCAA officials, including the Director of Operations, Licensing and Training Standards, Captain Donald Spiff; Director of Air Transport Regulation, Mrs. Olayinka Babaoye-Iriobe; Director of Finance and Accounts, Mr. Olufemi Odukoya; and the Director of Legal Services and Company Secretary, Barrister Mary Tufano-Eche.