Concerned with the continuous rise of the cost of aviation fuel (Jet A1), stakeholders in the industry have called on the Federal Government to give priority to the local refining of this all important component.
The stakeholders were of the view that local refining of Jet A1 would stem the continuous rise of its price in the country.
They also urged the government to provide special funding to the aviation industry in order to address the issues of foreign exchange and other challenges facing organisations in the sector
Speaking at the recent 51st Annual General Meeting (AGM) and Conference organised by the Nigerian Air Traffic Controllers’ Association (NATCA) with the theme: ‘Energy Crisis and The Aviation Industry: A Quest for Sustainable Growth’ in Ibadan, Oyo State, the Chairman of the occasion, Professor Anthony Kila, lamented that the failure of the government to refine the Jet A1 product locally was negatively affecting the economy.
Kila insisted that the aviation industry should be seen as an essential infrastructure by the government.
He explained that apart from the telecommunications industry, aviation was the next to connect humans and cargo, maintaining that the government should not allow the energy crisis to stunt growth in the sector.
Kila emphasised that the more passengers that patronise the sector, the more revenues for the players in the industry and the country at large.
He added: “We should create an aviation sector that is able to create movement for commerce. The issue of energy crisis should not be allowed in the industry. If we want to make the aviation industry viable, we should look at commerce.
“The government can look at establishing a bank of aviation, which will attract other players into the sector, especially investors. Aviation leaders should come together and ensure aviation fuel is refined in the country.”
Kila also craved more recognition for ATCs in the country, saying they play critical roles in ensuring safety on the ground and in the air.
Also speaking, the immediate past Managing Director of the Nigerian Airspace Management Agency (NAMA), Captain Fola Akinkuotu, declared that as aviation fuel is continued to be imported into the country, its price and airfares would continue to skyrocket.
Akinkuotu lamented that barely three months ago, a one-way ticket in the business class to Abuja from Lagos was barely N50, 000, but said the airfare had risen to N150, 000 in the local market today.
He challenged airline operators to acquire modern equipment to address the challenge of ageing aircraft, hoping that the planned aircraft leasing company by the government would help to resolve the challenge.
The former managing director, however, said that adoption of modern technologies by government and other organisations in the industry would help to address some of the challenges presently bedeviling growth in the sector.
He added: ”There should be appropriate financial institutions where the airlines can borrow money at single digit interest rates to acquire modern aircraft. If the current challenges in the sector are not properly addressed, the issue of ageing aircraft would continue.
”Also, we will continue to pay more for flights. Three months ago, a business class ticket Lagos-Abuja was just N50, 000 and it rose to N75, 000, but today, it is N150, 000 for the same ticket. The government should address the challenges to save the sector.”
Earlier, the President of NATCA, Mr. Abayomi Agoro, regretted that the energy crisis in Nigeria had gotten worse in recent months.
He explained that with the challenge of insecurity and bad roads, the aviation industry needed effective and efficient handling by all.
Agoro further called for the confirmation of Engineer Matthew Pwajok, the Acting Managing Director of NAMA as the substantive helmsman in the agency.