- Say carrier may suffer fate of Virgin Nigeria
The move by the federal government to float a national carrier came under scrutiny yesterday as airline operators and aviation stakeholders queried the shareholding structure of the proposed Nigerian Air.
“We have not seen anything Nigerian in this Nigeria Air,” declared the spokesman of Airline Operators of Nigeria (AON), Prof. Obiora Okonkwo.
He spoke at the ongoing webinar on Nigeria Air: The Solution to Nigeria’s Aviation Problem, facilitated by Avaero Capital Partners.
The federal government has recently selected Ethiopian Airlines as the equity partner in the proposed Nigeria Air.
ET would hold 49 per cent stake while the federal government holds 5 per cent and the remaining 46 percent goes to Nigerian investors.
President Muhammadu Buhari two days ago said the national carrier would commence operation in December 2022.
Okonkwo, who is the Chairman of United Nigeria Airlines, questioned the genuineness and transparency of the whole process of establishing the national carrier.
He said the president was ill-advised on the feasibility of the national carrier, adding that the national carrier cannot survive with the proposed shareholding structure.
Okonkwo also declared that it is a shame and mundane to be talking about national carriers in the contemporary global economy.
He said what the industry needs is support for local operators and a stoppage to persistent demonisation of the domestic airlines by the people in government.
The Chief Executive Officer of TopBrass Airline, Capt. Roland Iyayi, warned that the same fate that befell the defunct Virgin Nigeria set up in partnership with Virgin Atlantic of the United Kingdom could befall the Nigeria Air.
He said it doesn’t make any strategic sense to enter into a partnership with Ethiopian Airlines.
He said it would zero value addition to the domestic market in Nigeria in addition to killing the domestic market, describing the partnership with ET as an encouragement of cabotage.
“Nigeria should have studied Ethiopian Airlines’ vision 2025 to dominate the African market. ET has partnerships in eight other African countries. This is part of their vision 2025,” he said.
The Nigeria Air, Iyayi reiterated, is not in the interest of Nigeria and the fact that ET would be calling the shots is an insult to Nigeria.
Also speaking, Chairman of Westlink Airlines, Capt. Ibrahim Mshelia, said while he is an advocate of a national carrier or a flag carrier, there is “a hidden interest” underlining the current move to set up the national carrier.
“In so far as there is a hidden interest and no transparency as we have seen, this project is going to suffer and it is going to add to our problems,” he said.
The airline operator decried the inability of Nigeria to reciprocate the various Bilateral Air Service Agreements (BASAs).
President of Aviation Roundtable, Dr Gbenga Olowo, said the insistence of the government to float the national carrier despite strong opposition from stakeholders showed every successive administration always wants to establish a national carrier.
“My biggest question is; will the airline be insulated from the myriad of problems on ground? What will be the fate of the existing airlines,” he asked.