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Critical infrastructure: The revolution in aviation

Why are the Chinese setting up a regional carrier in Ghana?” The answer is simple, lack of infrastructure. The competitiveness of the aviation industry is…

Why are the Chinese setting up a regional carrier in Ghana?”

The answer is simple, lack of infrastructure.

The competitiveness of the aviation industry is inextricably linked to the quality and quantity of the infrastructure available to it. There exists an inseparable link between the state of the aviation infrastructure and its attraction to investors. Hence, no modern economic growth model designed for implementation would be worth its salt if basic and necessary infrastructures is not in place.

It is common knowledge that most of the Nigerian Airports and Terminals were built in the 70s, have outlived their usefulness and are completely decayed. Airport Users attest to the fact that our infrastructure was a disgrace and embarrassment to our National pride and standing in the comity of Nations. It sent the wrong signals and scared investors away.

It has been estimated that the country will need to invest about $100 billion over the next ten years in just four basic infrastructural areas; power, rail-track, road, and aviation. According to the CBN, N300 billion will be required to bring the aviation sector to right standard.

If Nigeria’s dream and aspirations to be among the 20 leading economics of the world by 2020 is anything to go by, the issue of infrastructural development must be taken more seriously.

Sanusi Lamido Sanusi, governor of the Central Bank of Nigeria (CBN), explicitly buttressed this fact when he categorically stated that the current level of infrastructural deficit in the country is perhaps the major constraint towards achieving that national vision 20; 2020. The World Bank’s investment climate survey report also emphasises the fact that infrastructural problem was ranked far worse than the problem of access to finance.

Worried by the scale of infrastructure deficit at the nation’s airports, the current Aviation Minister, Stella Oduah, initiated the rejuvenation of 11 airports across the country, in the first phase.

Ironically, this has generated needless controversy. It is to be noted that the “regular “ contractors in the industry responsible for the over thirty (30) years of decay in the infrastructure are very upset that the Minister did not award these projects to them and thus embarked on campaign of calumny, threats and blackmails.

It is however gratifying that all the criticisms have been proved wrong.

It should be noted also that no one has complained about the quality of work at the airports, no one is unhappy that for the first time the projects are not concentrated in Lagos but spread to Yola, Port Harcourt, Owerri, Benin and other cities.

According to sources at the aviation infrastructure, the entire BASA fund stands at $74million dollars. Out of this, former Aviation Minister, Mrs Fedelia Akuabuta Njeze sought and obtained approval from the Presidency and the National Assembly for the utilization of$60million (about N7.5 billion) from the fund for the rehabilitation of infrastructure at the nation’s airports in line with the Civil Aviation Act 2006. It must however be noted that this sum could not be accessed before the end of her stewardship.

The new Aviation Minister initiated fresh processes to access the already approved $60 miilion from the BASA fund to form part of resources required for the project.  All relevant approvals from the Presidency and the National Assembly were obtained to access and utilize the funds to address the huge infrastructure challenge in the sector.

Perhaps what “offends” many critics of these projects is the fact that within (2) two months of her appointment, serious visible work was on going in all the major airports in the country and added to that, the experience were executed by young Nigerians who had no god-fathers, but enough expertise and projects to jump start a multi-billion naira project without upfront payments.

The strategic importance of infrastructural investment and development cannot be overemphasized, as it constitutes the bedrock and catalyst for sustained economic growth and development. It creates the enabling environment to stimulate business and industrial activities, thereby enhancing productivity, reduced operational costs, job creation, income generation, wealth creation, poverty reduction, new ventures and business opportunities.

Datti was Commissioner for Information in Plateau State

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