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Experts doubt December date for new national carrier

Published by Guardian on Tue, 09 Oct 2012


THE absence of administrative and legal framework may stall plans by the Federal Government to float a national carrier before the end of this year.The Bureau of Public Enterprises (BPE) has also expressed the pessimism about the birth of the airline as it said nothing before it for now to suggest the quick take off of the aviation firm.A top official of the agency, Chukwuma Nwoko said, 'It is purely a Ministry of aviation affair. We are not in the know of such plans but I want to believe that the Ministry is carrying out its plans'.Not a few believe that Nigeria would be taking a cue from one of Africa's successful airline, Kenya Airways which was at that time at the verge of death before the Kenyan government decided to privatize it and by choosing Europe's mega carrier as its technical partner.The privatisation of Kenya Airways was the first-ever privatization of an African airline. The sale of a major state-owned asset is usually a highly charged political event, and the two-year process by which 77 per cent of the shares of the carrier were sold to a broad array of private investors was no exception.Already, the Minister of Aviation, Stella Oduah-Ogiewonyi had put in place the machinery for the take off of the airline, but she was still awaiting the approval of President Goodluck Jonathan.Spokesman for the Minister, Joe Obi had last week said, 'government will not play any role in its (the national carrier's) ownership and control; it will be owned by Nigerians through IPO, although the template of that is still being worked on.'Obi alsosaid: 'We have completed the framework of the character of the proposed national carrier; the legal framework is also being worked out. The framework will take care of ownership structure, funding and other issues. We are waiting for approval from the Presidency. Once approval is given, we will unveil the framework. Then people will know the criteria that airline must meet to be a national carrier. I am sure the legal framework will be finalised soon'.'Those who are interested in bidding will have opportunity to study the guidelines. Every airline, both old and new ones, will have opportunity to bid; we are not ruling out anyone. If you fulfill the criteria, you could be designated as a national carrier.'It is going to be fully private owned. The government is not putting a kobo into it. What government is doing is come up with a framework and create an enabling environment for the take off of the carrier that will be privately owned'.'Nobody is telling us whether they will buy aircraft or lease. Are they going to lease aircraft at exorbitant rate' On one hand, you are planning December, but there is nothing on ground to indicate that. If it is private sector driven, who are the institutional investors' Have you trained or recruited pilots' These are the things you need to put in place, a source said.Aviation and Travel expert, Olumide Ohunayo said the project was ill-conceived, adding that the initial platform for its arrival had been clandestine, shrouded with selfish motives.'Let us see what they have. Sincerely, a flag carrier should be more appropriate not a national carrier. That project is dead on arrival because you will need to shackle other domestic carriers for it to blossom. We should rather tweak our policies that are scarring investors away, then invest in other carriers rather than embarking on this risky and costly project'.Speaking on the advantages a national airline would bring to Nigeria, the Managing Director of IRS Airlines, Yemi Dada told The Guardian that the propose airline would adequately represent the interest of the nation.According to Dada, the idea would greatly help to reduce capital flight, occasioned by the massive patronage of foreign airlines, particularly British carriers by Nigerian travelers.His words, 'If the carrier is strong, it can help build domestic capacity, help in the training of pilots, engineers, and help as a feeder to other airlines, particularly the domestic airlines'.
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