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Airlines lose billions over election postponement

Published by The Nation on Mon, 18 Feb 2019


Domestic carriers were yesterday hard hit by the postponement of Presidential and National Assembly elections by the Independent Electoral Commission (INEC).Their inability to operate local trips resulted in the loss of several billions of naira that would have accrued to them as revenue from ticket sales.An aviation source said the airlines could have lost about N1 billion on Saturday.Scheduled domestic and regional flights were not operated from the Murtala Muhammed Airport on Saturday because of the election.The affected carriers are: Air Peace; Arik Air; Aerocontractors; Dana Air; Azman Air; Max Air; Overland Airways and Medview Airlines.Besides airlines that did not operate flights, concessionaires at the airport did not carry out any commercial activity forcing to lose revenue running into millions of naira.Spokesman for Air Peace, Chris Iwarah, said the airline had to make sacrifice of cancelling about 90 flights scheduled on Saturday due to the general election.He said: While we thought it right to make the sacrifice as part of our contribution to the development and stability of our dear nation. It is unfortunate that the sacrifice eventually amounted to nothing.Iwarah stated that this would not discourage them from making sacrifices and offering good services.The huge loss, according to the Managing Director of Aglow Aviation, Mr. Tayo Ojuri, will adversely impact on the aviation sector and by implication, affect the economy.Ojuri, who disclosed that it will be difficult to quantify the losses, but hinted that the loss could be over $250 million which he said, affected airlines, over 150 concessionaires, service providers, airport authority, car rentals and others.He stated that because of the postponement, all local and international flights were cancelled, especially those who operate day flights including VirginAtlantic Airways; Emirates Airlines; Ethiopian Airlines and Rwandair, among others.Ethiopian Airlines had three days ago stated in a statement that it would not operate to Nigeria because of the election. The cancellation was a huge loss to the carrier and airport.The airport has automatically lost over $10, 000 being the cumulative as Passenger Service Charge (PSC) on over 200 passengers at $50 on each passenger. The airline also operates into Abuja, Enugu and Kano.The airlines unaffected by the election were British Airways, Lufthansa, KLM and Air-France. They operate night flights.Ojuri said: You can now see how much money will be lost due to this cancellation, because ordinarily if not for election there will not be reason for that mass flights cancellation or rescheduled.But the Nigerian Airspace Management Agency (NAMA) has clarified that there was no disruption in the provision of air traffic services on Saturday.Its spokesman and General Manager, Public Affairs, Khalid Emele, assuring that the agency remains alive to its responsibility in keeping its mandate of providing uninterrupted safe, effective, efficient, and economic air navigation services in the country.He said the agency in line with the directive of the Minister of State for Aviatio), Hadi Sirika, ensured a 24-hour operation at airports on February 15 to facilitate the transportation of INEC materials nationwide.Emele said: In the same vein, NAMA wishes to reassure all airspace users and the general public that the Nigerian airspace shall remain open for all airspace users before, during and after the rescheduled 2019 general elections.Thus, the agency has put in place appropriate contingency measures to ensure safe flight operations within the period, as well as possible extension of operational hours of any domestic airport when the need arises.Therefore, airline operators, the travelling public and other service providers who are dependent on the agencys services, are hereby advised to go ahead with their businesses as usual.
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