Sunday, August 07, 2011

Nigeria: ‘Aviation Infrastructure Are Outdated’

Moyosola Niran Oladunni is the chief executive officer of Integrated Intelligence Imaging (I-Cube) West Africa, a concessionaire of the Federal Airports Authority of Nigeria (FAAN) and operator of the toll plaza on the Murtala Muhammed International Airport Road. In this interview with IME AKPAN, he talks about the expansion of the toll gate, nature of the concession agreement, as well as the challenges encountered during collection of access fees.

What is responsible for the delay in the expansion of the toll plaza?

Work is on-going, but we have to hold on a bit, because of the rains, and we hope that as soon as the rains cease the contractors will be at the site. It is a project that we are determined to see to its conclusion and I hope there will not be any hindrance to its successful completion.

. . . and the scope of the project?

Currently, what we have is a six-toll point, comprising three entry and three exit points. We have plans to expand to five toll points on each side of the road. So, we are bringing in reversible switch-in motors that will allow us switch lanes during the peak period on whichever side the traffic is flowing. We are also in partnership with the best traffic transport system manufacturer in the world, International Road Dynamics, Canada. It is a renowned firm committed to giving us the best of what we want.

Have you got clearance from the Federal Airports Authority of Nigeria (FAAN) to do the expansion?

We do not envisage any problem from the FAAN; it is a value-added project which will promote the transformation agenda of the federal government. We do not see the FAAN opposing such a lofty project. We want to believe that, at the moment, the weather may be the reason why most of the underground installations that should be removed are still there and we know that with the zeal of the new minister things will move faster. We are confident about that.

How much would the expansion project cost and is this cost built into the existing contract?

The expansion costs not less than a N1bn and it is not a part of the existing contract. We are also working to ensure that our interest is protected and to see that every party to the agreement is transparently and fairly rewarded for its role in ensuring that such a transformative project takes place within the airport environment. Like I said, it was not captured in the existing contract, but we are talking to the authorities and we know that because they are reasonable, reason will prevail, so that we can ensure that our costs and efforts are adequately compensated without having to take advantage of either party. We are still discussing with the authorities and we are sure that reason and fairness will prevail.

If you spend about N1bn to expand the toll plaza, how long will it take you to recoup your investment?

That is a function of so many things, one of which improved traffic and a host of other things within the airport environment. From our business environment, we expect to recoup our investment in about 15 years, based on the present terms of agreement and what we are remitting to the FAAN.

How much are you remitting to the agency?

That is in the public domain. From the time we took over the management of the toll plaza, we have remitted over a N1bn to FAAN. By the terms of our contract, we remit an average of N40m a month.

Concession in the aviation industry is bedevilled by problems. What are those things that need to be done right?

I do not know the hitches you are referring to. My own concession has not had any hitch; we enjoy a very good relationship. Therefore, I cannot talk about the contract of a concessionaire that I was not a part of. I do not know the origin of these hitches. However, I know that as businessmen, we must do all in our power to be fair and sincere in our dealings. The greatest challenge that most businessmen have in this country is the problem of sincerity of purpose, either on the part of the businessman or on the part of the other party. We need a system that will open up the true position of things so that people may not be moved by the things they read on the pages of newspapers, which are contradictory most of the time. I can only comment on my own concession agreement. Thus, I’m bold to say that we have a very good understanding and relationship with our partners.

I think the aviation industry in Nigeria is developing. Within the past four or five years, we have not experienced any crash and that, I think, is a good development. We can only hope that things will get better. As regards infrastructure in the aviation industry, they are outdated.I want to believe that the present administration will ensure that they are upgraded.

As a concessionaire, what challenges are you facing?

One of the challenges is that we run a manual operation. Again, Nigerians, being what they are, always try to capitalise on an inefficient system. I can also say that Nigerians are one of the most law-abiding groups of people in the world. When things are set straight, Nigerians will abide by them. The fact that we run a manual operation, make them tend to put up different attitudes. We have people with a lot of ego, those who believe that they are above the law and others who want to win your sympathy. Different people who we interact with at the access gate. If you want to see Nigeria as a whole, you just come stay at the access gate for a day. You will see all types of people with all shades of character and then begin to appreciate what the government of this country is going through to chart a general course. One of the challenges is that we run a manual operation and I’m so optimistic that by the time the place is fully automated most of these challenges will fade away.

How do you cope with stubborn motorists?

For now, we have to employ a lot of strategies; we need to apply courtesy when it is necessary and discretion in so many instances. There is no one-way approach to tackle the issue, because different people show up on a daily basis. We are happy that we have not had any casualty at the access gate. We can only hope for rest when the place is fully automated.

What categories of persons are exempted from paying access fees?

We are working on the terms of the contract we signed with the authority and on our own part, we abide strictly by the letters of the agreement and try as much as possible not to run foul of the agreement. According to the agreement, there are those who should be exempted from paying toll fees, though at times we use discretion and relationship management strategy to ensure that we protect the interest of stakeholders within the industry.
 
By the terms of the agreement, official vehicles of military and para-military agencies, aviation and related agencies’ officials and the ministry, ambulances, as well as people on essential duties are exempted.

How do you handle security personnel who just wave their identity cards to avoid paying the fee?

That is where discretion comes into play. Within the security agencies in this country, we have intelligent and reasonable people. We have been addressing most of these cases. It is all about discretion. That is why we, the senior staff, are here from morning till night, to intervene when there are issues that are beyond the control of the toll collector.

The Lagos State government is opening up roads in the neighbourhood. Don’t you think this will have an adverse effect on the number of vehicles passing through the toll plaza and consequently your revenue base?

I think it is going to enhance a free flow of traffic which is good for the traveller. The primary aim of the access gate is to ensure that travellers connect flights between the domestic and international wings of the airport and have free, smooth connection. That said, the revenue consideration is not primary. Once we have more routes diverting people who, ordinarily, have no business within the airport, it will only enhance free-flow of traffic, which is good. As regards profit, once the toll plaza is automated, there empirical facts and statistics for the authorities to see the traffic flow within the environment and we can go back if there is a short fall in the revenue, since there are some things we can always defend. We will go back to the authorities, present our statistics and facts and we know they are reasonable people and they will listen to us. That done, we re-negotiate. We cannot discourage the government from opening up roads in the neighbourhoods,because of revenue. We will not.

How many vehicles use the access gate on a daily basis?

Between 27, 000 and 32, 0000.

Who is Moyosola Niran-Oladunni?

I am a native of Ondo State, the fifth of six children. I am a graduate of philosophy and an alumnus of the Lagos Business School. I am married with four children.

What were you doing before you became a toll collector?

I started my working life as a banker, but later moved to the information technology world, electronic banking to be particular. That was where the inspiration to go into security and surveillance, as well as intelligence transport system. I left where I worked in 2007 and set up Integrated, Intelligence, Imaging (I-Cube) West Africa after signing a contract with a business partner in South Africa. Today, this is the fourth contract we have had since we set up the company.

How do you relax?

It is something that I always create time for. I attend social events and unwind with friends.

What is your guiding philosophy?

Whatever you want to do, whoever you relate with, do so with fairness and sincerity of purpose.

What lessons have you learnt in life?

Never underrate anybody on your way up, for whenever you are coming down you may meet that person.

If you had another chance, what would you like to do?

I would like to be a lawyer.

Source:  http://leadership.ng

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