The deregulation of the aviation industry in Nigeria about
two decades ago saw a substantial increase in the number of private
airliners. But in recent years, the industry is in retreat. While
generally, harsh business environment has contributed to the death of
many airlines, we are worried that the situation has been aggravated in
recent years. It is even more worrisome that despite the multi-billion
naira Federal Government intervention in the sector, the situation seems
to have deteriorated. As such, there is this incongruity of massive
investment in exchange for greater woes in the aviation industry.
Recently, the Federal Government set up a multi-billion naira
lifeline to aid the ailing aviation sector, and the impression from
government officials was that the industry was headed for a rebound.
Despite this intervention, nearly all the private airlines have packed
up, leaving only about three (of the 18 that were granted licenses to
operate in the country in the last 10 years) in operation.
The result is a throwback to the pre-deregulation era when travelling
by air was such a tedious process, and also exploitative, as desperate
passengers were compelled to bribe touts to gain access to the limited
seats in the aircraft. With few airlines now running on major routes,
Nigerians are suffering and the matter is made worse by the inefficiency
of other means of transport.
Even more annoying is that many of the airlines which benefited from
the Federal Government’s intervention fund seem to have diverted the
money to other ventures. While the aviation ministry has accused some
airline owners of such diversion, it has not taken any concrete steps to
bring those involved to account. Intriguingly, many of those accused of
the diversions have also denied ever receiving the funds, without the
federal authorities shutting them up with provable facts of their
receipt of the money. Some that received the fund, still closed shop.
Part of the fallout is the unprecedented increase in the number of
private jets in the country. According to press reports, Nigeria is
presently competing with China as the biggest market destination for
private jets in the world. Indeed, a report in a national newspaper said
that in 2007, there were a total of 20 private jets in Nigeria, which
has now risen to 150. It also gave the average cost of a jet as 50
million dollars, which saw Nigerians spending about 225 million dollars
on private jets between March 2010 and March 2011.
The result is that the wealthy that could influence positive changes
in the industry have all migrated to owning private airlines, leaving
the rest of Nigerians at the mercy of the uncertainty and inefficiency
in the commercial airline sector.
The report also said that about 40,000 passengers daily suffer as a
result of the inefficiency in the sector. Many Nigerians rue the
decapitation of the Nigeria Airways, and the inability of the Federal
Government to healthily regulate the private sector that took over the
industry. Indeed, recently, one of the airlines that had issued tickets
to passengers, simply closed shop, leaving their passengers stranded;
without a word. A few of the airlines also died following their
involvement in air disasters.
While the defunct Nigeria Airways remains a sad commentary on how a
public corporation with high hopes can be ruined by indiscipline and
corruption, the private airlines appear not to have fared any better.
With road and railway transportation still a nightmare, Nigerian air
travellers may have to brace up for more hardship in the near future.
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