NIGERIA AVIATION SECTOR

NEWS:
By UCHE USIM

N18bn debt: Aviation unions picket Arik Air

Hundreds of passengers were stranded at various airports across the country yesterday as aviation unions picketed Arik Air over alleged N18 billion debt, forcing it to shut down its entire domestic operations.

The unions, comprising the Air Transport Services Senior Staff Association of Nigeria (ATSSSAN) and the National Union of Air Transport Employees (NUATE), took the carrier unawares when they stormed the General Aviation Terminal (GAT) office of the carrier as early as 7am, driving away staffers on duty.

Still not done, the rampaging union members stormed the check-in counters of the airline and drove away its workers and then sealed off the place.

With mouth agape, the travellers, who arrived to board their flights, were turned back.

Those who had checked-in, waiting to board their respective flights, were equally sent out of the terminal.

The angry passengers stormed the airline’s office at the GAT and its headquarters, demanding refund.

Most of them, who spoke with Daily Sun, lambasted the carrier for not paying for services rendered.

Briefing newsmen on their actions, the National President of ATSSSAN, Benjamin Okewu, said Arik Air had formed the ugly habit of accumulating debt and at the same time grandstanding.

“From the statistics available to us, Arik Air is owing FAAN over N7 billion, NAMA over N5 billion and they are also owing NCAA over N5 billion. Then there is also the component of dollars for all the three agencies; then we also have the handling agencies like SAHCOL N500 and something million, NAHCO N380 million and stuffs like that.

“We are not even talking about all the oil companies that are supplying Jet A1 but basically every attempt that we have made to get government to make them see reasons and help reduce these debts are falling on deaf ears and what we are doing today is not targeted at Arik alone but basically if you look at the debt profile of all the other airlines put together cannot even meet up to 20 per cent of what Arik is owing. “So why will you be disturbing other airlines who are at least servicing their debts? So all we have done is to set another date for them if after today, they don’t go and reduce their debt profile. So it is a strategy that we are putting in place to ensure that the aviation parastatals did not go down in the way of Nigeria Airways,” he said.

However, the management of FAAN had washed its hands off the actions of the unions. The spokesman of FAAN, Akin Olukunle in a statement said: “The management wishes to inform the public that it was not aware of any plan by the unions to embark on the said industrial action as the management considers it to be counter-productive to the current efforts being made by management to recover debts owed FAAN by Arik Airlines and other customers.

The management wishes to assure the public, particularly air passengers and all other airport users, that we are doing everything possible to address the issue that informed the industrial action by the unions without recourse to violence.” At a press conference in Lagos yesterday, the Managing Director of the airline, Chris Ndulue said: “Before now, there have been several attempts and threats to disrupt our operations and sell the usual impression that Arik is owing these agencies. After these attempts failed, today, they resorted to using some FAAN staff. We’re aware that some knowledgeable staff refused to join this illegal and unwarranted action. They locked the boarding gate and prevented passengers from getting to the aircraft and were making false announcement of unimaginable sums of money they claimed Arik owed. Obviously, from their records, no other airlines owe anything.

This is only a calculated attempt to punish the airline and tarnish its image. The amount FAAN claims Arik owes it is fictitious and baseless,” he explained. Ndulue further stated that from available records, the airline does not owe FAAN, even as he stated that the parastatal has been collecting its charges over the last 18 months when it introduced the pay-as-you-go regime. He said the airline had within the year, paid over N2bn to FAAN, stressing that 35 percent of total airline revenues in Nigeria are paid back to government agencies.

“We have an outstanding balance of N1.6 billion from the period FAAN/Aviation Ministry started pay-as-you-go (payment in advance). Other airlines also have various figures.” In January, the former Minister of Aviation directed that such outstanding be cleared within 30 months. We’ve been paying down on the amount instalments of N100 million per month and we’ll continue to do so’, he said.

While calling of the federal government to intervene on the debt/flight suspension saga, the Air Air boss said the airline will not resume domestic operations until the all issues are completely resolved. He said the airline will not accept any form undue harassment clothed in debt recovery drive.