Charges: Ground handling firms seek new pricing threshold

 

With charges in Nigeria rated as the lowest in Africa, ground handling companies in the aviation sector have called for the setting up of minimum safety threshold handling rates for the sub-sector.

The companies, under the aegis of the Aviation Ground Handling Association of Nigeria (AGHAN) said it is willing to work with the Nigerian Civil Aviation Authority (NCAA) and relevant stakeholders to actualize the new price regime. 

AGHAN President, Mr. Olaniyi Adigun explained that it was imperative for the industry regulator, NCAA to put necessary regulations and policies in place, which would usher in new handling rates for the sub-sector.

Reports showed that handling fees by ground handling companies in Nigeria remained the lowest on the continent and oscillated between $1,000 and $400 for narrow body aircraft, while a handling of a wide body aircraft goes as low as $3,000 for passenger flight.

Charges for the same aircraft in fellow West Africa countries of Guinea, Senegal, Cameroon, Sierra Leone and Ghana are higher than those charged in Nigeria.

A breakdown shows Guinea charges foreign airlines $1,673 (narrow body); $4,715 (wide body), while Senegal collects $2,250 and $5,259. For Cameroon, it goes for $1,400 and $4,500, Sierra Leone; $2,250 and $5,250 while films in pockets Ghana $1,500 and $4,150 for passenger flight.

Also, Cargo flight attracts $2,300, $1,750, $2,300, and $2,500 in Senegal, Cameroon, Sierra Leone, Ghana, respectively for narrow body aircraft, while for wide body aircraft, the ground handling in those countries charge between $4,450 and $5,250 per flight.

Adigun said ”Any rates below the established safety threshold ground handling rates has the tendency to jeopardise safety and security and loss of revenue to the Federal Government through the 5 per cent concessionary fees paid by the handling companies to the government.

“To achieve the aims enumerated above, it is our strong belief that if both the Federal Government (NCAA) and the various stakeholders come together to put necessary regulations and policies including setting up of a minimum safety threshold  handling rates in place, the ground handling sector will experience a rebirth.

“This will increase government revenue and create stability in terms of safety and security within the sector and the industry at large. This can effectively work out if the extant Nigerian Civil Aviation Regulation (NCAR) Act is amended to further empower the NCAA to properly regulate the industry like the Central Bank of Nigeria (CBN)”.