By Juliet Ezeh
Fresh scrutiny is mounting over spending priorities and revenue management in Nigeria’s aviation sector, as industry leaders question whether new airport charges are being introduced to plug financial gaps rather than improve service delivery.
Stakeholders argue that before imposing additional levies on airlines, cargo operators and passengers, authorities must account for existing income streams and demonstrate clear cost justifications in line with global standards.
Grp. Capt. John Ojikutu (retd), former Commandant of the Murtala Muhammed International Airport, has called for a detailed audit of the Federal Airports Authority of Nigeria’s revenue performance across its 22 airports. He maintains that earnings from Passenger Service Charges, landing and parking fees, and other aeronautical services excluding income from concessions, toll gates and land rentals should already generate substantial annual revenue based on 2024 traffic volumes.
According to him, concerns about new charges cannot be separated from broader questions about expenditure management. He criticised what he described as disproportionate capital allocations, including N712 billion for the reconstruction of MMIA Terminal One and N535 billion for the second runway in Abuja, noting that earlier project estimates were significantly lower.
Beyond financial concerns, Ojikutu raised safety issues, referencing recommendations made by the International Civil Aviation Organization in its previous audit reports. He said unresolved matters such as the distinction between security fencing and perimeter fencing, as well as inconsistent background checks for airport personnel in restricted zones, remain critical vulnerabilities.
He advocated structural reforms that would separate commercial and regulatory functions within the system. Among his proposals are concessioning non-core services, transferring runway and navigational aid responsibilities to the Nigerian Airspace Management Agency, and restructuring FAAN to prevent overlaps with the Nigeria Civil Aviation Authority.
Similarly, Dr. Alex Nwuba, President of the Aircraft Owners and Pilots Association of Nigeria, argued that passenger and cargo-related charges embedded in ticket prices lack sufficient transparency. He questioned the cost basis for the N15 per kilogram cargo fee and emphasised that international best practice requires aviation charges to be directly tied to clearly defined services.
Under ICAO principles, he noted, fees without demonstrable cost-related justification may be viewed as revenue-raising mechanisms rather than legitimate service charges.
The concerns come as the Economic Community of West African States prepares to implement a regional resolution aimed at reducing non-cost-based aviation charges across member states beginning January 2026. Industry observers say Nigeria’s compliance with this directive will be closely watched.
Analysts warn that without transparency in revenue allocation and cost studies, rising aviation fees could weaken investor confidence and reduce the competitiveness of Nigerian airports within West Africa. For a sector positioned as a catalyst for trade, tourism and economic integration, stakeholders insist that financial discipline and regulatory clarity must precede any new fiscal demands.
Juliet Ezeh is the founder and chief reporter at Westbridge Reporters with over 7 years of experience in journalism. She covers crime, industry, policy, and social developments, delivering timely and accurate reporting.