NAMA Suspends Fee Hike Following Ministerial Intervention

Festus Keyamo, Minister, Aviation and Aerospace Development
The Nigerian Airspace Management Agency (NAMA) has been compelled to suspend its proposed increase in navigational charges following a directive from the Minister of Aviation and Aerospace Development, Festus Keyamo.

The planned fee hike, which was set to take effect from September 1st, would have seen a significant jump in charges for both en-route and terminal navigation services.

The new rates would have amounted to an 1800% increase for en-route charges and a 900% increase for terminal navigation charges.

The Managing Director, NAMA, Engr. Farouk Umar had justified the proposed increase, citing mounting financial pressures due to global economic challenges, including fuel price hikes and currency instability.

The agency boss during the 28th Annual Conference of the League of Airports and Aviation Correspondent LAAC in Lagos, argued that the additional revenue was essential for maintaining the safety and efficiency of Nigeria’s airspace.

However, the Minister intervened, according to a statement issued by the NAMA’s Managing Director, Public Affairs and Consumer Protection, Alhaji Abdullahi Musa, recognizing the potential impact of the fee hike on the already burdened Nigerian populace.

He said, the minister emphasized the need for further consultation before implementing such drastic measures, a decision that underscored the government’s sensitivity to the economic challenges faced by Nigerians.

The Minister’s directive came on the heels of a conference where NAMA had outlined its financial predicament. The agency had highlighted its reliance on statutory fees and charges as its primary source of revenue and expressed concerns about its ability to sustain operations without the proposed increase.

Despite the suspension, NAMA has maintained its stance that it is a cost-recovery agency and has called for a more equitable relationship with airlines.

The agency has indicated its intention to continue engaging with stakeholders to find a sustainable solution.