Wednesday, 15 July 2015

Aviation can contribute 10% to economy – Meggison



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Capt. Nogie Meggison is the chairman, Airline operators of Nigeria. He tells OYETUNJI ABIOYE that if the incoming government takes the aviation sector seriously, it can make significant contribution to the economy.
Nigeria airlines are small, weak and debt ridden. How can we grew domestic carriers? The way forward is to have the right government policies in place. Once the government has policies that seek the growth of domestic airlines, the local carriers will grow. For example, it could be by putting in place a policy  to create economic value; we have to look at the multiple destination we are giving the foreign airlines, you have look at multiple entry point in the Nigeria. Allowing foreign carriers to hop from city to another within Nigeria will not create economic value for our local carriers. The government can also look at how to bring down the cost of aviation fuel.  We have to set up Warri refinery; Warri has the capacity to refine aviation the pipelines are there. These are minor things that can be done. We are still carrying tanker fuel up and down our toilet and you are using tanker fuel up and our airports. It like in a house and you has water through a carpet; after some time you will stain the carpet. 
Insurance, our insurance premium is too high, we have to look at insurance again compared to the rest of the world and compared to the rest of Africa. Other countries, including some Africa nations, are paying less than one per cent as premium on airplanes; whereas in Nigeria we are paying an average of seven per cent because of the NAICOM policy. That is a policy that the government has to look into. The same aircraft that I have that was registered in South Africa was brought to Nigeria with the same crew and name; and my insurance premium went up from $64,000 to $314,000 per annum because I changed the registration number to Nigeria’s.  Nigeria is a United States of America’s Federal Aviation Administration Category One country and we should take advantage of it.

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