Nigeria’s aviation sector is under fresh strain as airline operators say they have lost over N150bn in just two months, raising fears of possible disruption to flight operations across the country.
The warning came from the Airline Operators of Nigeria, whose Board of Trustees member, Roland Iyayi, said many carriers are now close to breaking point.
Iyayi said, “Airlines have bled over N150bn in two months. Where is the money going to come from? It’s gotten to a point where nobody can threaten anybody any longer.”
The development comes as members of the Aviation Ground Handlers Association of Nigeria consider stronger measures over about N9bn owed to them by domestic airlines. The group had earlier issued a seven-day notice, warning that failure to settle the debts could lead to a suspension of key services.
Iyayi warned that such action could worsen the crisis, stressing that the survival of ground handling firms depends largely on airlines.
He said, “If airlines don’t exist, they don’t have a business. Nobody cares about the airlines; everybody wants to collect money. We’ve made up our minds now that whatever anybody wants to do, they can continue, but I can guarantee you that at the end of the day, everybody will come to their knees. You can’t force anybody to come up with what they don’t have.”
He added that the standoff could have wider consequences across the sector.
Iyayi stated, “They threaten, the same way a few marketers are saying cash and carry. So let’s see what happens by the time airlines stop flying, whether they have any business,” Iyayi stated.
“There’s no way airlines can do anything regarding any debt, simply because it has become very difficult to survive. Airlines are struggling to survive. So anybody threatening airlines now to say, ‘Oh, if you don’t pay up, we’ll cut services,’ without the airlines, you don’t have any business. So if you make it seem like you are doing the airlines a favour, no, it’s the other way around. Without the airlines, you can’t be where you are.”
On their part, ground handlers insist they may proceed with their plans if airlines fail to respond. The association’s chairman, Olaniyi Adigun, said the group is reviewing its next steps in line with labour laws.
“What we intend to do is to come out with a press conference, and according to Nigerian law, we have our own strategy, which we are meeting together, and we are going to state our next move. Although some of them (airlines) have started, the majority have not. But that does not call off the strike,” he said.
Adigun added that further action could follow after the notice period.
He said, “However, you know in the labour law, when you give a seven-day notice, and if you don’t meet up, you can give a three-day notice. So that’s the labour law; we are trying to look at that.
“But we have our minds set. We are just following the law. So after the expiration of seven days, if we don’t hear from them, we have our own strategy. We will be having a meeting on Thursday. So let’s wait for the outcome of the meeting.”
Industry sources also warned that the dispute is coming at a delicate time for the economy. One operator, who spoke anonymously, cautioned against escalation.
The source stated, “This is not even the right time for anybody to be attacking the airlines or for the people that are attacking each other, because this is a difficult time for them. So I don’t think this is the right time to do that. It’s a very sensitive period.”
The source warned that a collapse of airline operations could trigger wider national problems.
The source added, “As a nation, we cannot afford for our airlines to go down now because it’s going to create a lot of problems. There are a lot of problems we cannot afford. We’re in a very, very difficult position as a nation.
“If airlines go under, there will be an uproar in this country. So we have to be very careful. So I think the ground handlers will need to be patient and find a way to meet with the airlines, get into a dialogue because dialogue is the only way forward.”
The crisis is reflective of the growing pressure in the aviation sector, where rising costs, mounting debts, and operational challenges continue to weigh on operators.
With both sides holding firm, attention is now on whether dialogue will resume or if the dispute will lead to service disruptions across the country.
For More Details, Visit PrimeTimes