Flight cancellations, refunds to passengers cost domestic operators N20bn, lost $60m to bird strikes in 2021
Vice President of the Airline Operators of Nigeria (AON) and Chairman of Air Peace, Chief Allen Onyema has disclosed that carriers operating in the country lost over N20 billion in refunds to passengers, flight cancellations and delays, even as he also said bird strike incidents have cost his colleagues in the industry over $60 million.
Chief Onyema who was speaking on behalf of the AON during an interactive session with journalists at the organisation’s secretariat inside the Murtala Muhammed International Airport (MMIA), ikeja, in Lagos, Wednesday, used the forum to condemn the recent granting of multiple designations to two foreign airlines, Qatar Airways and Ethiopian Airlines by the Federal Government.
This is also the group absolved domestic operators of blame over flight delays and cancellations experience by passengers, as according to him, ‘airlines are not the cause of delays and cancellations.’
AON member-companies present at the briefing included; Azman, Air Peace, Aero, Arik, OmniBlue, Dana Air, Max Air and Overland Airways. Others are United Airlines, Caverton, Bristow Helicopters and Ibom Air.
Condemning the multiple designations to Qatar Airways and Ethiopian Airlines by the Ministry of Aviation, Onyema said the decision is bound to impact negatively on the domestic industry, as it harm job creation and growth of the industry in terms of capacity and employment opportunities.
According to the AON chief, the situation would further worsen the precarious situation faced by local airline operators, adding that what the Federal Government did would not augur well with the domestic airlines.
“AON object very seriously with the multiple designations given to Qatar Airways and Ethiopian Airlines. It is the belief of AON that the growth of Nigerian airlines will be stagnated if this continues like this. This will inhibit the growth of local airlines, who provide jobs for Nigerians. All the international airlines do not provide 10 per cent of the job provided by the smallest airline in Nigeria,” Onyema said.
He lamented that multiple designation to foreign airlines would lead to domestic airlines folding up, adding that this contributed to why so many airlines have closed shop over the years.
On flight cancellation and the attendant costs, the AON Vice President said it cost about $2.5 million to fix an engine damaged by bird strike, adding that airlines are losing billions of naira as result of this, considering the fact that aircraft engines and other spare parts are not manufactured in Nigeria.
According to Onyema , Air Peace alone had 14 bird strikes in 2021, and four this year, adding that these have cost his airline billions of naira.
Onyema disclosed that domestic airline operators lost over $60 million to bird strike in 2021, while delays, cancellations and refunds for passengers cost airlines over N20 billion, even as he urged the Federal Airports Authority of Nigeria (FAAN) to improve its wildlife surveillance at airports to stop the ugly trend.
On the delays and cancellation of flights by airlines, which have generated negative discussions against the carriers, Onyema said airlines does not derive any joy in cancelling flights, adding that it is not in the interest of airlines.
“Airlines does not enjoy delaying and cancelling flights. 98 per cent of these delays cannot be attributed to airlines. It is shocking when public officials join the fray to demonise airlines. Airlines are not the cause of delays and cancellations. Passengers have been emboldened to take laws into their hands while public officials and security agents watch,” the AON VP said.