The Federal Government, through the Ministry of Aviation and Aerospace Development, has temporarily suspended the $300 helicopter landing levy imposed by its concessionaire, Messrs NAEBI Dynamic Concept Limited.
This announcement was made by Mr. Odutayo Oluseyi, Head of the Press and Public Affairs Unit, in a statement on Friday.
The suspension comes just a month after the Federal Government authorized Messrs NAEBI Dynamic Concept Limited to exclusively collect helicopter landing fees nationwide.
According to the statement, the collection has been paused to allow the ministry to address pressing concerns raised by industry stakeholders. However, the suspension does not cancel the concession or the mandate granted to the consultants responsible for collecting the levy.
“We want to set the record straight here by stating that the Minister, Mr Festus Keyamo, (SAN), temporarily suspended the project to take a deeper look into issues raised by stakeholders.
“Contrary to reports, this suspension does not cancel the concession and mandate granted the consultants responsible for collecting the levy.
“Instead, a comprehensive review is underway to address issues and develop a forward-thinking approach.
“A specially-constituted committee, comprising representatives of the ministry, its relevant agencies, Airline Operators of Nigeria and the International Oil Companies (IOCs), is working to achieve this goal,” the statement read in part.
More insights
The statement also provided insights into the objective of the committee established to address concerns raised by industry players regarding the helicopter levy.
- The committee’s goal is to develop a workable framework for implementing compliance with landing levy payments, ensuring a win-win situation for all stakeholders.
- It emphasized that the committee’s recommendations would be crucial in shaping the future of helicopter landing levy collection across the country, ensuring a sustainable and thriving aviation industry.
- Furthermore, the statement urged stakeholders in the aviation sector to remain calm as a resolution is being developed to ensure the continued growth and success of the aviation industry in Nigeria.
Backstory
In an official memo dated April 25, 2024, signed by Minister of Aviation and Aerospace Development Festus Keyamo, the Federal Government authorized Messrs NAEBI Dynamic Concept Limited to exclusively collect helicopter landing fees at all aerodromes, helipads, airstrips, floating production storage and offloading (FPSO) units, floating storage and offloading (FSO) units, and oil platforms across Nigeria.
The memo mandated that all operators and stakeholders of civilian helicopter operations in Nigeria comply with the directive or face sanctions.
Consequently, helicopter operators were required to pay a newly introduced $300 landing charge, which NAEBI Dynamic Concept Limited would collect on behalf of the Nigerian government.
However, this directive has raised concerns among operators, leading to non-compliance.
Some operators questioned why payments should be made into a private company’s account instead of the Federal Government’s Treasury Single Account.
Others argued that NAEBI Dynamic Concept Limited had not provided infrastructure corresponding to the fees imposed.
Additionally, some operators complained that the helicopter landing fee compounded multiple existing aviation taxes.