NCAA Warns Against Planned Reduction of Ticket Sales Charge Share, Says Safety Oversight at Risk
The Nigeria Civil Aviation Authority (NCAA) has warned that any attempt to reduce its statutory share of the five per cent Ticket Sales Charge (TSC) could weaken aviation safety oversight and ultimately put the lives of air travellers at risk.
The Authority said the proposed amendment to the existing revenue-sharing arrangement, currently before the National Assembly, would significantly diminish its financial capacity and affect its ability to effectively carry out its statutory responsibility as Nigeria’s aviation regulator.
Speaking with journalists in Abuja, the Director of Public Affairs and Consumer Protection of the NCAA, Michael Achimugu, expressed concern over ongoing legislative efforts to reduce the Authority’s share of the TSC in favour of the Nigerian Airspace Management Agency.
He maintained that aviation safety depends on the existence of a well-funded and independent regulator capable of enforcing compliance with international standards, warning that any reduction in the NCAA’s financial resources would undermine its oversight functions.
According to Achimugu, the country’s improved aviation safety record under the current administration is largely attributable to the effectiveness of the NCAA’s regulatory activities.
“The reason planes are not falling from the sky today under this administration, unlike in the past, is because of the CAA,” he said, adding that rather than reducing the Authority’s funding, government should strengthen its financial base to sustain safety standards.
He explained that under the existing legal framework, the NCAA collects the five per cent Ticket Sales Charge and remits statutory allocations to the Nigerian Airspace Management Agency, Nigerian Meteorological Agency, Nigerian College of Aviation Technology and the Nigerian Safety Investigation Bureau.
Achimugu further noted that the Federal Government already makes deductions from the NCAA’s own allocation, arguing that any additional reduction would be unnecessary and detrimental to the Authority’s operations.
He stressed that aviation inspectors must possess superior technical expertise compared to the service providers they regulate in order to effectively enforce safety standards.
“The staff of the regulatory agency must be better trained than the service providers they regulate. If inspectors do not possess superior technical knowledge, they cannot effectively enforce safety standards,” he said.
The NCAA spokesman also credited the Authority’s regulatory framework for Nigeria’s favourable performance in international aviation safety and security audits, as well as improvements in consumer protection and passenger rights enforcement.
“The reason Nigeria continues to excel in safety and security audits is because of the NCAA. The reason passengers’ rights are better protected today is because of the NCAA,” he added.
Achimugu argued that organisations such as the Nigerian Airspace Management Agency were originally established to generate sufficient internally generated revenue to sustain their operations, while the NCAA functions as a cost-recovery agency whose primary mandate is regulation rather than revenue generation.
He therefore urged policymakers and other stakeholders to carefully consider the long-term consequences of reducing the regulator’s funding, noting that aviation regulatory authorities across the world are adequately financed because of the critical responsibility they bear in protecting lives and ensuring safe air transport.
“The NCAA needs more funding, not less. We are a cost-recovery agency, not a revenue-generating one. Proper funding ensures inspectors remain well-trained and adequately remunerated, reducing the risk of compromise and protecting the flying public,” he stated.
On reports of disagreements among aviation agencies over the distribution of the Ticket Sales Charge, Achimugu disclosed that the Minister of Aviation and Aerospace Development, Festus Keyamo, had already intervened to resolve the matter.
He said the minister was engaging all the affected agencies and appealed for restraint, noting that public exchanges could undermine efforts to reach an amicable resolution.
Achimugu also dismissed claims that the NCAA was indebted to the Nigerian Airspace Management Agency, explaining that statutory remittances are handled directly by the Central Bank of Nigeria rather than by the Authority itself.
“The NCAA does not make remittances directly to the agency. The CBN does so. From our checks, the remittances were being processed. So, the issue of NCAA owing anybody does not arise,” he said.
