We’ll accept compensation for GAT if government pays arrears, says Bi-Courtney
The Chairman of Bi-Courtney Aviation Services Limited (BASL), operators of the Murtala Muhammed Airport Terminal 2 (MMA2), Dr. Wale Babalakin has said that the company may consider compensation as an option if the government is willing to pay all the revenue accumulated at the GAT in arrears.
Speaking at a media parley with aviation correspondents in Lagos today, Friday 15th October 2021, Babalakin said the GAT was part of the concession agreement BASL signed with the government, and would not let it off.
“The GAT was handed over to us by the government but it, at the same time, decided to enhance it and compete with us,” he said.
According to him, it is totally wrong for a regulator to be competing in the same sphere with other investors using government funds.
“We have won the case at the Court of Arbitration, Hight Court, Appeal Court and at Supreme but the Authority have agreed on everything but the GAT, we can’t let go because it is part of our concession agreement,” he said.
He added that having spent a huge amount of money to build the link-road from the MMA2 to the GAT and the graveyard for the dumping of old aircraft, it would be foolish to let it off.
“If anybody wants to negotiate compensation for the GAT, we will only accept it if they are willing to pay us in arrears,” he said.
On the ongoing process to concession four international airports by the federal government of Nigeria, Babalakin said his company – Bi-Courtney – has proven integrity and capability to manage any airport in the country successfully and profitably.
According to him, the company has set an unprecedented record, the first of its kind in the history of concession in the country, having operated MMA2 within its resources for 14 years without hitches.
He, however, questioned the modalities for bidding, which seem to be in favour of foreign investors, and called on the government to check the track records of those who have done it well and offer them “a right of first refusal” before extending the bidding process to foreign investors.
“BASL is interested in anything that is intelligent infrastructure development. I have had people say are you a businessman? I am not a businessman, I am a lawyer and an infrastructure developer, I don’t trade, I don’t import and export, what is my interest? Infrastructure development and that’s where you find me.
“So we are interested but we are more interested in the process leading to the emergence and we believe that we are entitled to be the first option. In every organized country, we would be given the first option because we have succeeded immensely as an eye-opener to aviation infrastructure development in Nigeria” he said.
He, however, lamented that the government has been frustrating the company’s efforts to host regional flights at the terminal, a situation that has led to additional operational cost effects to the airlines, passengers, and the BASL.
According to him, part of the agreement the company signed with the government was to prepare the terminal for regional flights, and it would be fair if the government does not renege on that.
“We are losing a lot of money because we invested a lot of money in creating regional wing on our platform. The airlines are the ones bleeding more because of the fuel they expend in taxiing from here to the international airport” he said.
He also sympathized with the passengers who transit from the terminal to the international wing to proceed on connecting flights to other neighbouring countries in the western region.
According to him, factoring in the cost of fuel airlines use to taxi from the terminal to the international airport and the unnecessary frustration passengers are put through, it would only be fair if government grants its approval for commencement of regional flights from the MMA2.
