By Ojima-ojo Abubakar
The Airline Operators of Nigeria (AON) has denied claims that domestic carriers are indebted to the Nigerian Civil Aviation Authority (NCAA), insisting that airlines fully pay for all regulatory services before they are rendered.
The NCAA had placed 11 domestic airline operators on a “no-pay-no-service” sanction list over outstanding financial obligations.
The regulator instructed all its directorates to withhold services from the affected airlines pending financial clearance.
However, the NCAA suspended enforcement of the directive following consultations with industry stakeholders.
In a statement on Monday, AON described the claims as “factually inaccurate,” noting that all cost recovery services rendered by the NCAA to domestic airline operators are paid for in advance on a cash-before-service basis.
According to the association, the NCAA issues invoices for every regulatory service it provides, including validation of crew operating licences, aircraft inspections, documentation renewals and other services within its regulatory mandate.
“Operators are then required to settle all such invoices in advance, and compliance is strictly observed before the NCAA renders any regulatory service,” the statement reads.
”In practice, no domestic airline in Nigeria receives NCAA regulatory services without first making the full payment of invoices issued to it by the NCAA. This long-standing policy and procedure remains firmly in place.”
The airline operators noted that what the NCAA described as “outstanding charges” relates solely to the five percent ticket sales charge (TSC), which it said differs from regulatory service fees.
AON described the charge as a tax imposed on passengers and said airlines merely serve as collection agents.
The association called on the federal government to amend the Civil Aviation Act to allow the NCAA collect its fees directly from passengers rather than through airlines.
“In view of the above, the AON calls on the Federal Government to urgently amend the Civil Aviation Act to empower the NCAA to collect whatever appropriate fees and charges are due it directly from passengers or whoever else, without routing such through the domestic airlines,” the airline operators said.
“We request this to take effect from June 1, 2026.
“This will relieve domestic airlines of the financial burden of acting as collection agents for the NCAA, since airlines currently bear banking transfer charges and other transaction costs in the process of transmitting funds to the NCAA.”
The AON also raised concerns over the multiple taxes, fees, charges and levies imposed on domestic airline operators.
AON said the financial impact on airlines had become adverse, burdensome and excruciating, “especially at this precarious period, when the entire world has been exposed to the exogenous shocks of the Iran – Israel/USA crisis”.
The association called for urgent policy action, describing the aviation sector as crucial to economic growth.
