Nigeria’s aviation regulator, the Nigeria Civil Aviation Authority, NCAA, has opened talks with the Airline Operators of Nigeria, AON, over the planned introduction of Advance Payment Guarantees, APGs.
This is aimed at enforcing prompt remittance of the statutory five percent Ticket Sales Charge, TSC.
The meeting held at the NCAA headquarters in Abuja, Monday followed concerns raised by the Airline Operators of Nigeria, AON, which sought clarification on the requirement for airlines to provide bank-backed guarantees.
The NCAA in a statement says, the move is necessary to protect funds paid by passengers and held in trust by airlines for the wider aviation system.
Speaking during the engagement, the Director General,Civil Aviation, Captain Chris Najomo, explained that the Authority derives its powers from the Civil Aviation Act 2022, as amended, to collect the five percent Ticket Sales Charge on a cost-recovery basis.
He noted that the funds are meant to be remitted to the NCAA for distribution among key aviation agencies, to support regulation and sector oversight.
Captain Najomo expressed concern over what he described as persistent delays in remittances by some operators, stressing that the APG framework is designed to tighten compliance, improve payment timelines, and guarantee steady funding for effective regulation.
However, after extensive discussions with airline representatives, the DGCA approved a 90-day deferment of the APG requirement to allow operators time to clear outstanding obligations.
He urged airlines to use the grace period wisely, while assuring stakeholders that the NCAA remains committed to stability and ease of doing business, without abandoning its statutory mandate.
Responding for the AON, the Chief Executive Officer of Overland Airways, Captain Edward Boyo, commended the NCAA for the engagement and pledged that all Air Operator Certificate holders would meet their financial obligations within the deferment period.
Senior NCAA officials at the meeting included directors overseeing operations, air transport regulation, finance, and legal services.
Reporting By Nosa Aituamen