Business
Dawn Of Competitive Transport In Rivers
A new era of what could be described as “Competitive Transport System” has unfolded in the history of transport operation in Rivers State, and in Port Harcourt environs in particular. This is the desire of average commuter in the state. In the past, the transport system in the state could be said to be very undeveloped, having the features of hooliganism, gangstarism with the “winner takes all” syndrome in the system. It was a period of near monopoly due largely to the operational style of the National Union of Road Transport Workers (NURTW), where no other group outside the NURTW could survive in the system, and if they must survive, it must be by violence, clash and flex of muscles physically among themselves and with the law enforcement agents. Transport fare was relatively unstable especially within the town service operation ( intra-city bus service) Mini buses dominated the entire transport and every attempt to checkmate obnoxious increase in fare was met with stiff opposition by members of the transport union. It is not surprising that any attempt made by any group to appear as an independent group will face serious attacks from the transport cabals that held the system to ransom. The scenario then gave birth to other emerging groups who had links with either the government (the federal or state) or the Labour Organisation to make their existence strong in order to enable them withstand the threat of transport mafias in the state. The coming on board of the Labour Mass Transit (LMT), the Rivers Mass Transit Scheme, and the Port Harcourt City Transport Scheme were fallouts of the efforts to launch themselves into the mainstream transport scheme in Rivers State. Other transport bodies that followed suit were the Rivers Transport and Investment Cooperative Union Limited (RTICUL) and the Nigerain Legion Mass Transit Scheme. Their coming on board brought hope to the general commuter public and other self commissioned drivers who were seeking for other alternative organisation in the transport system to guarantee freedom from the near-monopoly known in the system. The new entrants into the transport system operated as franchise schemes, with lots of promises and hope of freedom for its members, where a lot of self-commissioned drivers were registered for protection, as it were. Hopes were dashed, when these operators could not accomplish promises made to members, as the system turned out to be a source of environment for the operators. This scenario nevertheless plugged back the system into confusion again, as any emerging group could be taken very serious because of the antecedents. But since the inception of Governor Chibuike Rotimi Amaechi government in Rivers brought, hope and relevance have been rekindled in the transport system, as real investment for the development of the transport system evolved in the state. Governor Amaechi on January 29, 2008 organised a transport summit where egg heads in the transport sector both within and outside Rivers State gathered to brainstorm on the way forward and for the development of the transport system in the state. At the summit, transport and related issues were discussed, and resolutions reached, which informed the basis for government transport policy in the state with the Skye Bank playing active role at the summit. Decisions reached at the summit began to pay-off when the Skye Bank as a private financial institution in partnership with the state government rolled out the Port Harcourt City Bus Service Scheme (PHCBS); a scheme where multiple luxurious buses were used to service the Port Harcourt metropolis and its environs transport wise. This effort of The Skye Bank’ efforts in partnership with the state government impacted positively on the system, particularly in the area of control of transport fare along the Aba Road axis which was its first point of call in operations. This also gave rise to relatively organised transport system in the state as tickets were issued and the same fare charged both at the peak and off-peak in commuters rush hours. At least there was no reported case of cut in distance of operations, and the most impressive aspect is that large number of commuters and passengers were moved from one point to another and buses were readily available, with designated bus stops remarkably built. Another remarkable appearance was that of the Monier Haulage, that partnered with the Skye Bank to provide readily available and affordable transportation. With the appearance of the Monier Haualge, PHCBS launched its operations within the Mile III- Rumuokoro and Choba axis, with multiple luxurious buses in its fleet. Before the advents of the transport firm operators along UNIPORT-Rumuokoro axis, as well as that of Mile III, the fare charged by other private transporters were out rageous. But competition set in when Monier haulage started charging moderate fare against what others in Union have garged up to charge. A fare charge of N100 from Choba to Rumoukoro has now been forced down to N50 by private mini buses drivers, while PHCBS takes only N40 both do Mile III and Choba. Ideally, the major transport corridors in Port Harcourt metropolis are the Aba Road, and the Ikwerre Road axis, and this is where much passenger traffic is experienced. Next is the Rumuokoro-Choba and the Igwuruta axis, and on record, the PHCBS has taken over operations along the routes giving rise to competitive transportation. Already, many commuters that ply the routes have made the PHCBS as their number one choice because their operations are well organised, easily available, no report of hike in fare at any time of the day, and of course with low transport fare. This scenario has forced other mini bus operators to compete for passengers with lower fare charged in most cases. Interestingly, many drivers no longer position their vehicles for loading at the park but are always seen outside the motor park to compete with the PHCBS operators at a reduced fare. The reason is that the number of passengers that enter the motor park has drastically been reduced, since PHCBS positioned themselves outside the park to scout for passengers. This has affected the revenue base of most transport operators. The Secretary of NURTW, Rumuokoro branch, Mr. Ikechukwu Orlu, agreed that the operations of PHCBS has brought competition to the system, and that the daily revenue to the union has reduced drastically. This prompted the reason for members to load outside according to him. It is clear that this competitive scenario has reduced the burden on commuters on the road, and this of course will chart the course of advancement of transport system in the state, and the credit will be given to the initiators of the present administration. Corlins Walter
As part of efforts to curb mishaps in the aviation industry, the Nigerian Safety Investigation Bureau (NSIB) has signed a Memorandum of Understanding (MoU) with the African Aviation and Aerospace University (AAAU) to deepen training on preventing and reducing accidents in Nigeria’s air transport.
Director, Public Affairs and Consumer Protection of NBIS, Mrs Bimbo Olawumi Oladeji, in a statement, said NSIB granted AAAU access to its facilities to facilitate an efficient exchange of resources and expertise.
According to the statement, the Director-General/Chief Executive Officer of NSIB, Captain Alex Badeh, who spoke at the ceremony held at the NSIB Training School, noted that the MoU sets the stage for facility sharing, capacity building, and collaboration between the Bureau and AAAU.
“I am confident that this MoU will enhance the effectiveness of our collaboration and commitment to promoting safer skies and operational excellence in the aviation industry in Nigeria and beyond”, Badeh said.
Registrar of AAAU, represented by the Director of Physical Planning and Works, Engineer Masud Aliyu Yerima, was also quoted in the statement, saying, “The journey of AAAU’s establishment and progress would have faced considerable challenges without NSIB’s generous support”.
He commended Badeh for his exemplary leadership and steadfast dedication in propelling NSIB to greater heights, and affirmed AAAU’s readiness to engage in mutually beneficial endeavours with NSIB.
“This partnership marks a significant milestone in fostering a culture of safety and excellence within Nigeria’s aviation sector, and both NSIB and AAAU are poised to leverage this synergy for the benefit of the industry and the nation at large.
“The African Aviation and Aerospace University, AAAU, is the first Pan-African university dedicated to aviation, aerospace, and environmental science.
“Addressing two critical needs within the continent’s industry, AAAU tackles the research and development gap in Africa’s aviation and aerospace sector while simultaneously cultivating a skilled workforce to propel it forward”, the statement added.
By: Corlins Walter
he commencement of flights operations on the London route by an indegenous Carrier, Air Peace Airline, and the recovery of the local currency have sparked fresh competition on international routes.
Air Peace, Nigeria’s outstanding indigenous airline, may face a prolonged market battle with many foreign airlines with decades of experience in the industry following its entrance on the Nigeria-London route.
Some of the industry’s experts say the airline required support from the government and a strategic approach to stay competitive.
Analysts have also stated that the strategic move has garnered high praise from stakeholders in the aviation sector, considering that Nigerians were paying exorbitant prices to travel from Nigeria to London, but that sustaining this momentum will require more than just offering low prices.
On March 31, 2024, the 11-year-old airline made a bold statement with its inaugural flight, using a Boeing 777 aircraft, offering a capacity of 274 seats and carrying 260 passengers from Lagos to London.
It sold its tickets for N1.2m, a price way lower than the rates offered by most foreign airline operators plying the same route.
Just two weeks after entering the market, Air Peace’s Chief Executive Officer, Allen Onyema, complained on Arise TV that foreign airlines were undercutting prices in an attempt to push Air Peace out of the market.
Onyema said, “We are aware that there are devilish conspiracies. All of a sudden, airlines are pricing below the cost. One airline is advertising $100 and the other $350. If you peel up your entire aircraft and carry people on the wings, it is not even enough to buy fuel.
“Why are they doing that? Their government is supporting them because Nigeria has been a cash cow for everybody. The idea is to take Air Peace out, and the moment they succeed in taking Air Peace out, Nigerians will pay 20 times over. It would happen, God forbid, if they were able to take Air Peace out”.
It was gathered that an economy ticket for a flight scheduled for April 29, 2024, from Lagos to London costs about N679,375 on Ethiopian Airlines, an operator with 75 years of experience.
Air Peace priced the same ticket at N1,090,750. The difference is that on Air Peace, it will be a 6-hour non-stop flight, while on Ethiopian Airlines, it will take 16 hours with one stopover.
Last Friday, Ethiopian Airlines reduced the price of its London ticket by 0.77 per cent to N1,628,660 from N1,641,249 two weeks ago.
In the same period, Air France’s price dropped to N1,687,824, nearly halving from last month’s N2,482,138.
On March 4, 2024, Lufthansa offered the Lagos-London route for N1,966,165. Qatar Airways provided the same ticket for N2,016,824, and KLM priced it at N2,448,740.
This continuous decline in air ticket prices was also driven by the strengthening of the naira against the US dollar and the payments of airlines’ trapped funds by the Central Bank of Nigeria.
Minister of Aviation and Aerospace Development, Festus Keyamo, had confirmed that the Federal Government, through the CBN, had cleared all the trapped funds (foreign exchange backlogs) to the tune of about $160m.
Beyond the ongoing price war, the Air Peace Chairman had also lamented the challenges with ground handling and space allocation at the London Gatwick Airport, adding that no airline has faced such obstacles before.
He noted, “On the inaugural flight out of London, 24 hours before departure, the management of Gatwick Airport moved us to another checking area instead of the designated one.
“The area they provided had a malfunctioning carousel, forcing us to manually transport luggage 50 meters away, causing delays”.
Users and business operators at the Port Harcourt International Airport, Omagwa, have decried the downward trend in flight operations at the airport.
Some of the users and operators told The Tide that flight operations at the airport, rather than go upward, have steadily been irregular, and diminishing steadily.
A regular air passenger of the airport, Simeon Echeonwu, in a chat with The Tide, said many airlines, both domestic and international operators, that usually operate at the Port Harcourt airport, have stopped operations, whereas others that are still operating are no longer very stable as before.
Echeonwu noted that airlines such as Aero Contractors, United Nigeria, and Green Africa airlines, now operate about one flight, twice a week, unlike before that they flew every day on Lagos and Abuja to Port Harcourt.
Also speaking, former Chairman of the FAAN Accredited Car Hires Association, Clifford Wahunoro, lamented that the down turn in Operations has affected the business of car hires.
“If you have noticed, I have not been regular at the airport for some time now, because business is no longer flowing at the airport as before. I will not fold my hands and be sitting down doing nothing, so I have to look for other things, so I come when I think there will be something.
“You can see that between 12noon and 1pm, after that segment of flights, when you have few flights arrival, many people will close for the day, and when you wait till evening, flight like Dana may come very late at night, and sometimes, it will not arrive, and by that time, many people will not like to book for commercial vehicle”, he said.
Meanwhile, a travel agent, who wished to be anoyimous, decried the rate at which the airport is going down in terms of flights operations, noting that Port Harcourt airport ought to be competing with the other major airports like Lagos and Abuja.
He queried if such was a calculated attempt to bring the airport to its kneel in terms of flight operations, while other major airports have steady flow of flight operations both for domestic and international.
TheTide observed a continuous distortions in flight movement at the airport. Some of the airlines, like Max air, which many passengers patronize, have completely stopped operations, and no new airline has been added.
Apart from the Air Peace Airline that has maintained some level of stability in operations, other few operators have been involved in either steady rescheduling of flights, cancellation and regular delay, resulting in poor and unpredictable flight movement, which affects or determine other businesses in the airport.
By: Corlins Walter
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