Business
‘Sustainable Aviation Needs Govt Partnership’
To maximise aviation’s ability to sustainably drive global economic development and job creation, Governments at all levels have been urged to partner with the aviation industry operators to achieve these objectives.
The call was made by a member of the International Air Transport Association (IATA), Captain Jonah Wabiran (Rtd) in an interview with The Tide on Tuesday in Port Harcourt.
Capt. Wabiran who is also an aviation consultant, said Governments and industry share a common interest in aviation’s success noting that aviation is a business and a driver of economic and social development that is vitally important to governments.
He said that about 3 billion people fly annually and the nearly 50 million tonnes of cargo transported by air represent some 35 per cent of the value of goods traded internationally.
According to him, Aviation is a highly regulated industry at the national, regional and global levels. “Sustainability depends not only on what airlines do for themselves but also the policies adopted by governments,” he said, adding that regulations that are neither co-ordinated nor mutually recognised bring a high cost of compliance without corresponding benefits, while maintaining restrictions on airlines access to global capital and to markets has kept airlines financially weak. Policy efforts are needed in 4 areas: “Infrastructure-Mod-ernization of air traffic management is needed to reduce delays, save fuel and cut coz emissions.
User charges – effective regulation of monopoly suppliers is required to ensure sufficient infrastructure, reasonable returns for operators and cost-efficient prices for airlines in line with ICAD agreed principles.
Fees and Taxes – policies are needed thatre-invest aviation tax receipts back into the industry and to ensure that aviation is treated as an economic catalyst not a cash cow.
Regulation – an approach is needed that resists the urge to micro-manage competition, allows airlines to explore different business models and enables market forces to play out,” he posited.
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Sugar Tax ‘ll Threaten Manufacturing Sector, Says CPPE
In a statement, the Chief Executive Officer, CPPE, Muda Yusuf, said while public health concerns such as diabetes and cardiovascular diseases deserve attention, imposing an additional sugar-specific tax was economically risky and poorly suited to Nigeria’s current realities of high inflation, weak consumer purchasing power and rising production costs.
According to him, manufacturers in the non-alcoholic beverage segment are already facing heavy fiscal and cost pressures.
“The proposition of a sugar-specific tax is misplaced, economically risky, and weakly supported by empirical evidence, especially when viewed against Nigeria’s prevailing structural and macroeconomic realities.
The CPPE boss noted that retail prices of many non-alcoholic beverages have risen by about 50 per cent over the past two years, even without the introduction of new taxes, further squeezing consumers.
Yusuf further expressed reservation on the effectiveness of sugar taxes in addressing the root causes of non-communicable diseases in Nigeria.
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