‘Nigeria Loses $90.5m Annually To Shoddy Aviation Concession Deals’

The House of Representatives says Nigeria is losing $90.5 million annually to shoddy concession deals in the aviation sector.
The Chairman, Ad-hoc Committee investigating the governing lease of Federal Government-owned assets, Rep. Daniel Asuoqo (PDP-Cross River), made this known at the committee’s inaugural meeting yesterday in Abuja.
The committee also said that on average, the Nigerian economy has lost over $5.7 billion from unfavourable and non-transparent Federal Government concession and lease agreements.
“Regrettably, the Federal Government is losing over $90.5 million annually due to the shoddy agreements between the Federal Airports Authority of Nigeria (FAAN) and its concessionaire at both local and international wings of the Murtala Muhammed Airport (MMA) Lagos,’’ Asuoqo said.
He recalled that there was an official 2021 report on the refusal of concessionaires to honour their agreements on land lease shop rents, concessions and on Built Operate and Transfer (BOT) arrangements.
According to him, some of the agreements with the concessionaires made up of traders, vendors and tenants at the airports have elapsed for more than ûve years without renewal.