Business
Stop Arbitrary Increase, NCAA Tells Airline Operators

A fuel tanker that caught fire at the NNPC filling station at Gudu District in Abuja, recently
The Nigerian Civil Aviation Authority (NCAA) has threatened to sanction any airline operator that arbitrarily increases miscellaneous charges included in airfares without the authority’s approval.
NCAA’s General Manager, Public Affairs, Mr Samuel Adurogboye, in a statement made available to the newsmen in Lagos yesterday said any further breach would attract sanctions.
The statement warned that NCAA would mete out sanctions on any airline that increased its airfare arbitrarily without filing the proposed add-on charges with the regulatory authority for approval.
“The Nigerian Civil Aviation Authority is directing all airlines to file any proposed add-on charges, surcharges or other miscellaneous charges with it with immediate effect, or risk being sanctioned.
“In the procedure of filing same, all justifiable reasons for increment must be adduced in accordance with parts of the Nigerian Civil Aviation regulations which relate to the approval of charges on all flights within Nigeria or originating from Nigeria to international routes.
“This is as contained in the Nigerian Civil Aviation regulations in requesting for approval of any add-on charges or surcharge, “ it said.
The statement said that an air carrier was required to provide justifiable basis for the proposed increment with a consideration of all relevant factors
According to the statement, this will include a new linear rationalisation for the specific aggregated costs sought to be recovered and consumer interests.
The statement said that when approving any application for an add-on charge or surcharge related to fuel, NCAA shall take into account changes in prices of aviation fuel.
“Others to be considered are the relevant hedging policies of the air carrier, the justifications provided by the air carrier and other relevant factors.
“NCAA will also ensure that the revenue so generated would not exceed the additional fuel costs borne by the airline operators during the corresponding period,“ it said.
The NCAA, in the statement, warned all operators that any add-on charge, surcharge or other miscellaneous added on passenger tickets without regulatory approval should cease forthwith. (NAN)
WAC/ASO/ECN/SOA
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