Nation
IATA Appeals To FG On Airlines’ Blocked Funds
The International Air Transport Association (IATA) has appealed to the Federal Government of Nigeria on resolution of airlines’ blocked funds.
IATA’s Area Manager, West and Central Africa, Dr Samson Fatokun, made the appeal in Abuja, when he led a team to pay a courtesy visit on the Minister of Aviation, Sen. Hadi Sirika.
According to him, Nigeria has been the country with the highest amount of airline blocked funds in the world for over a year.
“We would like to thank you for your continuous support for the growth of air transport in Nigeria and for the actualisation of its role as catalyst for the growth of the Nigerian economy.
“IATA and global airline community will like to appeal for your special intervention for the resolution of airlines` blocked funds issue in Nigeria.
“As at January 2023, airlines `blocked funds in Nigeria have increased to $743, 721,097 from $662m in January 2023 and $549m in December 2022”, he said.
Fatokun said increasing backlog of international airlines blocked funds in Nigeria had sent a message against Foreign Direct Investment (FDI) in Nigeria.
According to him, potential investors are reading from the plight of airlines that they may not be able to repatriate their funds from Nigeria, at a time when Nigeria is expecting more investments.
“Foreign airlines fly into Nigeria within the legal framework of the Bilateral Air Service Agreement (BASA), signed between their countries and the Federal Republic of Nigeria.
“It is agreed in those BASAs that Nigeria will facilitate the repatriation of the funds of the other party`s airline. Nigeria flouts this contractual obligation by not facilitating enough the repatriation of airlines’ funds”, he said.
He said some airlines had decided to reduce number of their frequencies or seats made available for sale in the Nigerian market to mitigate increasing backlog of their funds in Nigeria and its impact on their cash flow.
He stated that this reduced person and cargo access to Nigeria, and e-commerce that relied on aviation for speedy delivery would be impacted in the country.
“Moreover, going by the law of demand and supply, the reduction of airline inventories in the Nigerian market will lead to ticket fare increase which would further burden average Nigerians and take air travel away from the reach of many Nigerians”, he stated.
On her part, the National President, National Association of Nigeria Travel Agencies (NANTA), Mrs Susan Akporiaye, also urged the minister to help facilitate resolution of airlines’ blocked funds.
“The downstream sector of aviation industry (Travel Agencies, Ground Handling Companies) rely heavily on airlines capacity to grow or remain in business.
“Should the airlines be compelled to further reduce their capacity, those businesses would be negatively impacted, leading to job loss.
“The negative indirect impact will also affect ground transportation (taxi, car hire), hotels and restaurants output”, she said.
Responding, the Minister of Aviation, Sen. Hadi Sirika, said he would use his office and personal relationship with President Muhammadu Buhari to ensure that airlines’ funds blocked in Nigeria were totally cleared.
He said efforts would be made to ensure clearance of the funds before the end of the current administration.
Sirika, however, frowned at reactions of some international airlines, regarding the blocked funds.
“We do know that we need your services as you also need our market. Things can be resolved by dialogues like this, which I think is better. “he said.
Nation
HYPREP Marks 15 Years Of UNEP Report, Highlights Major Cleanup Milestones
The Hydrocarbon Pollution Remediation Project (HYPREP) has commemorated the 15th anniversary of the release of the United Nations Environment Programme (UNEP) Environmental Assessment Report on Ogoniland, reaffirming its commitment to restoring the environment and improving the livelihoods of affected communities.
In a statement signed by the Project Coordinator, Prof Nenibarini Zabbey, to commemorate the anniversary, HYPREP described the anniversary as a significant milestone in Nigeria’s environmental restoration efforts, noting that the project has made remarkable progress in implementing the recommendations of the landmark UNEP report released on August 4, 2011.
The UNEP report had revealed extensive oil pollution across Ogoniland, severe environmental degradation, and serious public health risks resulting from decades of petroleum operations. It also recommended an initial $1 billion fund to commence the cleanup of the affected communities.
According to HYPREP, the Federal Government formally launched the Ogoni clean-up in 2016, while the Project Coordination Office was established in 2017 to drive the implementation of UNEP’s recommendations.
Zabbey said the current administration has continued to prioritise the project under the Renewed Hope Agenda.
Providing an update on the cleanup, the Project Coordinator disclosed that 30 of the 65 contaminated sites identified by UNEP have been fully remediated, while work is ongoing at several medium- and high-risk locations. It also stated that more than 1.5 million mangrove seedlings have been planted as part of what it described as the world’s largest restoration of oil-degraded mangroves, with over 1,000 hectares of shoreline already rehabilitated.
Zabbey further revealed that 49 Ogoni communities have been connected to potable water schemes through multiple water projects and booster stations aimed at providing safe drinking water across the region.
In the health sector, he said the 100-bed Ogoni Specialist Hospital in Kpite and the 43-bed Cottage Hospital in Buan are nearing completion, adding that several existing health facilities have been upgraded with modern medical equipment, while five ambulances have been donated to improve emergency healthcare services. The Project Coordinator also disclosed that a three-year human health biomonitoring study is being conducted in collaboration with the World Health Organization’s International Agency for Research on Cancer (IARC).
On economic empowerment, Zabbey stated that the Project has created more than 8,000 direct jobs and trained thousands of Ogoni youths and women in various vocational and technical skills, including software development, cybersecurity, aviation, commercial diving, seafaring, mechatronics, and creative arts. The project also reported awarding scholarships to more than 1,000 students, providing grants to small businesses, and supporting persons living with special needs through skills acquisition programmes.
The statement further highlighted ongoing legacy projects, including the Ogoni Power Project and the Centre of Excellence for Environmental Restoration, which it said is about 96 per cent complete. HYPREP also welcomed the recent designation of the Ogoni Wetland as a Ramsar Site of International Importance and pledged to continue promoting biodiversity conservation and sustainable management of the ecosystem.
Marking the anniversary, Zabbey said the progress achieved over the past 15 years demonstrates the collective commitment of government, development partners, stakeholders, and local communities to restoring Ogoniland. He called for renewed collaboration to sustain the cleanup effort, promote environmental sustainability, and support the long-term development of the region. 3
