Air Operators of Nigeria (AON), the umbrella body of all the domestic airline owners in Nigeria, has expressed concerns over the proposed partnership between the Federal Government and Ethiopian Airlines.
The Federal Government had partnered with Ethiopian Airlines to launch a national career for Nigeria named “Nigeria Air”.
According to the Air Operators of Nigeria (AON), the agreement was tantamount to opening Nigeria’s domestic market to a foreign carrier; a development they said could ‘decimate” the local airline industry and lead to capital flight.
The domestic airline operators expressed this opposition yesterday at the House of Representatives in Abuja.
Investors King had earlier reported that the Nigerian Government has reached an agreement with Ethiopia Airlines to own a 49% stake in Nigerian Air Limited, while Federal Government retained 5% and Nigerian investors got the remaining 46%.
While speaking on behalf of AON, the CEO of Top-Brass Aviation, Mr Roland Iyayi noted that the agreement with Ethiopian Airlines could adversely affect the business of the domestic airline operators.
He stated that the government of Ethiopia owns 100% of the stake in the company, hence, giving 49% ownership to Ethiopia Airlines means selling Nigeria’s right to a foreign entity.
Ajayi also added that the Ministry of Aviation did not carry the local airlines along before and during the process.
However, the Minister of Aviation refuted Ajayi’s statement. He stated that the bidding process went through due process before Ethiopia Airlines was selected as the preferred bidder.
Hadi Sirika further clarified that Ethiopian Airlines has the money and substantial technical expertise being the best Airline in Africa for more than four consecutive years.
Meanwhile, at another event, the spokesperson for AON and Chairman of United Airlines Nigeria, Prof Obiora Okonkwo noted that Nigeria Air is a “camouflage of interest”.
“The decision to set up a national carrier in partnership with Ethiopian Airlines is a policy somersault. The people in government have continued to demonise the local operators…there is nothing Nigeria in this Nigerian Air,” he concluded.
