Minister, experts differ over national carrier

Some experts in the aviation sector have opposed the modalities set for floating a national carrier by the Federal Government .
Head of Strategy, Zenith Travel Mr Fidel Olumide Uhunayo and an aviation economist, Mr Taiwo Adenekan, are urging the government to jettison the idea of designating Aero Airlines as the national carrier. According to them, designating a domestic airline out of the existing local carriers, does not other that the government is creating a level playing field for all operators.
Ohunayo said the era of designating a single operator as national carrier was gone. Adenekan canvassed an open bid for all international routes by airlines that have capacity to deliver.
Ohunayo said: ”The equations that are being moulded for a caesarean delivery of a national carrier should be reviewed and reconsidered in the interest of the industry and the nation at large. A national carrier ought to have exclusivity and protection.
“What we need is a national airline policy that will strengthen the industry and our airlines, not a national carrier. The policy should include reduction of taxes, modernisation of air traffic control.
“The policy by the government should address how to assist airlines through stabilisaton of aviation fuel prices and provision of a market for the flag carriers through a Fly Nigeria Act.
“This involves a legislation that will make mandatory for government officials to fly only Nigerian airlines on international routes. Doing this will accelerate economic growth.”
He continued: ”Countries that share our present mentality of setting up a new national carrier include Malawi, Zambia, Congo, Ghana and Gambia. Do we choose to belong to this crowd?
“Therefore, a country can also be embarrassed by its national carrier; we can ask the Italians, Greek, Mexicans and all the countries in our sub-region.
“Most of the people calling for a new national carrier today and linking it to the payment of terminal benefits of former Nigeria Airways staff, worked assiduously to frustrate government efforts in the past.
“The industry all over the world has moved from national to legacy to flag and low cost carriers. “
Adenekan said: “The government should put all the lucrative international routes on the table for bid. Any airline that gets the bid based on operational competence should be considered as a national carrier. Such airline should be able to compete with other global carriers and not just designating one domestic carrier as a national airline. I am not convinced it may be the best option.”
Other experts, who spoke on condition of anonymity, have also cautioned against giving undue preference to Aero Airlines.
Another airline, which analysts say, has the capacity for being designated national carrier is Arik Air. But its managent said it is not perturbed over plans to designate Aero as a national carrier.
Group Chief Executive Officer of Arik Air, Dr Michael Arumem-Ikhide said: “As an airline, we are not worried. At the end of the day, it is for the benefit of this country. I mean we are a country of 160 million people.The market size here is phenomenonal, market penetration in terms of access to airlines is less than 10 per cent.
“For the good of our people, we at Arik Air feel good if it means more travellers, if it means more economic development.
“Let it be for the benefit of the customers.
“Firstly, the airline must be of higher standard. Secondly, it must be reliable and safe. Let it be run based on international standards and principles and let it be safe.
“At the end of the day, it is the passengers that would determine the airline they want to fly.”
Another expert, who pleaded not to be named, said: ”Well, this is an interesting subject that often would elicit varied reactions. Generally speaking, it is not a bad idea, but the issue is very sensitive. We should be moving forward and not moving backwards.
“There are different voices on this issue among operators. But, I think the concept of a national carrier is archaic. What most countries are doing is the model of flag carriers. The aviation industry has gone far ahead of archaic models.
“I think Nigeria should look in the direction of what other nations have done to designate domestic airlines as flag carriers. Gone are the days of national carrier; it is out of vogue.
“Aviation business has gone digital; it is no more analogue, so, why do we need to go back to outdated models.
But airline operators are consolidating and talking to the government on how to achieve what is the best for the aviation industry.
“We are convinced that the government has good plans to set up a national carrier. I am sure the promoters of the carrier would have done their home work. So that by the time the whole thing is worked out, the picture will become clear and it is going to be a win-win situation for everybody,”he said.
But Aviation Minister, Princess Stella Oduah said last week that the national carrier would soon be named.
Oduah attributed the delay in delivering the national carrier to some hitches, adding that the these were being addressed.
She, however, did not give details of the problems.
Oduah said: “We are trying to rectify that challenge. I think we will do it very soon, but the important thing is that we want to give Nigerians a national carrier that we all aspire to have. That will be a true representation of all of us; that can be bought from the market; that will be professionally and efficiently managed.”
source: thenationonlineng.net