FG gives airlines January deadline to automate payment of charges

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Hadi Sirika, Minister of State for Aviation

The Federal Government has given January 1, 2017 as the deadline for airlines operating in the country to automate their payment/remittance of charges to federal agencies forthwith. The government said this is in a bid to put an end to airlines indebtedness to aviation agencies arising from their failure to remit 5 per cent Ticket Sales Charge/Cargo Sales Charge (TSC/CSC) as required by law.

The automation system is being introduced to ensure transparency, accurate billing and prompt payments of charges due from the airlines to the Nigerian Civil Aviation Authority (NCAA) in line with the Nigerian Civil Aviation Regulations (NCARs) 2015.

NCARs 2015 states thus: “All domestic and international airlines operating in Nigeria shall forward to the Authority through an electronic platform provided by the Authority, all relevant documents such as flown coupons, passenger or cargo manifest, air way bills, load sheets, clients’ service invoices and other documents necessary for accurate billing within forty – eight (48) hours after each flight.”

The NCAA in a statement cautioned airlines that this directive has the full backing of the federal government for full implementation and strict compliance.

It said the directive was being handed down after due consultations with the airlines and other stakeholders on the desirability of the operators to join the automation platform for the collection of 5 per cent TSC/CSC on the airlines operations.

NCAA therefore urged airlines to join the platform on or before January 1, 2017 or face appropriate sanctions in the event of failure.

The agency further mandated the operators to work with First Bank of Nigeria FBN/AVITECH (FG approved NCAA Consultant on the automation) for the purpose of immediate implementation.

“In as much as it is not the plan of the Authority to regulate any Airline out of existence, NCAA would no longer be prepared to tolerate non remittance of its dues again as such a conduct would be viewed seriously,” the statement warned.

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