The closure of the Nnamdi Azikiwe International Airport (NAIA) for the rehabilitation of its runway will cost Skyway Aviation Handling Company (SAHCOL) a N3.36 billion loss in revenue, the Managing Director, Rizwan Kadri, has said.
The SAHCOL boss said the firm generates about N80 million from providing cargo, ramp, passenger handling and other services to domestic and foreign carriers in Abuja daily. He said during the airport’s six-week closure, the firm would rejig its operations at other airports to mitigate the loss.
He told The Nation that the closure would have effects on ground handling firms, airlines, car hire operators, catering suppliers and others who provide support services. The projected loss revenue loss, he said, would be a burden on the company, adding that mangement would approach the Federal Airports Authority of Nigeria ( FAAN) for assistance.
He said the company would have to mobilise personnel and equipment to Kaduna Airport.
Kadri said: “The government is taking the right step as the repair of the Abuja Airport is long overdue. However, they have gone about it in a wrong way. The stakeholders are going to lose a lot of revenue if airlines are not going to Abuja. The stakeholders are not taken into confidence. That is why the foreign airlines are not going to Kaduna Airport.
“If we make N80 million daily from NAIA and that stops suddenly, it is going to affect us. We will need to move manpower and equipment to Kaduna. We will continue to pay them salary if they stay on in Abuja doing nothing for six weeks. We are still hanging in the balance; we are still waiting. We hope it lasts just six weeks.”
Apart from ground handling companies, other concessionaires, including aviation fuel suppliers and airline catering suppliers, will also lose significant revenue during the six weeks repairs’ period because of the scale of operations in the alternate aerodrome in Kaduna.
Aviation agencies, including FAAN and the Nigerian Civil Aviation Authority (NCAA), will also lose significant revenue from passengers’ service charge, ticket sales charge and terminal charges.
Investigations revealed that Abuja airport is Nigeria’s second busiest international airport, with about a half-million international passengers yearly.
National Association of Nigerian Travel Agencies (NANTA) President Bankole Bernard said the closure of the Abuja Airport would have ripple effects on business.
He said many agencies lose the charge they collect to assist passengers procure tickets, organise transit flights and other support services.
Last week, Lufthansa German Airlines, South African Airways and British Airways notified that they would not operate flights into Kaduna Airport.
British Airways cited logistics for its decision to shun Kaduna Airport, saying would restrict its Abuja frequency to Lagos .
Country Commercial Manager for British Airways (Nigeria and West Africa), Kola Olayinka said the decision not to go to Kaduna as an alternative airport to Abuja, was because of lack of inflight catering services.
He said it costs the carrier more money to operate into Kaduna, as it would need to bring along inbound and outbound meals/food which will prove a burden to the airline.
Aside that, Olayinka listed other constraints to include lack of common user terminals and information and technology equipment that would support its operations, fear of baggage loss.