The Nigeria Civil Aviation Authority (NCAA) has called for the restoration of its original 65 per cent share of the five per cent Ticket Sales Charge (TSC) and Cargo Sales Charge (CSC).
NCAA warns that any reduction in its statutory funding could undermine Nigeria’s aviation safety oversight system.
The Director-General of Civil Aviation (DGCA), Captain Chris Najomo, appealed during the public hearing organised by the House of Representatives Committee on Aviation on the proposed review of the allocation of the five per cent Ticket Sales Charge (TSC) and Cargo Sales Charge (CSC) on Thursday in Abuja.
Captain Najomo said the NCAA supports adequate funding for all aviation agencies to enable them to effectively discharge their statutory responsibilities.
However, he argued that if the Nigerian Airspace Management Agency (NAMA) requires additional financial support, it should first maximise its numerous statutory commercial revenue streams, improve operational efficiency and corporate governance, and, where necessary, seek targeted Federal Government support for critical infrastructure projects in line with International Civil Aviation Organisation (ICAO) policies and global best practices.
He urged the lawmakers to restore the NCAA’s original 65 per cent share of the TSC, saying the move would address deficiencies identified during ICAO’s most recent audit and align Nigeria with international funding standards for aviation safety regulators.
According to him, any review of Nigeria’s aviation funding framework should recognise that the NCAA remains heavily dependent on the Ticket Sales Charge to carry out its regulatory functions, while NAMA generates a substantial portion of its revenue from commercial charges imposed on aircraft operators.
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The Director General explained that, apart from government funding, NAMA also benefits from Bilateral Air Services Agreement (BASA) funds, from which the NCAA receives no allocation.
He noted that NAMA is legally empowered to generate revenue from at least 16 commercial sources, including overflight and en-route charges, terminal navigation fees, telecommunications services, air traffic services at private and state aerodromes, calibration services, consultancy services, property rentals, cartographic services, and charges for Hajj operations, among others.
According to him, these revenue streams are consistent with ICAO’s funding model for Air Navigation Service Providers.
Captain Najomo further stated that available financial records indicate that commercial and operational activities account for approximately 75 per cent of NAMA’s total revenue, while the five per cent Ticket Sales Charge contributes only about 25 per cent. In contrast, he said, nearly 80 per cent of the NCAA’s funding comes from the Ticket Sales Charge.
He stressed that any amendment to the aviation funding structure should be consistent with ICAO policies, international best practices and Nigeria’s obligations as a contracting state to the Chicago Convention.
“Aviation safety is not sustained by legislation alone. It depends on competent inspectors, effective surveillance, continuous certification, recurrent technical training, international cooperation and an independent regulator with the financial capacity to discharge its statutory responsibilities without compromise,” he said.
Capt. Najomo cautioned lawmakers to view the proposed amendment beyond the redistribution of statutory revenue, noting that it could significantly affect Nigeria’s ability to maintain an effective State Safety Oversight System in line with ICAO Standards and Recommended Practices (SARPs), as well as ensure the safety of the travelling public.
He noted that, beyond regulating Nigeria’s aviation sector, the NCAA is also responsible for funding Nigeria’s mandatory contributions to key international and regional aviation organisations, including the International Civil Aviation Organisation (ICAO), the Banjul Accord Group Aviation Safety Oversight Organisation (BAGASOO), and the African Civil Aviation Commission (AFCAC).
According to him, ICAO recognises this responsibility through Protocol Question (PQ) 2.051 under its Universal Safety Oversight Audit Programme (USOAP), which assesses whether member states have established sustainable funding mechanisms for their aviation safety oversight authorities.
