$300 Helicopter Landing Levy: A Battle Between Govt. And Energy, Aviation Sectors

Players in the Nigerian aviation industry say the plan to impose another $300 helicopter levy on oil companies by the Federal Government will once again raise oil prices in the country. EMMANUEL OLISEMEKE writes.

The plan by the Federal Government through the Ministry of Aviation and Aerospace development to impose a $300 helicopter levy on operators, and now oil companies, has been raging since October 2022 when Sen. Hadi Sirika, the then Minister of Aviation first mooted the idea.

First, the government had attempted to charge helicopter companies operating in oil rigs $300 as landing levy, but the fierce opposition from the Airline Operators of Nigeria (AON), who threatened to challenge the imposition in the law court, compelled the government to set up a review committee, which recommended the payment of the levy by oil companies – the helicopter operators’ clients.

The government in several forums, said that the new levy was intended to generate revenue to its coffers, potentially funding infrastructure projects or other initiatives, a way to regulate helicopter operations and improve safety standards, adding that the revenue generated from the levy could be used to develop the aviation sector, including helipads and related infrastructure, among other reasons.

However, the operators and experts in the Nigerian aviation industry, in their responses, described such levy as illegal and multiple taxations.

They also insisted that the engagement of Naebi Dynamic Concept and the imposition of the fee on them by the ministry was a sharp contrast to the policies, principles and guidelines contained in the International Civil Aviation Organisation (ICAO) Documents 9082 and 9161 of engagement with stakeholders on new charges on operators.

AON also argued that the operators have paid landing and takeoff levies to government agencies in the sector, wondering the purpose for the imposition of the new levy.

AON further emphasised that Part 18, Section 18.8.1.1 (b) of the Nigeria Civil Aviation Regulations (NCARs), requires the Nigerian Airspace Management Agency (NAMA) to obtain the approval of the Nigeria Civil Aviation Authority (NCAA) before imposing any new charges and fees for its services.

But, the recent announcement by the government to commence implementation of the levy, indicated that the government was not backing down on its intention despite the agitation from different quarters.

Also, information gathered by Transportation Agenda, revealed that despite the pronouncement, the government was yet to inform the oil companies of the new levy.

Mr. Festus Keyamo, the Minister of Aviation and Aerospace Development, in a chat with our correspondent, said the government was aware of the new agitations by the oil companies.

In order to douse any tension, Keyamo said he had called for a meeting of the ministry’s representatives and the oil companies to discuss the issue and reach an amicable agreement, but no date was fixed yet as at the time of filing this report.

He said: “We are aware of it because the original people who objected to it, which is the Airline Operators of Nigeria (AON), finally reached an agreement on the issue. It is an additional revenue to the Federal Government.

“However, I am aware that fresh concerns have been raised by some oil companies and I have directed that they should be engaged with a view to addressing their concerns too.”

No fewer than 30 oil companies operating in the rigs may be affected by this policy.

Some of them are International Oil Companies (IOC) in Nigeria that may be affected by the new policy are Chevron Nigeria Limited, Totalenergies, Shell Petroleum Development Company of Nigeria, Mobil Nigeria, Addax Petroleum, ExxonMobil, Nigerian National Petroleum Company Ltd (NNPCL), OANDO Plc, Nexen Petroleum Nigeria, Nigeria LNG, Ardova Plc and Nigeria Agip Exploration, among others.

There are also fears that the additional levy would be passed on to consumers, hereby leading to higher fuel prices and increased transportation costs.

They also argued that the levy being charged in dollars, was against the Central Bank of Nigeria’s (CBN) circular of 2015, which specifies naira as the unit of currency for any services that emanated and ended in the country.

Capt. Ado Sanusi, the Managing Director, Aero Contractors in his comment on the issue, warned that if the proposal sailed through, it would add to the cost of oil production, while the prices of the products may once again rise in the domestic market.

Sanusi insisted that the oil & gas companies could not solely absorb the $300 landing levy without passing it across to the consumers.

Besides, he explained that it may also lead to another round of inflation in Nigeria and advised the ministry to reverse its decision.

As it stands, he explained that it was for the oil & gas industry to resist the imposition as the government had exempted AON from the levy.

According to him, NAMA was saddled with the responsibility of collecting navigational charges and wondered why such a duty was handed over to a private company.

He said: “Definitely, it will add to the cost of oil production and the prices of oil products may once again rise. It will also add to the present inflation in the country. As you add to the cost of production of crude oil, it will be added to the public. Cost of transportation and goods will definitely increase.

“There is no way the oil and gas companies will just absorb the $300 without passing it across to the consumers. The levy will just increase the burden in the oil and gas sector.”

Sanusi further queried the rationale behind the levy, its safety implication and the benefits to the public.

Already, he emphasised that the airlines were paying landing fees to government agencies and stressed the imposition of the new levy must be justified by the ministry.

“Some people will be getting richer while others will get poorer,” he added.

Also, Grp. Capt. John Ojikutu (retd), Chief Executive Officer (CEO), Centurion Security Services, urged the government to differentiate between landing and navigational charges and who collects what.

He insisted that helipads are privately-owned, just like private and state-owned airports., wondering if the government would equally demand landing fees from privately-owned airports?

He advised the government to concentrate on navigational charges or be responsible for insurance payments in case of any accidents on any private helipads that were not certified safe for landing.

He added: “If those in the administration of our government and the management of the aviation agencies are looking for revenue sources, let them begin to collect revenue from aircraft operating from the non-security-controlled airports to the security-controlled airports.

“That is where most operating helicopters belong. From helipads to airports.”

Engr. Charles Adiekwu, aviation analyst, insisted that the directive for the payment of the levy was a violation of the CBN circular of 2015.

According to him, the circular had recognised naira as the only legal tender for transactions within Nigeria and prohibited businesses and individuals from using foreign currencies for domestic transactions and banks from facilitating foreign currencies transactions for domestic payments.

The CBN had said in the circular that this regulation aimed to prevent the dollarisation of the Nigerian economy and maintain the value of the naira.

Besides, Adiekwu further questioned the legal framework of the authorisation of NEABI Dynamics for the task.

He also queried the purpose for the charges and the values the contractor would be adding to the system to warrant the collection of the levy.

“The government needs to clarify why they are doing what. What is wrong with either NAMA or the Federal Airports Authority of Nigeria (FAAN) collecting that levy or other levies? Why was it given to a private company and who are those behind the company?

“In the Civil Aviation Act, it’s only the NCAA that can approve collection of any fund or money, not the minister. This is an illegal activity, which must not be allowed to stand,” the source said.

Like Sanusi, he declared if implemented, it would increase the cost of oil production, which he said was already on the high side, pointing out that the additional cost would eventually be passed across to the customers.

‘The whole thing looks suspicious. They need to explain the rationale to the public. It may be the right cause, but the public must be in the know,” he added.

Quotes:

“There is no way the oil & gas companies will just absorb the $300 levy without passing it across to the consumers. The levy will just increase the burden in the oil and gas sector.”

Combating Unruly Behaviour: Growing Concern For Nigerian Aviation

Nigerian airlines, just like its global counterparts are in a dilemma on how to properly combat the growing spate of unruly behaviours among passengers without losing their customers to other modes of transportation. CHARLES AYODELE writes.

Unruly passenger behaviour is rising in the global aviation industry, including in Nigeria.

The sector globally, especially the airline sub-sector, is facing an unjustified resistance and protest from angry passengers who can go at any length to cause disruption to flights and destruction to airport and airline assets, thereby comprising the safety and well-being of other passengers and crew.

This behaviour can manifest in various ways, including physical violence, verbal threats, refusal to comply with safety protocols, tampering with aircraft systems, or harassment of crew and fellow passengers.

The International Air Transport Association (IATA) in its statistics, said that unruly behaviour had been on the increase in recent times.

According to IATA, no fewer than 10,000 cases of unruly behaviour have been recorded annually in recent years.

This trend has been exacerbated by the post-pandemic travel surge, where heightened anxiety, altered social norms, and pent-up frustrations contribute to a volatile environment.

There are several external factors for display of unruly behaviours by air travellers.

One of the major reasons is flight delays and cancellations by airlines. Delays and cancellations by airlines create frustration and fatigue on passengers, thereby leading to shorter tempers and reduced tolerance on their part.

Also, some passengers who feel disrespected, ignored, or mishandled by airline staff may become combative. For instance, issues like luggage loss, seating disputes, or miscommunication often act as flashpoints for such acts.

Just recently, there was an accusation and counter-accusation between Sen. Adams Oshiomhole, the Senator representing the Edo North senatorial district and Air Peace over a 6:30am flight services out of the Murtala Muhammed Airport (MMA), Lagos to the Nnamdi Azikiwe International Airport (NAIA), Abuja.

Air Peace had accused the senator of a disruptive act after he allegedly arrived late for boarding.

According to the airline, upon being informed of the missed flight, Oshiomhole purportedly resorted to violence, physically assaulting its staff and forcefully barricading the terminal’s entrance.

The senator was also alleged to have gone as far as sealing the entry gate and manning the access point, effectively obstructing other passengers from gaining entry into the terminal.

The airline said: “Air Peace strongly condemns the unruly conduct of a prominent Nigerian politician who disrupted airport operations on the morning of Wednesday, June 11, 2025.

“We are deeply saddened that such a high-profile figure displayed conduct so unbecoming and disruptive to fellow passengers and our personnel. Air Peace maintains a zero-tolerance stance on violence or any form of aggression against our staff and passengers.”

But in his reaction, Oshiomhole debunked the disruption claim by the airline.

He said that he “merely acted in defence of fellow passengers who were unfairly denied boarding despite complying with the airline’s check-in policies.”

According to him, the incident had begun on Tuesday evening when he arrived at the airport at 6:10 p.m. for a 6:30 p.m. flight to Abuja.

Although he said his luggage was checked in, he was denied a boarding pass because the check-in counter had closed.

However, the next day, despite checking in online at 7:46 p.m. the previous night and arriving at the airport before 6:00a.m., Oshiomhole purported he and many others were again denied boarding.

He said: “I got there at about five minutes past six. They told me the counter was closed. I told them, ‘No, I’ve already checked in.’ I showed them the evidence of my online check-in. Even before then, they had asked if I had checked in, and I told them yes, and that I had no luggage.

“They looked at it but still said the gate had been closed. Meanwhile, I noticed they were still taking other people in. So I asked how you can close boarding for a 6:30 flight at 6:05? What is the purpose of online check-in, then?’ If I had to go through another check-in process, what’s the point of checking in online?”

Commenting on the issue, Airline Operators of Nigeria (AON) regretted the increasing unruly behaviour among air passengers.

Prof. Obiora Okonkwo, the Spokesman of AON, said that while the passengers have their rights, the airline operations are also guided by regulations, which everyone must abide by.

“As a matter of fact, as much as we appreciate and understand that every passenger has a right; your right is limited to what is within the International Civil Aviation Organisation (ICAO) regulation and the aviation industry.

“There is no amount of any disappointment, if at all, from any airline that gives you any right for self-help. We have been talking about unruly behaviour over the years and this menace is rising globally.”

Also commenting, Dr. Allen Onyema, the Chairman, Air Peace, described unruly behaviour as a major bane to the development of the airline industry globally, especially in Nigeria.

While Onyema declared that no airline wished to delay or cancel flights, he said numerous external factors like poor infrastructure, poor weather, natural phenomenon bird and wildlife strikes, among others were responsible for flight cancellation among carriers.

He regretted that when flights were either delayed or cancelled, passengers resorted to attacks on airlines or staff of affected carriers.

Onyma explained that once a flight is disrupted either due to natural causes or unruly behaviour, subsequent flights would be affected, thereby further compounding delays or cancellations of flights.

He said: “Things Nigerians can’t do even in Togo, they do them here. Apart from safety, security, weather and other issues, unruly passenger behaviour, a misunderstanding of how airlines’ scheduled operations are supposed to be run, is a major cause of flight delays.

“If you disrupt my 8 o’clock flight, that’s early in the morning, that aircraft is going to be doing a minimum of six or eight sectors in a day. Those other subsequent flights will be affected.

“You have an aircraft going to Lagos, Abuja in the morning. If you disrupt it, when it’s going from Abuja to Benin, from Benin back to Abuja, Abuja to Warri, all the other routes will be affected. If weather disrupts your flight for one hour, at the end of the day, you are going to post a three-hour delay. This is so because there will be minor delays. Even ground handling companies can cause delays in your operations. They can damage your aircraft.”

For Mr. Alex Amokwu, aviation analyst, unruly passenger incidents have far-reaching consequences for airlines, affecting safety, operations and reputation.

According to him, physical altercations or threats could directly jeopardise the safety of passengers and crew, noting that in extreme cases, such incidents could also escalate to attempts to breach cockpit security or interfere with flight controls.

Amokwu further expressed that unruly behaviour onboard may lead to flight diversion to the nearest airport, thereby leading to substantial operational costs for carriers.

He stated diversions typically include additional fuel, airport fees, and the logistical challenges of rebooking passengers for another flight.

He, however, pointed out that such behaviour was not limited to the Nigerian aviation industry alone, describing it as a global menace, which needed education and enlightenment to address.

Also, Mr. Olumide Ohunayo, Director, Zenith Research, in an interview with our correspondent, told the Nigeria Civil Aviation Authority (NCAA) to ensure effective implementation of Part 19 on Consumer Protection, which deals with the Passenger Rights and Responsibilities to tackle unruly or disruptive behaviours among the travelling public.

Ohunayo insisted that it was necessary for the sector to have effective legislation to address the rising case of unruly passengers.

He, however, emphasised that the sector in the country was not short of consumer-airline protection laws, but said implementation of these laws had not been effective.

Ohunayo lamented that some of the unruly passengers had done damages to the airlines’ assets and staff in the past without appropriate sanction by the responsible authority.

Some of the damages according to him included blocking of airlines from operating other flights due to cancellation of flights, destruction of airlines’ counters and flagrant disobedience to instructions of cabin crew, failure to fasten seatbelts and standing up during taxi.

Others are verbal or physical abuse and intoxication, pilfering of passenger luggage and disobeying crew briefing during disembarkation among others.

In a bid to address the challenge, Ohunayo emphasised that some countries, including the United States had taken decisive action against such behaviour, stressing that the U.S for instance had a zero-tolerance approach to tackle the issue.

He said: “It is important that the government and airlines have the necessary legal authority to prosecute unruly passengers. Enforcement measures that reflect the severity of the incident should be activated.

“For this to happen, command gaps must be eradicated and effective coordination between airlines and responsible agencies.

“If a crew member, staff or other passenger is threatened or assaulted, there should be action taken against the offender by the respective government agencies.”

Quotes: 1. “As a matter of fact, as much as we appreciate and understand that every passenger has a right; your right is limited to what is within the International Civil Aviation Organisation (ICAO) regulation and the aviation industry.”

2. “If a crew member, staff or other passenger is threatened or assaulted, there should be action taken against the offender by the respective government agencies.”