Federal Government Hands Over Enugu Airport to Aero Alliance Under PPP Agreement

The Federal Government has officially handed over the Akanu Ibiam International Airport, Enugu, to Aero Alliance Limited under a Public-Private Partnership arrangement. The concession agreement tasks the consortium with the financing, rehabilitation, expansion, operation, and management of the facility in line with international aviation standards.

The agreement is designed to enhance safety, operational efficiency, and passenger experience, while positioning the airport as a premier aviation hub in the South-East region.

Speaking at the handover ceremony held at the airport’s international terminal, the Minister of Aviation and Aerospace Development, Festus Keyamo, described the concession as a landmark achievement in the Federal Government’s ongoing efforts to modernise airport infrastructure through private sector participation.

Keyamo noted that successive administrations had, over the past two decades, attempted to concession the country’s airports. However, previous efforts failed to attract investor interest for Enugu and Port Harcourt airports, even as Lagos, Abuja, and Kano drew significant bids.

“For 20 years, various governments have tried to concession some of our airports because of the belief that the private sector would run them more professionally and in a more commercially driven way,” Keyamo said. “During the previous administration, when almost all the airports were advertised for concession, all the bidders avoided Enugu and Port Harcourt airports. There was not one bidder for Enugu and Port Harcourt. Everybody was rushing to Lagos, Kano, and Abuja because many people wanted ready food.”

The minister, however, noted that the situation had shifted dramatically under the current administration, reflecting renewed investor confidence in the economic potential of the South-East.

“However, under the able leadership of President Bola Tinubu and under the visionary leadership of people like Dr Peter Mbah, the reverse is the case. Guess what? We have no bidder presently for Lagos, Abuja, and Kano. But Enugu and Port Harcourt are gone,” he added.

Addressing concerns raised by labour unions, Keyamo assured airport workers that their interests and welfare would remain protected under the new arrangement. He revealed that all aviation labour unions that had initially challenged the concession programme in court had since withdrawn their cases after constructive engagements with the government.

“When we came into office, all aviation labour unions were in court challenging the concession programme. One after another, they have withdrawn their cases after understanding our intentions. I want to assure workers that they are protected. However, it will no longer be business as usual. This airport will now be privately managed with a strong focus on efficiency, accountability, and service delivery. Those who perform their duties diligently have nothing to fear,” Keyamo stated.

The minister further commended Enugu State Governor, Dr Peter Mbah, for his pivotal role in driving the airport’s transformation and attracting private investment. He recalled that shortly after assuming office, the governor approached President Tinubu with a clear vision to develop Enugu into a major aviation and investment destination.

“Dr Peter Mbah went straight to Mr President a few weeks after his inauguration and said, ‘This is my plan for the airport.’ The President directed that we should give him all the assistance he needs to turn Enugu into an aviation and investment hub. Mbah started with Enugu Air, and now he has brought in capital and investors for the airport,” Keyamo added.

The minister urged Aero Alliance Limited to execute the concession with professionalism and transparency, while reiterating that the arrangement would create more employment opportunities rather than result in job losses.

Also speaking at the event, the Director-General of the Infrastructure Concession Regulatory Commission, Dr Jobson Ewalefor, described the concession as historic and attributed its success to Governor Mbah’s credibility and persistence.

“That we are here today is because of the reputation of the governor. His reputation attracted the capital. Governor Peter Mbah is a strategic and methodical leader who has consistently pursued this project,” Ewalefor said. He expressed confidence in the airport’s viability, citing the launch of Enugu Air and growing international partnerships as indicators of the state’s rising profile in the aviation sector.

In his remarks, Governor Mbah hailed the concession as a major breakthrough for the South-East, stating that it would unlock new economic opportunities and improve regional competitiveness.

“It opens a new chapter of economic possibilities because businesses across our region have long grappled with logistics constraints that increased costs, lengthened delivery timelines, and limited competitiveness,” he said.

The governor expressed optimism that the concession would serve as a catalyst for economic growth and improved connectivity across the region. “We hope future generations will look back to this day as the moment when Akanu Ibiam International Airport began its transformation into a truly world-class gateway serving the South-East, connecting Nigeria to the world, and opening new pathways to prosperity for millions of our people,” Mbah added.

He noted that the airport concession aligns with his administration’s broader vision of positioning Enugu as a preferred destination for investment, trade, tourism, and industrial development.

On behalf of the concessionaire, the Managing Director of Aero Alliance Limited, Saleem Hussain, assured stakeholders that the consortium would deploy its more than 30 years of aviation experience to transform the airport into one of Africa’s leading aviation and logistics centres.

“Our goal is to transform Akanu Ibiam International Airport into one of Africa’s leading regional aviation, logistics, and commercial hubs,” Hussain said. He explained that the company would focus on improving connectivity, cargo and logistics operations, passenger experience, commercial activities, and overall operational efficiency.

The Managing Director of the Federal Airports Authority of Nigeria, Mrs Olubunmi Kuku, represented by the Director of Public Affairs and Consumer Protection, Henry Agbebire, along with the Enugu State Commissioner for Transport, Dr Obi Ozor, and the FAAN Regional General Manager, Hillary Umunna, pledged their support for the successful implementation of the concession agreement.