FG Gives Airlines January Deadline to Automate Payment Charges to Agencies

In order to stem the frequent indebtedness of Nigerian airlines to aviation, the federal government had given January 1, 2017 as deadline for the automation of payment system of the airlines.

This is to ensure transparency and automatic payment of charges immediately it is due, in order to avoid pile up as debts because of airlines’ reluctance to pay these charges.

Part of the charges is the 5 percent Ticket Sales Charge/Cargo Sales Charge (TSC/CSC) which are paid to the Nigerian Civil Aviation Authority (NCAA) which cedes some percentage of the money to other agencies like the Nigeria Meteorological Agency (NIMET), the Nigerian College of Aviation Technology (NCAT), Zaria.

Spokesman of NCAA, Sam Adurogboye said the automation system is being introduced to ensure transparency, accurate billing and prompt payments of charges due for NCAA in line with the Nigerian Civil Aviation Regulations(NCARs) 2015, Vol.2, Part 18.12.5.

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 agency said.

It also observed: “It is pertinent to point out that this directive has the full backing of the federal government for full implementation and strict compliance. It is now 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 percent TSC/CSC on the airlines operations. It follows therefore that the airlines are by this directive requested to join the platform on or before 1st of January 2017 or face appropriate sanctions in event of failure,” NCAA said.

In addition, the operators are further mandated 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 conducted would be viewed seriously,” NCAA also warned.

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