Chinedu Eze
With barely two weeks to the 2023 general election, which will begin with the presidential election on February 25, aircraft charter operators in the Aviation industry have raised concern over low patronage, contrary to their projected high season market that is associated with general election.
Unlike the previous elections that were characterised by large volume of aircraft charter by members of the political class, the operators are worried that aircraft charter business is not looking good this season, with just two weeks to presidential election.
The operators recalled that in 2015 it was difficult to meet the demands of clients who needed their services despite the fact that there were more aircraft available at that time.
They added that aircraft demand during the 2019 general election was more than what is happening currently.
The Chairman and Chief Executive Officer, Quits Aviation Services Limited, Sam Iwuajoku, who operates the biggest business aviation terminal in Nigeria and Quits Aviation Services Free Trade Zone, told THISDAY that in the last one year there has been decrease in business, a situation exacerbated by unfavorable and inconsistent policies, noting that there is no surge even during the election period compared to 2015 and 2019, but expressed the hope that activities might pick up after the election.
“In the last one year, we have witnessed decrease in Aviation business. Before 2015, if you were here, you will see about 10 aircraft. People come in and go out and based on that a lot of activities went on. Presently, the activities here are very low, but after the election, it may pick up. There is no surge even during this election period, when compared to 2015 and 2019 general elections. But there are still some activities taking place presently,” he said.
Another charter operator told THISDAY that although he does not categorise his clients to know those who are travelling due to political reasons but agreed with Iwuajoku, whom he said has the figures and is the authority in the business.
He also noted that the three major contenders in the presidential election: the All Progressives Congress (APC), the Peoples Democratic Party (PDP) and Labour Party (LP) have private jets or supporters that could lend them private jets, adding that despite what looks like slump when compared to 2015, business is still going on.
“Maybe people may be travelling less, but I can say that business is always good because people must fly. We really don’t ask our clients where they want to go or the reason why they are travelling but I know that during political period, there are lots of movements but I agree with Iwuajoku because he is an authority. He has the figures because he records everything and should be in position to know,” the charter operator said.
Last year it was estimated that politicians might spend over $500 million on aircraft charter services for the 2023 election after the Independent National Electoral Commission (INEC) had given the political parties go ahead for electioneering campaigns.
The estimate was half of what was projected that All Progressives Congress (APC) and the Peoples Democratic Party (PDP) spent during the campaigns for the 2019 election, put at $243 million.
Political observers had stated that campaign for 2023 election would be rife and demanding because more Nigerians have shown interest in election, as the difficult situation currently being experienced by Nigerians, has pushed the people to determine who becomes their president in 2023.
Politicians know that more is at stake and for them to win, and they must spike their campaigns and move to the nooks and crannies of the country to sensitise the people and persuade electorates to vote for them and this is what has been obtained so far, as the major three presidential contenders have crisscrossed the country in their campaigns.
Speaking, the Managing Director of Flight & Logistics Solutions Limited, Amos Akpan explained why patronage for aircraft charter services is low despite the fact that this is electioneering season.
He said some of the major factors included the cost of operations, which he said had increased by 100 per cent from what it used to be in 2019, noting that all the cost inputs have increased, including cost of fuel, aircraft spares and insurance.
“The cost of operations has increased by 100 per cent from what it was as at 2019. All the cost inputs have increased: fuel, spare parts, insurance, personnel, forex, among others. This makes the charter rate or lease rate much higher. The movements of political gladiators have to reduce because of the costs involved,” he said.
Akpan also observed that online communication has provided effective alternative to travelling and noted that meetings, seminars, presentations and political pressure group activities are done on zoom.
“Meetings, seminars, presentation to political pressure groups are mostly on zoom and web. Candidates can address and interact with audience without physical presence. The two candidates that align with the upper class Nigerians have their own fleet of private jets. They are not target markets for private jet operators,” Akpan said.
According to him, government agencies like the Nigeria Civil Aviation Authority (NCAA), Independent Corrupt Practices and Other Related Offences Commission (ICPC), Federal Inland Revenue Service (FIRS), are shopping for high net worth individuals and corporations to bring into their compliant nets so that they would explain their source of wealth and because of that some of those who could afford it may not want to patronage aircraft charter companies.
“If you have the money to patronize private jets, how much are you worth? How have you complied with tax, levies, and corporate governance regulations? So you might tiptoe around instead of travelling with private jet services to avoid more questions than you can answer. The only gladiators that could access the kind of money released for 2019 electioneering are the elites within the government in power,” he said.
