The controversial statements credited to the Minister of Aviation, Princess Stella Oduah-Ogiemwonyi, amongst which is the provocative remark that plane accidents are ”inevitable” and that they were ”acts of God” is indeed very unfortunate, and anything but complimentary. Coming from some other person, this remark would be an innocuous comment which Nigerians may tolerate. But from a Minister, whose primary duty it is, to ensure the safety of Nigerian airspace; such outlandish comments are indeed unacceptable and unpardonable. It is also unbecoming of a woman who has failed woefully to halt the descent into anarchy in Nigeria’s aviation sector, resulting in five air crashes in the last 16 months. An end must be put to this embarrassment immediately. Mr. President, please, reassign or sack Stella Oduah as Minister of Aviation!
There is no doubt that the aviation industry is in deep crisis. Reports indicate that 16 domestic airlines, both operational and dormant, are trapped in debts of over N325 billion to various maintenance agencies, financial institutions and regulatory bodies. Apart from the huge debt overhang, the airlines are also facing problems of high aviation fuel prices, ageing aircrafts and high operating costs. The sector is reeling from very high premiums by aircraft insurance firms which view the country’s operating environment as “very risky.” In the wake of the DANA Air crash, major aircraft leasing firms such as GE Capital Aviation Services (GECAS), International Lease Finance Corporation (ILFC), Cab Tree and Aercap raised lease on aircraft to Nigerian airlines by over 40% and plan to increase it to 50% soon. Following the DANA accident, a B737-500, which was leased for $120, 000, attracted $200, 000 monthly. For the new generation (Next Gen) airplanes (that is aircraft below 15 years), that are in high demand, the lease, according to airline operators, has risen to $280,000 per month from $160,000.
With barely two airlines operating domestic flights, the result has manifested in frequent cancellation, inflated fares, airport congestion and passenger frustration. The doubts that befuddle this sector appear not to abate. It is important that the problems of aviation be properly identified and a holistic solution proffered. This calls for a major overhaul of the sector. Stella Oduah’s assignment is too critical. Her misguided comments about aircraft accidents being “acts of God” is a damning self-appraisal and parody of the seriousness and deep thinking that should guide policy recommendations and actions given the complexity and multifarious challenges bedeviling the aviation sector. The President should, therefore, find another person for the job.
It is a telling sign of insensitivity that a woman charged with the onerous task of keeping Nigerian skies safe, would, by her controversial statements, further reinforce the country’s tragic air travel image of operating flying coffins. The unnecessary controversy ignited by her carelessness, signposts the contradiction and asymmetry inherent in Jonathan’s discretionary exercise of presidential authority. As in many departments of this administration, appointments into sensitive portfolios have demonstrated poor judgment on the part of Mr. President; and Stella Oduah best advertises this.
For a long time, indications were not only that the aviation sector was simmering with structural and commercial challenges; there were sufficient clues that the industry is in danger of implosion. As industries and economic endeavors undergo cycles of growth with in-built and exogenous constraints, the peculiarity of the aviation industry is so well advertised that it is a one platform industry across the world. Standards of operation are basically of universal application: the airplanes and their stringent maintenance rules are specified to conform to the manufacturer’s directives and there are regulatory agencies to enforce rules over airplanes and the pilots who operate them worldwide. A predilection to craft a Nigerian pattern of doing business in this industry is fraught with danger; the manifestation of which the country sadly witnessed recently after an Associated Airline plane conveying the remains of late former Ondo State Governor, Olusegun Agagu, crashed in Lagos shortly after take-off.
Aviation is not a venture for fly-by-night operators where licenses are available as patronage favors. Therefore, it should be of concern that the airline companies have resorted to shortcuts that have brought trauma and misery to hundreds of Nigerian families. The generous restructure of aviation sector loans has not yielded optimal results partly because the N300 billion Aviation Intervention Fund by the government was insufficient, and indiscreetly spent by airline operators, many of whom are now near insolvent. Recently, the Aviation Minister called for a review of the fund because it was not delivering on its mandate. To this end, a forensic investigation on the status of the N300 bn fund is critical, and if the facility has been abused, those responsible must be held accountable.
The strategic importance of the aviation industry makes it unthinkable for it to be treated with disdain. It appears Stella Oduah has no idea of the complexity and enormity of the challenges facing the sector. The current situation requires more than town hall meetings at the aviation ministry. The issue is that the fundamentals of aircraft purchase and commercial viability in the Nigerian market remain elusive. Key success factors such as favorable terms for fleet acquisition and microeconomics of large scale operators suggest that only airlines, large enough in resources to bring efficiency to the country’s vast domestic air travel network, need be encouraged to operate.
The revelation by the Minister, that the federal government is poised to launch a new national carrier is a policy confusion, which painfully underscores the lack of a coherent policy framework, as it is bound to result in gross waste of public funds rather than boost capacity in the sector or enhance the safety of passengers. Infact, a national carrier is not the solution to structural problems in a sector dominated by private sector players. The Ministry of Aviation should spend its fiscal and managerial resources on strengthening services in the sector, rather than use public funds to compete with the private sector. The vision of the industry has to be canvassed, debated and accepted in the main by operators and users of air travel. There is need to meet ICAO standards on a continuing basis and bring passengers to the airports to experience efficiency from ticketing, cargo load, timeliness and safe travel. The rot in aviation is a call to desist from cavalier responses to the fundamentals of an industry with basic prescriptions for effectiveness.
With a traumatic 51 airline accidents since 1970, government must now initiate enduring solutions to the problems of the sector. It is a matter of concern that, no official has ever taken responsibility for the numerous plane accidents either directly or otherwise. Elsewhere, when events like this occur; senior officials resign their appointments even if they are not directly responsible for the accident. It is a requirement of high office that whatever goes wrong on their watch becomes their responsibility. If Nigeria follows best practices, Stella Oduah ought to have resigned as Aviation Minister on the basis of the numerous plane accidents under her watch. But since the culture of assuming responsibility is largely unknown in Nigeria, President Goodluck Jonathan must fire her; and he must do so immediately.