The aviation sector in Nigeria may be heading for a crisis as aviation workers have threatened to shut down the industry if the federal government does not review its policy of deducting 40 per cent of the Internal Generated Revenue (IGR) of aviation agencies.
This was disclosed by the National Union of Air Transport Employees (NUATE) at its 11th Quadrennial National Delegates’ Conference held in Benin, Edo State on Thursday.
The NUATE President, Ben Nnabue, said that the policy was detrimental to the survival of the aviation agencies, which are already struggling with high operational costs and regulatory challenges.
He appealed to Bola Ahmed Tinubu and the Minister of Finance, Wale Edun, to grant special waivers to the sector agencies to enable them to perform their statutory duties effectively.
He warned that if the policy continues, the aviation agencies would collapse and trigger a major economic crisis in the country.
READ: Imo Police Commissioner Urges Respect for Human Rights
He said: “At the current revenue levels vis-à-vis expenditure levels, and recognising the high level of regulation in the industry, it is impossible for any agencies to sustain its operation under the present yoke of the Act.
“If the deductions continue, it is almost certain that the agencies will collapse, which will spell a heavy crisis for the national economy. Therefore, may I use this medium to appeal to President Bola Tinubu and the Hon. Minister of Finance to stop the double deductions and then grant special waivers to the aviation agencies without which the sector cannot perform their statutory duties. I sincerely hope this appeal will be heeded in the national interest.”