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NCAA suspends “no pay, no service” directive to airlines

Last updated: May 25, 2026 4:53 pm
55 minutes ago Onoshiorena Obozeghie
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Nigeria Civil Aviation Authority, NCAA official logo

Nigeria Civil Aviation Authority, NCAA has temporarily suspended its “no pay, no service” directive earlier issued to airlines owing statutory charges, following consultations with stakeholders in the aviation sector.

The directive was originally introduced to compel compliance with the remittance of statutory aviation fees, particularly the 5% ticket and cargo sales charge.

This charge is a legally mandated levy under Nigeria’s aviation framework, collected by airlines on behalf of aviation agencies and expected to be remitted to sustain regulatory oversight, safety monitoring, and operational services.

Airlines affected by the directive include “Air Peace Limited, Ibom Air Limited, Arik Air Limited, United Nigeria Airlines, Umza Air, NG Eagle, Max Air Limited, Caverton Helicopters, Overland Airways, Rano Air and ValueJet.”

However, in a Monday statement by the NCAA Director-General, Chris Najomo, the Authority has now suspended enforcement of the directive, citing current economic pressures in the sector, especially the rising cost of aviation fuel and its impact on airline operations.

It clarified that the suspension does not amount to debt forgiveness, noting that operators remain fully responsible for settling all outstanding obligations.

The NCAA further emphasised that statutory charges are not airline revenue but industry-wide funds meant to support safety regulation and aviation infrastructure.

It added that it will continue structured negotiations with airlines to balance enforcement with operational stability, while ensuring full recovery of outstanding payments.

The disputed 5% TSC is collected by the NCAA on behalf of four other agencies and it is shared as NCAA, 56%; Nigerian Airspace Management Agency, NAMA, 22%; Nigerian Meteorological Agency, Nimet, 9% and Nigerian Safety Investigation Bureau, NSIB with 6%.

(Editor: Terverr Tyav)

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