The Nigeria Civil Aviation Authority (NCAA) has placed 11 domestic airlines on its updated “No-Pay-No-Service” list.
This recent development by the NCAA means these airlines owe some dues and won’t get essential services from the NCAA until they clear their outstanding statutory charges.
The major job of the NCAA as a regulator is to make sure planes are safe, pilots are trained, and airports run smoothly. 
Many of the affected airlines include big names, which would make anybody wonder why they are owing. What happens to the ticket fees paid by customers?
The Nigerian Airlines Suspended by NCAA
An internal memo by the agency’s Director of Finance and Accounts, Olufemi Odukoya, stated that all departments are to withhold regulatory and administrative services from the affected operators until they clear their outstanding debts or agree on repayment plans.
The Airlines Included
- Air Peace Limited
- Ibom Air Limited
- Arik Air Limited
- United Nigeria Airlines
- Max Air Limited
- NG Eagle
- ValueJet
- Umza Air
- Caverton Helicopters
- Overland Airways
- Rano Air.
According to an internal NCAA memo dated May 22, all directorates have been directed to suspend the regulator’s services to these carriers.
SEE ALSO: Why Are the World’s Biggest Airlines Canceling Flights?
What are the Fees About?
When you buy a plane ticket, the airline collects an extra 5% and gives it to the NCAA. It is called the ‘Ticket Sales Charge’, which is the major fee.
When the NCAA receives the payment, it disburses other agencies like NAMA, NIMET, NCAT, and AIB. This money helps pay for air navigation, methodology, training and accident navigation, respectively.
They also pay for licensing and permits, which can run into millions of naira depending on if they do international or domestic flights.
Based on the weight and type of aircraft, airlines are charged for registration, certification, and maintenance approvals.
Another fee is the sundry fees, which covers inspections, variations to licences, flight clearances, training approvals, and more.
If you travel by air frequently, this recent update by the NCAA could mean you are going to have delayed flights, higher ticket prices, or last-minute changes to your travel plans.
Major players like Air Peace and Ibom Air on the list have many Nigerians wondering how this will affect domestic routes in the coming days. Some social media users fear it signals deeper problems across the sector, while others hope for quick resolutions because these matters are sometimes settled fast.
This announcement by the NCAA comes in the midst of tough times for the airline industry hit by escalating fuel costs, other financial pressures and economic challenges.
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