Matters Arising from Automation of Remittances
LLast week the Nigerian Civil Aviation Authority (NCAA) gave final ultimatum to airlines to automate their remittances of the statutory 5 percent Ticket Sales/Cargo Sales Charge Thesearecompulsorychargeslevelledonbothlocal and international airlines by NCAA as enshrined Tuesdaythatthedebtsowedtheagencybydomestic stipulated that the Authority should be financially are known as 5 percent ticket charge instead of obviously make the body kow-tow to the whims whereby airlines would have to automatically remit these charges as revenues from tickets and cargo sales are credited to their accounts in order to forestall the continued indebtedness to money so remitted are actually paid by passengers; - tion was introduced for domestic airlines and it The initial deadline for the automation was January The NCAA said in a statement last week that “with that all airlines that are yet to adhere to the automation and remit collected revenue to NCAA viewed seriously as the Authority will be forced to invoke the necessary provisions of the law against thepenaltyagainstairlinesthathavenotautomated Airline Operators of Nigeria (AON) kicked against only Aero Contractors that has fully complied with - He said that the airlines have refused to comply with process has to be suspended until the parameters that constitute the 5 percent ticket and cargo sales “AONhasnoproblemwiththeAuthoritygoingahead to automate the collection and remittance of the on what constitutes the 5 per cent ticket and cargo on base fare (that is the fare before other charges are added to the ticket) in compliance with industry practice and as currently applicable to international “AON members are currently remitting the 5 percent TSC charges and it is on record that NCAA introduced financial clearance process for services over the last airport infrastructure and service level continue to deteriorate across all facets of the industry under He accused the NCAA of playing double standard and adding why the NCAA called for the immedi issues concerning the cost of integration into the He alleged that while domestic airlines are charged chargedontheirbasefares(NCAAsaidforeignairlines “This is wrong and discriminatory and also against the International Civil Aviation Organisation (ICAO) to incorporate the four key charging principles of non “It is apparent that NCAA is preying on domestic has reduced the lifespan of Nigerian airlines and has
He said the NCAA is weak and has refused to - effectively carrying out their responsibilities in terms - inflictingunauthorisedandillegalbillingcontrarytothe focus their energy on being an enabler and to foster growth in the Nigerian aviation industry in line with - highest international standards and the sustainable -