Investors apathy led to suspension of Nigeria Air project – FG

The Federal Government yesterday gave further insights into the circumstances surrounding the suspension of the national carrier project, saying it was due to lack of commitment by investors.

The new national carrier, Nigeria Air, unveiled in July during the Farnborough Airshow in London, was suspended indefinitely last Wednesday.

Minister of Information and Culture, Alhaji Lai Mohammed, told journalists at the Murtala Muhammed Airport (MMA), Lagos yesterday during the official opening of the multimillion dollar state-of-the-art in-flight catering facility, the LSG Sky Chefs in partnership with Things Remembered Nigeria Limited, that the project was suspended because of apathy from investors.

He however said the project has not been cancelled as the government is exploring various options in bringing it back.

Muhammed explained that some of the investors the government had expected to partner with on the project were no longer forthcoming, saying the government didn’t want to be the sole sponsor of the project.

He said: “If the understanding of government at the beginning was that the project might be self-financing or the project would be financed by investors and you think that such a project can no longer be sponsored by investors, either because they are not forthcoming or such venture can no longer be viable, the government is at the discretion to take a decision.

“The position of government in business is to provide the enabling environment and it is not to become the sole source of finance or funding and in addition, there is much more than funding in trying to get our national carrier. So, the Federal Government thinks this thing should be stepped down now until we get a better funding structure.”

Muhammed also stated that the Minister of State for Aviation, Senator Hadi Sirika carried along the government in the entire project.

The Minister hailed the partnership between LSG Sky Chefs, a Lufthansa Group catering subsidiary and Things Remembered, a Nigerian catering entity which gave birth to the ‘Sky Chefs Things Remembered Services FZE’, saying at full capacity the facility would employ over 400 Nigerians, generate foreign exchange for the country and bring about technological transfer.

The facility which is 100 per cent Halal and designed to produce up to 10,000 meals a day and also features a bakery and laundry, comes under the Nigeria Aviation Handling Company (NAHCo) Free Trade Zone.

Chairman, Board of Directors of Things Remembered, Mrs. Adeola Omikunle said the partnership with the Lufthansa catering arm was a turning point in the history of Things Remembered Nigeria Limited which has become a brand name in the airline industry catering for both domestic and foreign airlines.