News

FG Told To Withdraw Helicopter Landing Charges

Published

7 months ago

May 17, 2024.

NUPENG and PENGASSAN demand removal of landing charges on helicopter operators.
Unions criticize Federal Ministry of Aviation for imposing excessive fees amidst economic challenges.
They urge the government to swiftly withdraw its policy to support a business-friendly environment

Petroleum workers, represented by the Nigerian Union of Petroleum and Natural Gas Workers (NUPENG) and the Petroleum and Natural Gas Senior Staff Association of Nigeria (PENGASSAN), are demanding the removal of recently imposed landing charges on helicopter operators.

In a joint statement issued on Thursday by NUPENG’s General Secretary, Afolabi Olawale, and PENGASSAN’s General Secretary, Lumumba Okugbawa, the unions criticized the Federal Ministry of Aviation for imposing excessive fees on helicopter operators amidst the ongoing economic challenges faced by businesses and citizens.

“These new charges, which include a four per cent charge on the gross revenue of helicopter operators, as well as additional levies and taxes, pose a grave threat to the sustainability and viability of the helicopter transport sector that is critical to Nigeria’s oil and gas industry.

Landing Charges

“We recall that a recent memo directed helicopter operators to compulsorily pay for helicopter landing fees at all Nigerian aerodromes helipads, airstrips, floating production storage, and offloading units, floating storage, and offloading units, and other oil platforms to generate more revenue to the Federal Government,” they stated.

The petroleum workers said it was very insensitive at a time when the Federal Government was shopping for investors in the oil and gas industry and muting various incentives to make the industry attractive.

According to the unions, the oil and gas industry is a critical component of Nigeria’s economy, and the helicopter operators serving the sector play a vital role in its success.

“These operators provide essential transportation services, moving personnel and equipment to offshore platforms and remote locations, ensuring the smooth and efficient operation of the industry.

“This unpopular decision has a detrimental impact on the sector, as this incremental cost is going to be passed on to the chartering companies, who will, in turn, transfer the burden to the employees in the sector. We hereby demand the withdrawal of this policy immediately in the overall interest of the country.

“We strongly urge the Ministry of Aviation to immediately withdraw the landing fees on helicopter operators servicing the oil and gas industry. This would not only provide much-needed relief to the sector but also demonstrate your commitment to fostering a business-friendly environment and supporting the growth and development of this crucial industry,” the workers declared.