The Nigerian Civil Aviation Authority (NCAA) has temporarily suspended the enforcement of its “no-pay-no-service” directive against airlines with outstanding statutory remittances.

In a statement on Sunday, Chris Najomo, director-general (DG) of the NCAA, said the decision followed a review of current operating realities in the sector, particularly the rising cost of aviation fuel and its impact on airline operations and overall industry stability.

However, the DG clarified that the suspension does not represent a cancellation, waiver, or forgiveness of the affected airlines’ outstanding obligations.

The affected domestic carriers, which had previously been placed on a sanction list for unpaid obligations, remain fully responsible for settling their statutory dues.

The NCAA intends to continue structured discussions with operators to establish viable repayment plans, thereby allowing flight operations and essential passenger services to proceed without undue disruption.

A significant factor contributing to this temporary reprieve is President Bola Tinubu’s earlier approval of a 30 per cent reduction on outstanding fees owed by domestic airlines to various aviation agencies.

This crucial relief package, as highlighted by the Honourable Minister of Aviation and Aerospace Development, is part of broader federal government efforts explicitly designed to cushion the impact of high fuel costs, stabilize the aviation industry, and diligently safeguard airline operations across the nation.

The NCAA further elucidated the nature of the five per cent Ticket and Cargo Sales Charge, describing it as a statutory levy firmly mandated by Nigeria’s Civil Aviation Act.

This charge, Najomo emphasized, is diligently collected by airlines during ticket and cargo sales strictly on behalf of the aviation sector and should not, under any circumstances, be considered part of an airline's operating profit or revenue.

The funds generated from this charge are inherently crucial, as they are systematically distributed among various aviation agencies and service providers primarily responsible for safety oversight and critical regulatory functions within the industry.

The NCAA itself operates primarily on a cost-recovery basis, depending heavily on these essential remittances to fund its daily operations and maintain indispensable safety and regulatory oversight, as it does not receive direct federal government funding for routine activities.

Airlines previously identified as being subject to the “no pay, no service” directive included prominent domestic operators such as Air Peace, Ibom Air, Arik Air, United Nigeria Airlines, Max Air,ValueJet, Overland Airways, and Caverton Helicopters, among others.

The temporary suspension is strategically aimed at ensuring the smooth and uninterrupted functioning of the sector while ongoing dialogue facilitates the structured settlement of these outstanding debts, thereby meticulously balancing strict regulatory compliance with the imperative of maintaining overarching operational stability.

The NCAA reiterated its unwavering commitment to recovering all outstanding debts while simultaneously implementing sustainable solutions that robustly support both rigorous enforcement and the long-term viability of domestic airline operations.