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New National Carrier In Final Approval Stage -minister - Politics - Nairaland

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New National Carrier In Final Approval Stage -minister by Nobody: 8:16pm On Jan 22, 2013
The Minister of Aviation, Ms. Stella Oduah, on Monday said the new national carrier being planned would start flying in the nation's airspace very soon as the process of establishing it had reached the final stage.

Oduah, who spoke at the opening of the newly built General Aviation Terminal in Abuja, said the establishment of the new national carrier would help to fast-track plans to make Nigeria the air transport hub of the West Africa sub-region.

In a speech made available to our correspondent, the minister said the national carrier and remodelled airport terminals would help elevate the country's aviation sector to become one of the best in the world.

She said, "The national carrier is currently at the final approval stage. There are many stages but we have eventually come to the final one. As soon as we get this final approval, then we are on our way to owning a new national carrier. So, very soon, the new national carrier will be on stream."

Oduah said the proposed national carrier and the new airport terminals being built across the country would help shore up Nigeria's Gross Domestic Product by generating more employment through both the pubic and private sectors of the economy.

Consequently, she said, the government was also working to ensure that the various airport remodelling works going on across the country were delivered on schedule.

The minister said majority of the airports being remodelled would be opened in the coming weeks, especially the Benin Airport, which would be inaugurated next week.

Oduah said the new GAT in Abuja was in line with President Goodluck Jonathan's transformation agenda, adding that more of such terminals would be built across the country.

"Concerning the five new terminals, we hope that they will be ready by December. We are working hard to ensure that we deliver on time. We want to make sure that Nigerians get the same comfort they get in other airports in advanced countries," she said.

The Deputy President of the Senate, Senator Ike Ekweremadu, who inaugurated the Abuja GAT facility, said Nigeria deserved a national carrier and that the minister should expedite the process of establishing it.

In his speech, which was also made available to our correspondent, Ekweremadu said Nigerian travellers should be given airport facilities that were at par with those obtainable in overseas countries.

He said, "The new GAT terminal in Abuja and other remodelling exercise are positive developments in the aviation industry that had long been identified with decaying infrastructure. The terminal will help airlines operators, passengers and private investors.

"I want to appeal to all users of this facility and others that are being remodelled to make proper use of them. It is important that managers of the new terminals should ensure that the facilities are properly and adequately maintained at all times. That is the only way to justify the huge amount spent by government in providing them, apart from encouraging the government to do more for the aviation industry."

source: http://odili.net/news/source/2013/jan/22/824.html
Re: New National Carrier In Final Approval Stage -minister by Nobody: 8:36pm On Jan 22, 2013
You have to give it to the Jonathan government..

It's a government of Action like we've not seen in a long time in this country.

I mean, there are noticeable improvements in Power, Rail, Communication, you name it. The economy is on the upswing. People are making money. Clean money with the power of ideas. The airports are being renovated. The federal roads are being fixed throughout the country, with very little fanfare.

And now, who in their right mind can doubt them when they say they're setting up a befitting national airline for the country?

You'd be absolutely crazy to doubt them, because when they say they'll do something, they generally deliver.

4 Likes

Re: New National Carrier In Final Approval Stage -minister by Bawss1(m): 8:57pm On Jan 22, 2013
Is the new national carrier going to be government funded?
Re: New National Carrier In Final Approval Stage -minister by Nobody: 9:01pm On Jan 22, 2013
Bawss1: Is the new national carrier going to be government funded?

It's going to be a private sector-driven airline. The govt may have some stake in the new airline, but the private sector will have the lion's share.
Re: New National Carrier In Final Approval Stage -minister by Nobody: 9:20pm On Jan 22, 2013
CFCfan:

It's going to be a private sector-driven airline. The govt may have some stake in the new airline, but the private sector will have the lion's share.

So why call it a national carrier? It's like calling Jimoh Ibrahim's airline national carrier. If the FG can not keep lion share of the company while contracting management cost, it is not a national carrier, it nothing but a privately owned entity being given more advantage over others by a corrupt government.

1 Like

Re: New National Carrier In Final Approval Stage -minister by Nobody: 9:27pm On Jan 22, 2013
0lumide:

So why call it a national carrier? It's like calling Jimoh Ibrahim's airline national carrier. If the FG can not keep lion share of the company while contracting management cost, it is not a national carrier, it nothing but a privately owned entity being given more advantage over others by a corrupt government.

I guess it will be given that designation because the govt will grant the new airline the right to fly international flights; just like Arik Air.

Remember Nigeria Airways once existed side by side, with privately-owned airlines; so I don't think the charge of 'preferential treatment' would hold much water.
Re: New National Carrier In Final Approval Stage -minister by OmoTier1(m): 9:46pm On Jan 22, 2013
ROSSIKE: You have to give it to the Jonathan government..

It's a government of Action like we've not seen in a long time in this country.

I mean, there are noticeable improvements in Power, Rail, Communication, you name it. The economy is on the upswing. People are making money. Clean money with the power of ideas. The airports are being renovated. The federal roads are being fixed throughout the country, with very little fanfare.

And now, who in their right mind can doubt them when they say they're setting up a befitting national airline for the country?

You'd be absolutely crazy to doubt them, because when they say they'll do something, they generally deliver.
In as much as I know you are zealous about Nigeria, let me begin by telling you this is the biggest April fool the government is going to play on Nigerians. First I ask, where is the FG going to get the aircrafts to start this national carrier? The reality is that orders books at Boeing, Airbus, the two major players that dominate the Airframe business for long-haul Aircraft is FULL! Did I hear you say LEASE? Yea! That is exactly what Air Arik did with their London bound Aircraft when it started and it nearly crippled Arik Air.

I for one is totally oppose to the idea of National Carrier. The days of National carriers are over! Look around the globe, you highly find industrialized country owning National carriers, simple because that model of air transportation is out dated.

So what should FG do instead of engaging in another waste of a national carrier? Provide CHEAP LOANS to Serious airline business owners and put in place a tight regulatory frame work to ensure they are profitable by not allowing your airspace to be used cheaply by outsiders!
Re: New National Carrier In Final Approval Stage -minister by Nobody: 9:50pm On Jan 22, 2013
CFCfan:

I guess it will be given that designation because the govt will grant the new airline the right to fly international flights; just like Arik Air.

Remember Nigeria Airways once existed side by side, with privately-owned airlines; so I don't think the charge of 'preferential treatment' would hold much water.

Nigerian airways can do many things wrong but since it's owned by the government who make investment and business laws, the government will have to pardon itself and punish the management of the company.

Note that I'm not in support of privatization of any sort in Nigeria. So that is why contracting management responsibilities to a private firm is more proper than selling off the entire company. So if say a public firm messes up, the management company will have to be punished for it.
Re: New National Carrier In Final Approval Stage -minister by OmoTier1(m): 9:51pm On Jan 22, 2013
CFCfan:

It's going to be a private sector-driven airline. The govt may have some stake in the new airline, but the private sector will have the lion's share.
Why can't the government float a group like Emirates and Qataris group backed by Nigeria's oil and gas majors. The group then invest in air transportation, infrastructure, etc. That way, the country will have her flag flown by aircraft owned by the group and Her major Hub will be Lagos for International and Abuja for internal. That anyone connecting with the Airline and flying to outside Nigeria will fly through Lagos, while those connecting internally will fly through Abuja. This is a model that has been operated for years by Emirates Group and the Qataris. Why can't we emulate these models
Re: New National Carrier In Final Approval Stage -minister by Nobody: 9:52pm On Jan 22, 2013
Omo_Tier1:
In as much as I know you are zealous about Nigeria, let me begin by telling you this is the biggest April fool the government is going to play on Nigerians. First I ask, where is the FG going to get the aircrafts to start this national carrier? The reality is that orders books at Boeing, Airbus, the two major players that dominate the Airframe business for long-haul Aircraft is FULL! Did I hear you say LEASE? Yea! That is exactly what Air Arik did with their London bound Aircraft when it started and it nearly crippled Arik Air.

I for one is totally oppose to the idea of National Carrier. The days of National carriers are over! Look around the globe, you highly find industrialized country owning National carriers, simple because that model of air transportation is out dated.

So what should FG do instead of engage in another waste of a national carrier? Provide CHEAP LOANS to Serious airline business owners and put in place a tight regulatory frame work to ensure they are profitable by not allowing your airspace to be used cheaply by outsiders!

Absolutely spot on. But I also believe the govt can own some shares in an airline. For eg, the highly profitable Ethiopian Airways has about 20% of it's shares owned by the Ethiopian govt.
I think what the minister meant by 'establishment' was that the airline would be registered by the CAC; thereafter the airline would send orders to the two major aircraft manufacturers. The first planes might be ready in about 2 years time.
Re: New National Carrier In Final Approval Stage -minister by OmoTier1(m): 9:59pm On Jan 22, 2013
CFCfan:

Absolutely spot on. But I also believe the govt can own some shares in an airline. For eg, the highly profitable Ethiopian Airways has about 20% of it's shares owned by the Ethiopian govt.
I think what the minister meant by 'establishment' was that the airline would be registered by the CAC; thereafter the airline would send orders to the two major aircraft manufacturers. The first planes might be ready in about 2 years time.
The 20% Shares by Ethiopians government is a way of the government have a chance to keep an eye on what goes on in the day to day dealings of the airline. When Ethiopians Airline placed order for B787-8/-9 did you see any government Minister in that signing photo-op? When Boeing delivered Ethiopians Airline's first 787, did you see entourage of government ministers there? That should give you an indication of how the government's 20% shares plays itself out.
Re: New National Carrier In Final Approval Stage -minister by Nobody: 10:03pm On Jan 22, 2013
Omo_Tier1:
Why can't the government float a group like Emirates and Qataris group backed by Nigeria's oil and gas majors. The group then invest in air transportation, infrastructure, etc. That way, the country will have her flag flown by aircraft owned by the group and Her major Hub will be Lagos for International and Abuja for internal. That anyone connecting with the Airline and flying to outside Nigeria will fly through Lagos, while those connecting internally will fly through Abuja. This is a model that has been operated for years by Emirates Group and the Qataris. Why can't we emulate these models


The main argument against a single hub is that Nigeria is more populous that the aforementioned countries combined; therefore, more towns/cities need to benefit from international exposure. The other day, I was reading an online article in which some British residents were complaining about BA's London-centric policy. They argued that the airline should offer more international flights from other British cities. Also, most Nigerian aviation experts prefer the 'American' model of several hubs (New York, Atlanta, Los Angeles, Dallas etc). This system can open up other Nigerian cities to global business, and hence, slow down the massive migration to both Lagos and Abuja. I think Nigerian aviation authorities should continue their policy of opening up cities such as Enugu, Port Harcourt and Kano. The efforts of both Akwa Ibom and Delta states, in setting up airports, are also commendable.
Re: New National Carrier In Final Approval Stage -minister by Nobody: 10:05pm On Jan 22, 2013
And it will end up like OBJ destroyed Nigerian Airways?
Ok o
What has the government ever gotten right?
They won't see me there
Re: New National Carrier In Final Approval Stage -minister by Nobody: 10:06pm On Jan 22, 2013
Omo_Tier1:
The 20% Shares by Ethiopians government is a way of the government have a chance to keep an eye on what goes on in the day to day dealings of the airline. When Ethiopians Airline placed order for B787-8/-9 did you see any government Minister in that signing photo-op? When Boeing delivered Ethiopians Airline's first 787, did you see entourage of government ministers there? That should give you an indication of how the government's 20% shares plays itself out.

I agree. The govt shouldn't be and wouldn't be involved in the day to day running of the airline. The FG's announcement might just be a way to invite SERIOUS aviation-minded businesspeople to help start up the new airline.
Re: New National Carrier In Final Approval Stage -minister by OmoTier1(m): 10:16pm On Jan 22, 2013
CFCfan:

The main argument against a single hub is that Nigeria is more populous that the aforementioned countries combined; therefore, more towns/cities need to benefit from international exposure. The other day, I was reading an online article in which some British residents were complaining about BA's London-centric policy. They argued that the airline should offer more international flights from other British cities. Also, most Nigerian aviation experts prefer the 'American' model of several hubs (New York, Atlanta, Los Angeles, Dallas etc). This system can open up other Nigerian cities to global business, and hence, slow down the massive migration to both Lagos and Abuja. I think Nigerian aviation authorities should continue their policy of opening up cities such as Enugu, Port Harcourt and Kano. The efforts of both Akwa Ibom and Delta states, in setting up airports, are also commendable.
The reason the American System would not work with a single hub is partly due to her regional time difference. The idea of a major or very few hub in your country is to try and promote home country airliners who fly within the country. Also you get to trap some foreign exchange within your country by international or cross continents flyers. Take for example, if you were going to fly to Enugu from Paris, you book a trip with Fly Nigeria to Enugu but you will have to change over to local connection flight of Fly Nigeria in Lagos. By so doing, you will be bringing the foreign cash to pay for your air transportation within Nigeria. Another reason is Code-share, which basically allows local airliners to partner with global giants, and over the years, they learn the trade of international air transportation and they too will begin to fly to regional hubs and offer greater connectivity.
Re: New National Carrier In Final Approval Stage -minister by manny4life(m): 10:18pm On Jan 22, 2013
Omo_Tier1:
In as much as I know you are zealous about Nigeria, let me begin by telling you this is the biggest April fool the government is going to play on Nigerians. First I ask, where is the FG going to get the aircrafts to start this national carrier? The reality is that orders books at Boeing, Airbus, the two major players that dominate the Airframe business for long-haul Aircraft is FULL! Did I hear you say LEASE? Yea! That is exactly what Air Arik did with their London bound Aircraft when it started and it nearly crippled Arik Air.

I for one is totally oppose to the idea of National Carrier. The days of National carriers are over! Look around the globe, you highly find industrialized country owning National carriers, simple because that model of air transportation is out dated.

So what should FG do instead of engaging in another waste of a national carrier? Provide CHEAP LOANS to Serious airline business owners and put in place a tight regulatory frame work to ensure they are profitable by not allowing your airspace to be used cheaply by outsiders!


First off, I do agree with you that the govt should have no business operating airlines, however, unless if it's based on minor equity in the company like Ethiopian, then its all good.

Secondly, leasing is a very sound option to buying, so I do not necessarily agree with you on these. That Arik air did not survey and research their route doesn't mean that routes isn't profitable for others. Nigeria, if serious can provide their own (crew and maintenance), while the lessor builds in the insurance and aircraft as part of the block hours.

On the issue of Arik, several forces including GREED where working against them - their tickets were overly expensive (given the fact that Nigerian taxes are crippling), I also heard they operated flights directly from ABJ to LHR with only 10 people on board. How do you expect to break even on this flight?


As for your other line of thoughts, I absolutely agree with you on those.
Re: New National Carrier In Final Approval Stage -minister by manny4life(m): 10:21pm On Jan 22, 2013
Omo_Tier1:
The reason the American System would not work with a single hub is partly due to her regional time difference. The idea of a major or very few hub in your country is to try and promote home country airliners who fly within the country. Also you get to trap some foreign exchange within your country by international or cross continents flyers. Take for example, if you were going to fly to Enugu from Paris, you book a trip with Fly Nigeria to Enugu but you will have to change over to local connection flight of Fly Nigeria in Lagos. By so doing, you will be bring the foreign cash to pay for your air transportation within Nigeria. Another reason is Code-share, which basically allows local airliners to partner with global giants, and over the years, the learn the trade of international air transportation and they too will begin to fly to regional hubs and offer greater connectivity.


I think you're saying exactly what he's saying.
Re: New National Carrier In Final Approval Stage -minister by OmoTier1(m): 10:25pm On Jan 22, 2013
manny4life:


First off, I do agree with you that the govt should have no business operating airlines, however, unless if it's based on minor equity in the company like Ethiopian, then its all good.

Secondly, leasing is a very sound option to buying, so I do not necessarily agree with you on these. That Arik air did not survey and research their route doesn't mean that routes isn't profitable for others. Nigeria, if serious can provide their own (crew and maintenance), while the lessor builds in the insurance and aircraft as part of the block hours.

On the issue of Arik, several forces including GREED where working against them - their tickets were overly expensive (given the fact that Nigerian taxes are crippling), I also heard they operated flights directly from ABJ to LHR with only 10 people on board. How do you expect to break even on this flight?


As for your other line of thoughts, I absolutely agree with you on those.
I hope you know that most of the leasing companies, ILFC etc they no longer offer just Aircraft, they attach to it several requirements. For example, half of the crew flying their aircraft will be their flight crew, and FG will pay a package fee for and the leasing firm will end up paying the crew by the hour. Also, how will you feel when you fly a Nigeria Carrier and more than half of your crew are foreigners earning their salary in Dollars and getting taxed by a foreign government out of the taxes paid by Nigerians? Also, insurance premiums for leased Aircraft to Nigerian operator is current very high due to the level of insecurity in the country.

Like I said previously, the air transportation model of a national carrier is out dated and has no place in modern air transportation.
Re: New National Carrier In Final Approval Stage -minister by Nobody: 10:28pm On Jan 22, 2013
@Op..,I think you should appropriately title this thread by using a title that highlights the aspect of commissioning of another re-constructed airport terminal. The current title appears as if this is an ordinary news report or mere political statement.

I recall the 'Eko oni ba je' cabal popping champagne over inspection of uncompleted projects the other day. They also found away to push that report to the front page.

The commissioning of a project that cost the FG something close to N1billion should be given its proper place

2 Likes

Re: New National Carrier In Final Approval Stage -minister by OmoTier1(m): 10:36pm On Jan 22, 2013
Sincere 9gerian: @Op..,I think you should appropriately title this thread by using a title that highlights the commissioning of another re-constructed airport terminal aspect. The current title appears as if this it is an ordinary news report or mere political statement.

I recall the 'Eko oni ba je' cabal popping champagne over inspection of uncompleted projects the other day. They also found away to push that report to the front page.

The commissioning of a project that cost the FG something close to N1billion should be given its proper place
If you were not a classed animal, you would know that spending N1billion on a Private jet terminal and calling for celebration is definition of insanity! If you do not know, the fact that the government is still constructing airport terminals underscores the level of backwardness of the FG's developmental policy.

FYI, Heathrow T5 which gulped over £5.7bn was financed by private investors through government backing.

2 Likes

Re: New National Carrier In Final Approval Stage -minister by Nobody: 10:36pm On Jan 22, 2013
Sincere 9gerian: @Op..,I think you should appropriately title this thread by using a title that highlights the aspect of commissioning of another re-constructed airport terminal. The current title appears as if this it is an ordinary news report or mere political statement.

I recall the 'Eko oni ba je' cabal popping champagne over inspection of uncompleted projects the other day. They also found away to push that report to the front page.

The commissioning of a project that cost the FG something close to N1billion should be given its proper place

There is another thread that talks about the commissioning of the new Nnamdi Azikiwe Airport GAT terminal.
Re: New National Carrier In Final Approval Stage -minister by manny4life(m): 10:37pm On Jan 22, 2013
Omo_Tier1:
I hope you know that most of the leasing companies, ILFC etc they no longer offer just Aircraft, they attach to it several requirements. For example, half of the crew flying their aircraft will be their flight crew, and FG will pay a package fee for and the leasing firm will end up paying the crew by the hour. Also, how will you feel when you fly a Nigeria Carrier and more than half of your crew are foreigners earning their salary in Dollars and getting taxed by a foreign government out of the taxes paid by Nigerians? Also, insurance premiums for leased Aircraft to Nigerian operator is current very high due to the level of insecurity in the country.

Like I said previously, the air transportation model of a national carrier is out dated and has no place in modern air transportation.

That's the idea, whether their crew or not, it doesn't really matter. The cost will be just about the same. ILFC may attach their crew under ACMI but it doesn't mean they don't offer Dry lease as well. If the Crew is under the contractual lease, obligated by the lessor to pay their wages, FG is only responsible for their daily per diem and housing, literally.

How I feel isn't the issue nor should it be the passengers, but at the end of the day, it all boils down to what's negotiated should that become a problem. As for their earnings, like I said, if the lessor is obligated to pay their wage under that particular lease term, FG has no business how they get paid - dollars, euros, naira or whatever, don't matter .

As for insurance premiums, I'm not so sure how that works, but Nigeria has come a VERY LONG WAY in their navigational and aviation infrastructures. Depending on the negotiation, for instance "airplane will fly LHR-LOS-ABJ and vice versa. These airports are ICAO certified and meet requirements to handle the aircraft. Nigeria is not a nation at civil war, so therefore, insurance premiums won't be exhortation unlike if it was Mali or Somalia.

Look man, I do not endorse the "national carrier model", however my point is, should they decide to be equitable owners as well, leasing sounds better than undertaking a huge financial obligation. Lease works best to test the market because airplanes are not easy to dispose of, financially.
Re: New National Carrier In Final Approval Stage -minister by OmoTier1(m): 10:46pm On Jan 22, 2013
manny4life:

That's the idea, whether their crew or not, it doesn't really matter. The cost will be just about the same. ILFC may attach their crew under ACMI but it doesn't mean they don't offer Dry lease as well. If the Crew is under the contractual lease, obligated by the lessor to pay their wages, FG is only responsible for their daily per diem and housing, literally.

How I feel isn't the issue nor should it be the passengers, but at the end of the day, it all boils down to what's negotiated should that become a problem. As for their earnings, like I said, if the lessor is obligated to pay their wage under that particular lease term, FG has no business how they get paid - dollars, euros, naira or whatever, don't matter .

As for insurance premiums, I'm not so sure how that works, but Nigeria has come a VERY LONG WAY in their navigational and aviation infrastructures. Depending on the negotiation, for instance "airplane will fly LHR-LOS-ABJ and vice versa. These airports are ICAO certified and meet requirements to handle the aircraft. Nigeria is not a nation at civil war, so therefore, insurance premiums won't be exhortation unlike if it was Mali or Somalia.

Look man, I do not endorse the "national carrier model", however my point is, should they decide to be equitable owners as well, leasing sounds better than undertaking a huge financial obligation. Lease works best to test the market because airplanes are not easy to dispose of, financially.
Fair point, however, what is wrong in FG buying percentage shares in those airlines that have survived the difficult terrain so far in the country? Arik Air has an international image and foot print abroad already, why can't FG set up a group who will then buy stakes in these airlines? Arik Air already have 25 aircrafts and have already placed order for B787 and other aircrafts yet to be delivered. With those you can begin to build network of flights, and create a hub in Lagos and Abuja.

Put aggressive plan in place to dominate the Africa skies within 5 years of continuous operations like Emirates did with Middle-East.
Re: New National Carrier In Final Approval Stage -minister by Nobody: 10:49pm On Jan 22, 2013
Omo_Tier1:
If you were not a classed animal, you would know that spending N1billion on a Private jet terminal and calling for celebration is definition of insanity! If you do not know, the fact that the government is still constructing airport terminals underscores the level of backwardness of the FG's developmental policy.

FYI, Heathrow T5 which gulped over £5.7bn was financed by private investors through government backing.

Just like the Lagos state govt and its private sector partners have been constructing the Lagos light rail system for over 13yrs now.
Re: New National Carrier In Final Approval Stage -minister by Nobody: 10:49pm On Jan 22, 2013
Omo_Tier1:
Fair point, however, what is wrong in FG buying percentage shares in those airlines that have survived the difficult terrain so far in the country? Arik Air has an international image and foot print abroad already, why can't FG set up a group who will then buy stakes in these airlines? Arik Air already have 25 aircrafts and have already placed order for B787 and other aircrafts yet to be delivered. With those you can begin to build network of flights, and create a hub in Lagos and Abuja.

Put aggressive plan in place to dominate the Africa skies within 5 years of continuous operations like Emirates did with Middle-East.

I love this proposal! We don't know yet if Arik will be part of the group that will form the new airline. If Aero and Arik can merge, coupled with other businessmen and the govt contributing their own capital, this new national carrier could dominate the African skies in the near future.
Re: New National Carrier In Final Approval Stage -minister by manny4life(m): 10:53pm On Jan 22, 2013
Omo_Tier1:
Fair point, however, what is wrong in FG buying percentage shares in those airlines that have survived the difficult terrain so far in the country? Arik Air has an international image and foot print abroad already, why can't FG set up a group who will then buy stakes in these airlines? Arik Air already have 25 aircrafts and have already placed order for B787 and other aircrafts yet to be delivered. With those you can begin to build network of flights, and create a hub in Lagos and Abuja.

Put aggressive plan in place to dominate the Africa skies within 5 years of continuous operations like Emirates did with Middle-East.

You do have a valid point in investing in companies with a solid footprint, nonetheless, Arik does not have a good reputation - customer wise and like I heard, financially, though I may be wrong. Like I said, it's all hearsay. I think what the govt need is implement aggressive plan, but no investor will gamble his money IF the govt want to keep theirs. I think that's what's going on here.

I tell you, if I won the mega millions here, and it's at least $10million, I'm coming to Nigeria. grin grin grin grin grin grin grin
Re: New National Carrier In Final Approval Stage -minister by Nobody: 10:56pm On Jan 22, 2013
CFCfan:

There is another thread that talks about the commissioning of the new Nnamdi Azikiwe Airport GAT terminal.
Ok.
Re: New National Carrier In Final Approval Stage -minister by Nobody: 10:57pm On Jan 22, 2013
manny4life:

You do have a valid point in investing in companies with a solid footprint, nonetheless, Arik does not have a good reputation - customer wise and like I heard, financially, though I may be wrong. Like I said, it's all hearsay. I think what the govt need is implement aggressive plan, but no investor will gamble his money IF the govt want to keep theirs. I think that's what's going on here.

I tell you, if I won the mega millions here, and it's at least $10million, I'm coming to Nigeria. grin grin grin grin grin grin grin

You know that they (Arik) can always 'rebrand' or change their name i.e. Bellview-First Nation Airways grin

Anyway, I don't see the reason why an investor would decline to invest in an airline if govt has some shares. The investor(s) should see it as an asset, since govt participation can guarantee cheap loans in the international market.
Re: New National Carrier In Final Approval Stage -minister by OmoTier1(m): 10:59pm On Jan 22, 2013
manny4life:

You do have a valid point in investing in companies with a solid footprint, nonetheless, Arik does not have a good reputation - customer wise and like I heard, financially, though I may be wrong. Like I said, it's all hearsay. I think what the govt need is implement aggressive plan, but no investor will gamble his money IF the govt want to keep theirs. I think that's what's going on here.

I tell you, if I won the mega millions here, and it's at least $10million, I'm coming to Nigeria. grin grin grin grin grin grin grin
Start with a Piper Cherokee for Hub to Hub from Lagos to P/H, stick to it like RyanAir and by 2020, you will be the darling of Nigeria Aviation. Mind you, $10m won't but you one Airbus A320. The latest Airbus list price is well over $60m wink
Re: New National Carrier In Final Approval Stage -minister by manny4life(m): 11:05pm On Jan 22, 2013
Omo_Tier1:
Start with a Piper Cherokee for Hub to Hub from Lagos to P/H, stick to it like RyanAir and by 2020, you will be the darling of Nigeria Aviation. Mind you, $10m won't but you one Airbus A320. The latest Airbus list price is well over $60m wink

Bros, I'm already drafting my Business plan... Ive made my mind up, going with the Pilatus PC-12NG grin grin grin

Ah the $10million isn't to buy new aircraft, it's just to lease one or two...

CFCfan:

You know that they (Arik) can always 'rebrand' or change their name i.e. Bellview-First Nation Airways grin

Anyway, I don't see the reason why an investor would decline to invest in an airline if govt has some shares. The investor(s) should see it as an asset, since govt participation can guarantee cheap loans in the international market.

Well, they should rebrand while they're at it...

Look at an investors POV, will you put money into a project that you're not certain of? Well, now the FG is committing to it, investors will feel a lil comfortable doing so. I like the way govt is participating, what I don't like is the approach. Like OMO-TIER suggested, govt making subsidized loans to reall serious investors is ideal and implementing a strict regulatory framework to support it.
Re: New National Carrier In Final Approval Stage -minister by Nobody: 11:05pm On Jan 22, 2013
Another reason to have a strong Nigerian carrier is to get a more equitable share of traffic between Nigeria and the outside world. For eg it is mind-boggling that both BA and Virgin Atlantic account for 90% of the passengers on the Lagos/Abuja to London routes. Furthermore, African airlines combined, account for only 30% of passenger numbers on flights to and from Africa.
Re: New National Carrier In Final Approval Stage -minister by manny4life(m): 11:09pm On Jan 22, 2013
CFCfan: Another reason to have a strong Nigerian carrier is to get a more equitable share of traffic between Nigeria and the outside world. For eg it is mind-boggling that both BA and Virgin Atlantic account for 90% of the passengers on the Lagos/Abuja to London routes. Furthermore, African airlines combined, account for only 30% of passenger numbers on flights to and from Africa.


You can never compete with them on LHR routes, because they have strong govt influence, that's why the FG is playing a good role now. However, our policies (esp taxes) are killing us. African flights account for that because of our GREED + Put down syndrome. BA will sell 30% of what Arik sells for same route, who do you think will have more market share? Meanwhile, when you fly Arik, more likely than not, you're not welcomed as a distinguished passenger,in fact you don't even enjoy the flight... Like you said, there's nothing re-branding can't do

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