The Federal Government has given reasons why it revoked the Memorandum of Understanding (MoU) it signed with German national carrier, Lufthansa, saying the deal was scorching the nation’s aviation sector but soothing the airline and the German economy.

In the MoU, the airline was to provide platform for the training of pilots, engineers and ground handling personnel, while the carrier enjoys increased frequency on the Lagos-Frankfurt route. But the government said the airline hurriedly swung into action to enjoy increased frquencies, while abandoning the other side of the deal.

This forced the government to terminate the MoU on November 7, 2012, after the government discovered that Lufthansa did not adhere to the terms of the agreement. A source at the Aviation Ministry, who disclosed the development to Daily Sun, said the MoU between the Nigerian government and Lufthansa dates back to May 31, 2002, when a Commercial Agreement between Nigeria Airways Ltd and Lufthansa was signed; whereby the airline would pay 11% per passenger ticket fee as no Nigerian airline was reciprocating.

“On the 10th November, 2008 during the visit of the President of Germany to Nigeria, the Federal Ministry of Aviation (FMA) signed an MoU with Lufthansa with the strategic aim of one, increasing Lofthansa frequencies to daily flight from Frankfurt to Abuja. Two, the airline and other identified Nigerian carriers (where Arik Air was picked) were to use of Abuja as a hub in West Africa with cautious and mutually agreeable cabotage and fifth freedom rights,” the source said. Part of the agreement was for Lufthansa to provide training and employment of Nigerian at management levels, as well as flight attendants on respective flights to and from Nigeria.

Another thing the MoU sought to achieve was to carry out a comprehensive study, by both parties at a mutually acceptable date, on pilot training, aircraft maintenance, ground handling, operations, security, safety and quality management and other fields of cooperation. Daily Sun further gathered that there were two visits to Germany by the Aviation Minister, Fidelia Njeze, the Senior Special Assistant to the President on Aviation, Capt Usman Shehu Iyal SSA and other top government officials to work out modalities for the implementation of the MoU using the above stated as guidelines.

The source at the ministry further said that “the report of the 17th May, 2009 meeting with Aviation Minister of Aviation, Chief Economic Adviser to the President, Capt. S.U. Iyal, with Lufthansa clearly stated that Lufthansa would not pay cash for Commercial Agreement but would rather offer other services (training etc) which Mr. President noted and also Permanent Secretary of the Aviation Ministry directed further action. More so, a training Committee headed by Capt. Adebayo Araba, then Rector of NCAT was given the task to coordinate the training requirements of the Ministry and its Agencies for onward to Lufthansa. Lufthansa was also to work in collaboration with Arik Air to development the Nigerian airline”, he explained.

In all, Lufthansa reportedly took advantage of the extra frequencies granted it without working on the training and maintenance part of the MoU. Following the lopsided implementation of the agreement, the incumbent Aviation Minister, Stella Oduah of requested Mr. President’s approval to revoke the MoU with Lufthansa as the benefits of training, employment, etc have not been done. “ Eventually the MoU was revoked on 7th November, 2012 as the Ministry has not seen any appreciable benefit of the MoU with Lufthansa, the source said.
http://sunnewsonline.com/new/business/why-lufthansa-aviation-ministry-mou-was-revoked-fg/

Nigeria is not a serious country

Den?

So they allowed them to benefit for 10yrs, since 2002 and are now only realizing that the MOU implementation was lopsided?

I think the real story or reason might not be unconnected to: either Lufthansa stopped giving the normal egunje or reduced the egunje or the people collecting the egunje have been replaced and the new replacements are dancing different tuned.

The main point here is, there should be an investigation back to 2002 in order to fish out those who swept this under the carpet and what their motivations were.

It is more likely that some government officials wanted their share of the deal, and Germans, as expected from a decent people, refused.

ask virgin airline.

Why hasn't Mr.Jonathan set up committees and white paper committee and Taskforce?
weak government of the people, for the people, By committees and taskfoces.

And precisely how long did this revocation last?

Talk about sounding triumphalist before kowtowing to another foreign power, in a manner that has become the hallmark of a bumbling administration

Jonathan Averts Diplomatic Row With EU Over Lufthansa

BUT for President Goodluck Jonathan’s last minute diplomatic manoeuvres, Nigeria would have suffered irreparable damage in its relationship with the European Union (EU) and the West.

This is not unconnected with what diplomatic sources say was a move by an infuriated Germany to swing a coalition of support against what it thought was a fundamental breach of diplomatic protocols by Nigeria’s Aviation Ministry.

This was triggered by the ministry when on November 7 this year it allegedly unilaterally terminated a bilateral aviation agreement between Nigeria and Germany.

In a terse letter to the German airline, Lufthansa, the ministry through legal adviser, Bola Odugbesan, had stated that “in accordance with the provisions of Article 5 of the Memorandum of Understanding (MoU) entered into between the Honourable Minister of Aviation of the Federal Republic of Nigeria and Deutsche Lufthansa Aktiengeselischaft (LH) on the 10th day of November 2008, the Honourable Minister of Aviation of the Federal Republic of Nigeria hereby terminates the above mentioned Memorandum of Understanding with immediate effect.”

Diplomatic sources told The Guardian that “the action of the ministry showed absolute lack of experience and knowledge on diplomatic matters of this nature, especially one of this magnitude involving two key regional powers, like Germany and Nigeria.

“The agreement long preceded the current minister’s appointment, as the bilateral agreement came into force under the late President Umaru Musa Yar’Adua.

“The agreement was further re-affirmed during President Goodluck Jonathan’s recent state visit to Germany in April this year.”

To further acknowledge this, Germany’s Foreign Minister, Westerwelle met with Jonathan in Abuja as recent as November 2, this year.

During the visit, the minister, in company of his Nigerian counterpart, Olugbenga Ayodeji Ashiru, also opened the first meeting of the German-Nigeria Bi-national Commission.

According to the sources: “Diplomacy dictates procedures and protocols that must be followed to the letter of existing convention. The ministry displayed inexperience in terminating a bilateral agreement between states without routing it through the appropriate channels, which is the Foreign Affairs ministry.”

It was gathered from the EU offices in Abuja that the tense diplomatic moments lasting up to 72 hours were crucial, while the fiasco lasted.

German Chancellor Angela Merkel was said to have been promptly briefed as soon as the crisis brewed and she set in motion a strategic meeting to enable Germany fashion out an appropriate response.

Part of the option on the table was for Germany to immediately withdraw Lufthansa and other vital resources from Nigeria, including the new supportive measures and resources on anti-terrorism.

Meanwhile, Nigeria’s Ambassador to Germany, Alhaji Abdu Usman Abubakar, was summoned to make clarifications, but his answers barely helped matters, as he was obviously not in the know.

Merkel was said to have contacted Jonathan after Germany had briefed the EU secretariat in Brussels and her key partners in the West, especially the United States (US), Canada, United Kingdom (UK) and France, who were already restive over concerns in Manitoba’s recent experience in the ongoing reforms in the power sector in Nigeria.

Sources further revealed that a direct communication between the two leaders again exposed the fact that Jonathan, Ashiru and Attorney General of the Federation (AGF), Mohammed Adoke, were all in the dark over the ministry’s apparent unilateral action.

Jonathan was said to have calmed the German leader, assuring that the bilateral agreement was still intact.

No sooner had the conversation ended than Jonathan directed the ministry’s directive be reversed through another letter.

The letter has since been written and dispatched, it was learnt during the week.

As at press time, it was not clear whether the German government had accepted the letter, their grouse being that the letter was allegedly not routed through appropriate diplomatic channels.

The Guardian Nigeria

Nigeria a country of jokers...

Dr Muzungu: It is more likely that some government officials wanted their share of the deal, and Germans, as expected from a decent people, refused.

You've hit the nail on the head! End of discussion.

The aviation ministry needs an over hauling starting not from the very bottom.

It is not necessary to route such a decision through the foreign affairs minister. If we say so, then it means that the foreign minister is now the Prime Minister. All in place, if there were findings of inappropriate actions by Lufthansa, Stella had every economic and moral justification to act decisively. GEJ has acted wisely though cos some things need a political touch to get long lasting positive results.

If the EU had withdrawn support for our anti-terror campaign, they (Europa) would have taken sides with the terrorists to undermine GEJ's administration.

settlement don cause trouble for here

Is the said minister still on sit, pls did someone lose his or her job over this..