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Wednesday, November 20, 2024

INTERVIEW WITH MR. OLUMIDE OHUNAYO ON NIGERIA’S BILATERAL AIR SERVICE AGREEMENT WITH THE UAE

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Background on BASA and UAE Relations: Mr. Olumide Ohunayo, General Secretary of the Aviation Safety Roundtable Initiative (ASRTI), sheds light on the complexities surrounding Nigeria’s Bilateral Air Service Agreement (BASA) with the United Arab Emirates (UAE). He emphasizes the importance of reciprocity in international aviation agreements, highlighting past challenges that have hindered Nigerian airlines’ operations in the UAE.

“We need to be cautious as appropriate blocks are being laid. The UAE has shown to be a predator whenever the reciprocity clause is activated,” Ohunayo notes, referencing the difficulties faced by Nigerian airline Air Peace in securing flight slots in Dubai. He recalls how Air Peace was initially restricted to the less favorable Sharjah airport before gaining access to Dubai following intervention from Nigeria’s former Minister of Aviation, Hadi Sirika.

Current Aviation Landscape: Ohunayo believes that the current Minister of Aviation and Aerospace Development, Mr. Festus Keyamo, is using lessons learned from past experiences to navigate the aeropolitics of the situation. The minister has reportedly cleared potential hurdles related to slots, setting the stage for a more balanced relationship between Nigerian airlines and their UAE counterparts.

Challenges for Nigerian Airlines: He identifies the stringent visa policies of the UAE as a significant barrier preventing Nigerian airlines from establishing direct flights. “The visa policies in place now are so stringent for visiting Dubai, and that will not encourage travel,” he explains, noting that this has led to a decline in interest from Nigerian airlines to operate on UAE routes. The need for partnerships with local airlines in the UAE is also emphasized to ensure passenger flow beyond Dubai.

Comparative Analysis: Discussing the competition faced by Nigerian airlines, Ohunayo points out that foreign airlines like Emirates benefit from a hub-and-spoke system that allows them to dominate international flights. He stresses the importance of improving Nigeria’s airport infrastructure and investing in domestic airlines to compete effectively on the global stage.

On Emirates’ Flight Suspension: The suspension of Emirates flights to Nigeria had significant repercussions, resulting in a decrease in international flight options and increased fares. “Their withdrawal contributed to the high fares on international flights, and everybody in the aviation eco-chain felt the pain of their departure,” he notes.

Emirates’ Return and Code-share Agreements: Ohunayo welcomes Emirates’ return to Nigeria and the potential for code-share agreements but warns against complacency. He emphasizes that such agreements should be mutually beneficial and not predatory, pointing out that similar agreements in the past did not yield noticeable benefits for Nigerian airlines. He believes that real investment from foreign airlines in Nigeria’s aviation ecosystem is essential for growth.

Long-term Strategy for Nigerian Aviation: Ohunayo underscores the need for Nigeria to take gradual steps towards building a strong aviation industry. He praises the efforts of airlines like Ibom Air and Overland and suggests that cooperation and consolidation among domestic airlines will be critical in competing internationally.

Asset Management Corporation of Nigeria (AMCON) and Airline Management: He expresses concern over AMCON’s management of Arik and Aero airlines as separate entities, suggesting they should be consolidated to allow for more efficient operation and growth while ownership issues are resolved.

Cooperation and Market Dynamics: Ohunayo advocates for cooperation among Nigerian airlines to challenge foreign carriers effectively. He supports Air Peace’s ambitions to secure slots at Heathrow, arguing for the need to respect their professional judgment and business strategy.

In summary, Mr. Olumide Ohunayo calls for strategic cooperation, infrastructure improvement, and gradual growth in the Nigerian aviation sector. He believes that by learning from past experiences and fostering international partnerships, Nigeria can enhance its position in the global aviation landscape.

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