Richard Aisuebeogun, Chairman of Avialog, emphasized that route development and revenue optimization are vital for the sustainability of state airports. At the Airport Business Summit Expo, Aisuebeogun stressed effective strategies essential for enhancing airport connectivity and logistics across Nigeria.
Aisuebeogun argued that building airports in nearly all states aims to boost connectivity and streamline logistics for passengers and cargo. “The goal of having airports in nearly all 36 states is to enhance connectivity and logistical inclusion for passengers and cargo. However, the success of this national ambition will depend on the airports’ economic sustainability and usability.” He stated
Despite this ambition, critics argue that the rush to build airports may focus more on political gains than sound economics. “Critics often argue that the rush to build airports in every state may be more about political gains than sound economics,” Aisuebeogun said.
Furthermore, he highlighted that the Federal Government, through the Aviation Ministry, has launched programs for both short-term and long-term prosperity.
Aisuebeogun emphasized that successful airport development requires innovation and creativity. “Moreover, effective route development and revenue optimization are essential from planning through operations, demanding innovation and creativity from all involved,” he added.
He also pointed out that, despite Nigeria’s economic challenges and policy shortcomings, the aviation sector has significant growth potential. “Despite these challenges, the country has a significant opportunity to advance its aviation sector,” he said. “Furthermore, the aviation industry will play a critical role in Nigeria’s economic recovery,” Aisuebeogun stressed.
Addressing funding issues, Aisuebeogun stated, “Airports need substantial investment to set up and recurring funding to upgrade. Therefore, our airports must be well funded while we ensure that managers meet their obligations.”
He warned that handing over new, unviable airports to FAAN without proper funding and policy support could create significant issues. “Therefore, we must address the impact of transferring new, unviable airports to FAAN without adequate funding and sustainability policies.” Aisuebeogun said.
Additionally, he commended Minister Festus Keyamo SAN for addressing these concerns by revising the revenue deduction policy. Notably, the 50% deduction from IGR has now been revised to 20%.
