ministry of aviation
DESCRIPTION
Ministerial PlatformTRANSCRIPT
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Ministerial Press Briefing – 365 Days of Aviation Sector
Transformation
By
Princess Stella Adaeze Oduah, OON Hon. Minister of Aviation Monday, 21st May, 2012
Federal Ministry of Aviation
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Table of Contents Section 1: Background
Section 2: Ministerial Vision
Section 3: Implementing Our Strategy
Section 4: Achievements Till Date
Section 5: Coming Soon : New Transformation Faces
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BACKGROUND
Section 1
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Background
Protocol • At the inception of this administration in May 2011, a comprehensive
systems audit revealed that there were gross infrastructural deficiencies within the aviation sector.
• The airports were in a state that could neither sustain rapid economic development nor take advantage of the market potentials within Nigeria and the West African sub-region. The most significant of the deficiencies include: Decaying\ ageing infrastructure, obsolete equipment and Terminal Buildings built in the
1970’s (Control Towers, Central Air Conditioning Systems, Conveyor Belts) , etc.
Inefficient airport facilitation ( long wait-times check-in, security screening and baggage pick up)
Inadequate safety, security and surveillance equipment
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Back Ground (Cont’d) Challenges of the Aviation Sector
Financial leakages in the Agencies
Absence of effective revenue recognition and collection procedures
High debt profile of airlines operators
Rising price and scarcity of Jet A1- Aviation Fuel
High cost of funds and shrinking capital market
Inadequate human capital development\ capacity building of aviation
experts
Ageing and bloated Work – Force within the Agencies
Contentious , and often inconsistent concession agreements
Bilateral Air Services Agreements (BASA)
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PICTORAL SNIPPETS OF THE STATE OF TERMINALS BEFORE TRANSFORMATION
PICTORAL SNIPPETS OF AIRPORTS BEFORE TRANSFORMATION
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MMA General Aviation Terminal- front view
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MMA General Aviation Terminal- departure lounge
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MMA General Aviation Terminal- toilet
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Benin Airport departure lounge
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Enugu Airport public toilet
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MINISTERIAL VISION
Section 2
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Developing Our Strategy: Stakeholder Engagement Approach
Our stakeholder engagement approach included: Discussions with domestic and foreign airline operators
Forums with international agencies and regulatory bodies (eg. ICAO, IATA, TSA, SITA, ) to ensure our strategic approach is in line with international best practices
Consultative sessions and dialogues with funding institutions and financial advisory firms (e.g World Bank, AFC, IFC, USEXIM)
Held dialogues with related Intergovernmental agencies (CBN, Ministry of Finance, BPP, DMO)
Meetings with Unions and key aviation bodies
Interactive discussions with Stakeholders
Interactive discussions with airport operators
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Developing Our Strategy (Cont’d)
Vision & Mission
We have evolved a new Vision and Mission to reposition the aviation sector to play a pivotal role in the economic development of Nigeria. The revised Vision and Mission are:
VISION
MISSION
To be a world class provider of safe, secure and comfortable air transport sector that is self sustaining and pivotal to socio-economic growth.
To transform the aviation industry into an efficient, profitable, self sustaining, effective and a preferred mode of transportation
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Aviation Sector Road Map:
• With the advent of Mr. President’s transformation agenda , the Aviation
sector is being repositioned to be pivotal to growth of key economic
sectors (including travel and tourism, agriculture, rural development,
trade and commerce, manufacturing and other non-oil sectors), which
are critical to economic transformation of any nation. Indeed, the value
chain creation by aviation is enormous.
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Developing Our Strategy (Cont’d)
• The Aviation Road map as well as the implementation framework
have been developed to confront the sector’s numerous challenges
with a view to providing a safe, secure, profitable and self-
sustaining world class industry with a distinct airport experience
for airport users.
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Developing Our Strategy: Aviation Sector Road Map • The FMA remains committed to making air transportation the
preferred and safest means of transportation, creating a self-sustaining business model and driving socio-economic growth in Nigeria.
AIR
TRANSPORTATION
SUSTAINABILITY
SOCIO-
ECONOMIC
DEVELOPMENT
Develop Lagos and FCT(Abuja) as regional hubs in-line with international standards and best practices Develop requisite capacity and manpower to meet the needs in
the aviation industry for the 21ST Century
Change the business model of the industry into a self-sustaining model through increased private sector participation (reduce financial burden on government)
Maximize the contribution to the socio-economic development of the Nigerian Economy through increased trade and in-flow of FDI, focusing and growing economic free zones and agro-allied designated airports and resultant job creation
T
R
A
N
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F
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R
M
A
T
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Components Of Our Strategy
Components of our
Strategy
Safety and
Security 1
9 FTZ
Infrastructural
Development 2
Growing Domestic Airlines 3
Aviation Fuel 5
National Flag Carrier 4
Consumer Protection 6 Designation
of Airports 7 Agro Allied &
Cargo Facilities 8
10 Hub Strategy
11 BASA
12 Air Fare Pricing
13 Organizational
Restructuring
14 Financial
Stability
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ACHIEVEMENTS TILL DATE
Section 3
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Implementing Departments & Agencies
MINISTRY Technical Departments i) Safety and Technical Policy; and ii) Air Transport Management. Service Departments i) Planning, Procurement, Analysis and Research ii) Human Resources; and iii) Finance and Accounts; UNITS
I) Legal; ii) Public Relations; iii) SERVICOM; iv) Anti Corruption and v) Internal Audit;
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Implementing Departments & Agencies (Cont’d)
Parastatals
• Federal Airports Authority of Nigeria (FAAN); • Nigerian Civil Aviation Authority (NCAA); • Nigerian Airspace Management Agency
(NAMA); • Nigerian Meteorological Agency (NIMET); • Nigerian College of Aviation Technology
(NCAT) and; • Accident Investigation Bureau (AIB);
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ACHIEVEMENTS TILL DATE: SAFETY REGULATIONS AND SYSTEMS
More stringent measures have been put in place for enhanced Aviation Safety.
These include: • Implementation of the new Nigerian Civil
Aviation Regulation that meet ICAO requirements;
• Accomplishment of ICAO Safety and Security follow-up Audits;
• Re-certification of the entire industry – Airlines, Airports, Aircraft and Aviation Safety Personnel;
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SAFETY REGULATIONS AND SYSTEMS (CONT’D)
• Closer surveillance of foreign and domestic carriers
• Installed Aircraft Tracking System to improve Search and Rescue Capability.
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COMPLETED SAFETY-RELATED PROJECTS New control tower and the installation of equipments at
Kano, Enugu and Owerri airports;
Runway resurfacing at Calabar; Ibadan, Maiduguri, Sokoto and Enugu (plus extension) Airports
Installation of Low Level Wind Shear Alert Systems (LLWAS) at Lagos, Kano and Port-Harcourt airports
Doppler Weather RADAR at Abuja airport;
Integrated Aviation Weather Observation & Display System (AWODS) at MMIA , Lagos
Total Very High Frequency (VHF) coverage in Kano
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Safety Projects Completed (Cont’d)
• The World Geodetic Survey (WGS 84) for
Performance Based Air Navigation System
Approaches ;
• Alternative Energy Source (Solar System) to Navigational Aids in Six sites at Lagos, Abuja, Kano, Bida , Port Harcourt & Enugu;
• NIMET North East Zonal Office Building, Maiduguri.
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COMPLETED DOPPLER WEATHER RADAR @ ABUJA
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SECURITY:
Within the period under review, the Ministry introduced new Security strategy designed to adequately respond to current security challenges. These include:
A. Restructured airport security systems to facilitate communication,
coordination, Intelligence gathering and surveillance through linkages and collaboration with International, Federal and State Law Enforcement Agencies;
B. Procurement of state-of-the-art security equipment such as intrusion detection systems, closed circuit television cameras, baggage and passenger screening equipment, explosive and narcotics detection equipment;
C. Continuous intensified training of aviation security personnel to international standards;
D. Constructing perimeter and operations area fencing for airports;
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INFRASTRUCTURE: AIPORT RECONSTRUCTION
• Remodeled/reconstructed airport terminals in order to expand their capacities to meet increasing passenger traffic, create business opportunities and jobs as well as give the travelling public befitting airport experiences.
• Under Phase One, eleven airports have been remodeled/reconstructed. They are: Kano; Kaduna; Jos ; Yola; Enugu; Owerri; Benin; Calabar; Port Harcourt; Lagos & Abuja Airports.
• Phase Two of the remodeling projects in the remaining airports has commenced. The airports are Maiduguri; Katsina ; Sokoto ; Akure ; Ibadan; Bauchi ; Ilorin; Lagos ; and Jalingo.
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INFRASTRUCTURE: AIRPORT RECONSTRUCTION (Cont’d)
New International Terminals:
• We have commenced the process for the development of four new international airports terminals in Lagos, Abuja, Port Harcourt and Kano.
• Power Improvement Project:
-MMA new power supply project (back-up) almost completed
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Kano Exterior (Now)
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KANO INTERIOR
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Kano Interior (Now)
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MMIA LAGOS INTERIOR (NOW)
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MMIA LAGOS INTERIOR (NOW)
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LAGOS GAT EXTERIOR
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LAGOS GAT EXTERIOR 2
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ABUJA LOUNGE
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NEW BENIN INTERIOR
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DOPPLER RADAR SYSTEM
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AEROTROPOLIS CONCEPT
• The AEROTROPOLIS is an airport city with well planned layout infrastructure, outlaying corridors and clusters of aviation-linked businesses, commercial and residential infrastructure. It encompasses the airport and a range of commercial facilities supporting both aviation-linked businesses and the millions of travellers who pass through the airport annually.
• At moment the aviation passenger traffic recorded 14.6 million in 2011. This is expected to rise to about 34 million in 2026. The AEROTROPLIS provides a new airport experience for this growing number.
• The business clusters within the AEROTROPLIS include:
• Free Trade Zone (FTZ)
• Business Park
• Terminals
• Cargo Village
• Fixed Base Operators
• Technical Services
• Social Services
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AEROTROPOLIS Growing Passenger Traffic of the Nigerian Aviation Industry
-
5,000,000
10,000,000
15,000,000
20,000,000
2000 2001 2002 2003 2004 2005 2006 2007 2008 2009 2010 2011
Passenger Traffic Growth across all Nigerian Airports
Traffic growth consolidated (all airports)
10.8m
14.0m14.6m
4.4m8.3m
10.8m7.1m
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• Each of these clusters has a chain of several commercial offerings and activities. The AEROTROPOLIS presents huge economic and business opportunities through Joint Venture business model.
Perishable Cargo Airports • Lack of adequate storage, processing and transportation for evacuation of
perishable farm produce to local and international markets is a major challenge in the agricultural value chain. This often leads to loss of wealth, low morale and tendency of rural youth to abandon agriculture and migrate to urban centre in search of means of livelihood.
• The value of Perishable cargo business in Africa (mainly agricultural
produce) stands at about N245 billion (or US$ 1.53 billion). This market is shared by only 16 countries in the Continent. At the moment Nigeria has no share in this growing market for foreign exchange, despite the abundance and variety of agricultural products in the country.
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AEROTROPOLIS CONCEPT(Cont’d)
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• Perishable Agro Airports
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AEROTROPOLIS CONCEPT-Perishable Agro Cargo Terminals
In order to harness the agricultural potentials that abound in the various agro-climatic zones of the country, achieve significant value chain in our farm-to-market concept, enhance rural transformation with multiplier effects on jobs, food security, non-oil exports, and contributions to GDP, we have designated seven Perishable Agro airports at: Makurdi; Jos; Yola; Asaba; Enugu; Akure; and Lagos
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We have re-designated some airports in the country in order to maximise the skills and economic potentials of the regions and also achieve concrete socio-economic impact in line with the Aerotropolis concept..
Cargo Terminals:
- Bauchi Cargo Terminal
– Akure Cargo Terminal
– Ibadan Cargo Terminal
– Calabar Cargo Terminal
– Jalingo Cargo Terminal
– Kano Cargo Terminal
– Owerri Cargo Terminal
– Jos Cargo Terminal
– Yola Cargo Terminal
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AEROTROPOLIS CONCEPT- Cargo Terminals
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Free Trade and Export Processing Zones Designation of MMIA, Lagos; NAIA, Abuja; MAKIA, Kano and PIA, Port-Harcourt Relocation of Airport Terminal Relocation of Abuja domestic passenger processing to
the B & D wing of NAIA international terminal.
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AEROTROPOLIS CONCEPT- EPZ
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AIRPORT RE-DESIGNATION
Nine(9) Pilgrims Terminal Buildings
– Katsina Airport Pilgrims Terminal, Katsina
– Ibadan Airport Pilgrims Terminal, Ibadan – Sokoto Pilgrims Terminal – Ilorin Airport Pilgrims Terminal – Minna Pilgrims Terminal – Maiduguri Pilgrims Terminal – Lagos Pilgrims Terminal – Port-Harcourt Pilgrims Terminal – Enugu Pilgrims Terminal
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INSTITUTIONAL REFORMS AND SUSTAINABILITY • The Ministry has implemented programs in all aviation
sector agencies to transform them into efficient and self sustaining institutions.
• We have enhanced internally generated revenue through automation of revenue collection processes and projected the revenue profile from N70 Billion to N120Billion and a contribution of 3% to the national GDP by the end of 2013
• We are working in conjunction with industry players to bring our revenue generation activities to meet international best practices using the IATA platform.
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INSTITUTIONAL REFORMS (Cont’d)
• E-Governance platform:
-To enhance transparency and accountability, we have developed of a website for the Ministry (www.aviation.gov.ng) to provide links to websites of all airlines and provide information on investment opportunities in the industry.
-An E- Governance platform has been developed that will enable management oversight on all On-going Projects and other activities to increase transparency as well as improve accountability.
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MANPOWER DEVELOPMENT
• The Ministry is strengthening the Nigerian College of Aviation Technology (NCAT) to develop aviation sector manpower in Nigeria and West Africa. In the last one year we:
• Purchased aircraft spare parts, tools and equipment; • Installed 1 Gas turbine trainer; • Installed 1 Aerodynamics (Wind tunnel) trainer • at NCAT; and • Collaborated with world class aviation training Institutions, to enhance capacity and best practices; Rehabilitated existing runway & constructed a new one Completed the Refitting of trainer aircraft Acquired a 737 NG simulator for Pilot training Installed Thales Nav-Aids (TRACON)
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STATE OF THE ART SIMULATOR AT NCAT
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GROWING DOMESTIC AIRLINES
The Ministry has consciously taken steps to grow the domestic airlines.
Major actions include: • Collaborating with the CBN and other Financial
Institutions to facilitate access to single digit credit facility;
• Reviewed the guidelines for licensing new airlines; • Commenced the guidelines for the designation of
national flag carriers; • Provision of airfield lighting for additional airports to
enable airlines maximise the use of their equipment for night flights
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BILATERAL AIR SERVICE AGREEMENTS
• We have restructured the BASA process to ensure that the benefits to Nigeria are maximised;
• All existing BASA Agreements are being reviewed ;
• We are also exploring new bilateral opportunities to give domestic airlines more international routes to fly and opportunities for partnerships
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CONSUMER PROTECTION
• In the course of the year, we signed the Passenger Statement of Rights. The document ensures that in all circumstances, airlines remain alive to their obligations to customers and there are sanctions for default;
• We are addressing the issue of flight delays and cancellations through this regulatory process;
• We have also put in place the platform for inter-lining among domestic airlines.
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AIRFARE PRICING
• As part of the steps taken to protect consumers, the Ministry has engaged with some foreign airlines on unfair regional disparity in ticket pricing.
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NATIONAL CARRIER
• The Ministry has advanced in the process for the floating of a new national carrier that will be fully owned by the public;
• This carrier will restore our national pride and also enable Nigeria respond to her reciprocal obligations under BASA;
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Construction of second runway for NAIA, Abuja & Expansion of Aprons, Taxi ways & Air field lighting for other Airports etc.
Independent Power Projects (IPP) for designated Airports
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INFRASTRUCTURAL RENEWAL
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INVESTMENT ROAD SHOW
• The Ministry has completed plans to embark on an investment road show to attract domestic and foreign direct Investment for the sector.
• In our collective efforts to redefine aviation experience, we have introduced innovations that are clearly unprecedented in scale, structure and style.
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Construction of second runway for NAIA, Abuja & Expansion of Aprons, Taxi ways & Air field lighting for other Airports etc.
Independent Power Projects (IPP) for designated Airports
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INFRASTRUCTURAL RENEWAL
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Construction of second runway for NAIA, Abuja & Expansion of Aprons, Taxi ways & Air field lighting for other Airports etc.
Independent Power Projects (IPP) for designated Airports
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INFRASTRUCTURAL RENEWAL
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CONCLUSION
• The last one year has therefore ushered in tremendous achievements in the aviation sector. We have brought innovations that have redefined aviation experience in Nigeria.
• These developments in the aviation sector over the last one year have been unprecedented in scale, structure and style. These are signs of hope for all Nigerians.
• This is our commitment to the Nigerian public and we will not relent as we go forward in implementing Mr. President’s Transformation Agenda.
• Truly, the Transformation Agenda is working in the Aviation sector..
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SECTION 7 NEW FACES OF TRANSFORMATION
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COMING SOON: LAGOS AIRPORT CITY CONCEPT
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COMING SOON: MMA TERMINAL 2
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COMING SOON: ABUJA AIRPORT CITY CONCEPT
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COMING SOON: NAIA - ABUJA
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COMING SOON: General Cargo Shed
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COMING SOON : General Cargo Shed
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COMING SOON: Port Harcourt International Airport
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COMING SOON: The new terminal interior design philosophy...
Space, aesthetics, comfort, multiple commercial offerings, ease of circulation
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