President Bola Ahmed Tinubu, in his capacity as the leader of the nation, has communicated a mandate to various governmental bodies, including the Nigeria Civil Aviation Authority (NCAA), stipulating that they must allocate fifty percent of their financial resources to the Federal Government.
This requirement has been set forth as a prerequisite for these agencies to be eligible for tax returns from the government.
But this goes against the Civil Aviation Act that created the NCAA. The Act says the NCAA should run itself and use the fees it gets from airlines to pay for inspecting aircraft and staff.
In 2022, the government changed the Civil Aviation Act of 2006 to say the NCAA should fund itself.
This means it doesn’t rely on the government for money. But now, the government wants some of the NCAA’s money, which is against the law.
The Civil Aviation Act says the NCAA doesn’t have to pay certain taxes or give money to trust funds.
It only has to put two-thirds of its extra money into a special fund. But now, the government wants half of its revenue, which is more than what the law says.
This move is illegal because there’s no law allowing the government to take the NCAA’s money.
It also raises concerns about air safety in Nigeria. The NCAA makes sure airlines follow international safety rules, but with less money, it might not do its job properly.
Recently, the government froze the accounts of aviation agencies, including the NCAA. They are only allowed to use the money for staff salaries.
This means they can’t do important safety work because the government took their money. This puts air travelers at risk.