The Nigeria Civil Aviation Authority (NCAA) has announced the temporary suspension of its previously communicated enforcement of the “no pay, no service” directive against airlines with outstanding statutory remittances.
The decision follows extensive consultations within the aviation sector and a review of current operational challenges, particularly the rising cost of aviation fuel (Jet A1), which has significantly affected airline operations and overall industry stability.
However, the NCAA clarified that the suspension does not amount to cancellation, waiver, or forgiveness of any outstanding financial obligations owed by airlines, noting that such authority lies outside its mandate.
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The Authority recalled that President Bola Ahmed Tinubu had earlier approved a 30 per cent discount on outstanding fees owed by domestic airlines to aviation agencies, including the NCAA. The measure, according to the Minister of Aviation and Aerospace Development Festus Keyamo, is part of broader government efforts to cushion the impact of high fuel costs, stabilise the aviation sector, and support airline operations.
The NCAA emphasized that all affected operators remain fully responsible for settling their statutory debts. It added that it would engage airlines individually through structured arrangements aimed at ensuring recovery while maintaining sector stability.
The Authority also reiterated that the 5 per cent Ticket and Cargo Sales Charge is a statutory levy embedded in the aviation system, collected by airlines on behalf of the aviation ecosystem and remitted to the NCAA for defined regulatory purposes. It stressed that the charge is not part of airline operating profit and must be treated strictly as a statutory obligation.
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According to the NCAA, the funds generated from these charges are shared among key aviation service providers responsible for maintaining safe, efficient, and internationally compliant operations in Nigeria’s aviation sector.
The regulator further noted that it operates on a cost-recovery basis and does not receive direct federal funding for its day-to-day regulatory functions, making statutory remittances critical to sustaining oversight activities.
The NCAA said the temporary suspension of the enforcement action was a calibrated step to maintain operational stability within the aviation industry while continued engagement with airlines is ongoing to ensure full compliance with financial obligations.
It reaffirmed its commitment to balancing regulatory enforcement with the need to ensure uninterrupted airline operations and long-term sector stability.