VICE Chairman of the Airline Operators of Nigeria (AON) and Chairman of Air Peace, Allen Onyema, has warned that domestic airlines may shut down within 30 days due to rising operating costs and financial challenges.
He highlighted the aviation industry’s existential crisis during a biography launch, stating that it is capital-intensive yet less rewarding.
“Going into aviation is not a piece of cake. It is an industry that is not very rewarding. It is capital-intensive, yet less rewarding. Today, we are facing a phase that poses existential threats. Except something drastic is done very quickly within the next 30 days, a lot of airlines might go extinct,” he said.
Onyema criticized aviation unions’ planned picketing regarding the non-remittance of the five percent Ticket Sales Charge (TSC), arguing it could further disrupt domestic air travel.
He said airlines would support each other in the event of a picket against any carrier. “If they picket any airline, others will go because there’s no need for that. There is nowhere in the world that government agencies use unions to talk about issues of debt,” he stressed.
He emphasized the need for a broader review of government charges to ease financial burdens on airlines, which are struggling with increasing costs that threaten operations and flight frequencies.