Aviation Industry Faces Existential Threat, Onyema Sounds Alarm

Allen Onyema, the Vice Chairman of the Airline Operators of Nigeria and Chairman of Air Peace, has issued a stark warning regarding the state of the aviation industry in Nigeria. Speaking at the launch of the book, Pathways, Pilgrimage & Destiny: The Biography of Alhaji Muneer Bankole, in Lagos, Onyema emphasized that the industry is on the brink of collapse, with many airlines at risk of going out of business within the next 30 days. He attributed this to the numerous challenges facing the sector, including a harsh operating environment and the lack of government support. Onyema described the aviation industry as capital-intensive but with minimal returns, stating that '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 has existential threats. Except something drastic is done very quickly within the next 30 days, a lot of airlines might go extinct.' The Air Peace chairman also cautioned against the planned picketing of airlines by aviation unions over the non-remittance of the five per cent Ticket Sales Charge, warning that such actions could lead to a suspension of operations by other domestic carriers in solidarity. Onyema lamented the fact that over 50 airlines have shut down in Nigeria over the years, citing the difficult operating conditions as a major factor. He stressed that airlines are willing to contribute to government revenue but called for a more sustainable approach, noting that 'The airlines are not against helping government generate revenue. But no airline in the world is taxed directly for revenue. The airlines indirectly provide revenue for government.'