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Business15 August 2026Edited by NaijaPodNews2:25

Air Peace Laments $42m Revenue Blow from Ground Handling Damage

Air Peace Laments $42m Revenue Blow from Ground Handling Damage
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Air Peace has revealed a substantial financial hit, reporting a loss of approximately $42 million in revenue. The airline attributes this significant setback to persistent damage inflicted upon its aircraft by ground-handling service providers, noting that three of its planes have suffered serious damage within the past 12 months.

The airline specifically named the two prominent ground handling firms, Skyway Aviation Handling Company Plc (SAHCO) and Nigerian Aviation Handling Company Plc (NAHCO), alleging that their aircraft are damaged, on average, twice a year by these companies.

Speaking with our correspondent via a phone call, Air Peace spokesperson Efe Whiskey confirmed the severity of the situation. He stated that the airline has recorded three major incidents of aircraft damage within the last 12 months, with two of these occurring this year.

"The number of ground handling accidents that we have experienced thus far, on average, SAHCO and NAHCO damage our aircraft at least twice a year," Whiskey explained. He clarified, "It might not be as big as the other ones, but we have had three major ones that have been destroyed within the past 12 months. One happened last year, and two happened this year. In total, we have had three in the period spanning 12 months. However, on average, they damage our aircraft twice in a year."

Whiskey further elaborated that the financial impact extends beyond just the cost of repairs. The airline also loses significant revenue while its aircraft remain grounded. "The revenue lost so far, especially from one aircraft, is $42m. It is the airline, of course, that loses. They don’t pay for that revenue. They only pay for the damage," he added.

According to Whiskey, the handling companies have agreed to a payment of $3.8 million for repairs to the most recently damaged aircraft. Furthermore, $3.2 million has already been paid for the repair of another aircraft that was damaged on Boxing Day. "So, they have agreed now that they are going to pay $3.8m to fix the latest one that they broke. Then the previous one that they broke on Boxing Day is $3.2m. They have paid $3.2m."

Additional costs are incurred when damaged aircraft or their components must be transported abroad for specialized repairs. "There are also scenarios where there is damage to aircraft, and we have to bring people from abroad to come and fix it. Either you bring people from abroad, or you try and fix a bit of the aircraft on your own. Then fly it there," Whiskey said. He continued, "So what we do is we remove the part of the aircraft and of course we ferry it over to those people over there, which costs $40m to ship damaged parts."

He also mentioned other incidental expenses, such as towing and cleaning post-incident. "Then towing, especially when it is damaged, and you are paying in dollars, that is $700 for towing and cleaning up the area where it is damaged. That is the least money that we have had from them," he stated.

Whiskey expressed concern about the potential for similar incidents in the future, citing recurring patterns of aircraft damage. "According to our insurance predictions, they are going to damage our aircraft again this year based on previous reports and patterns that they have sent; we have seen that they are only damaging it like twice a year," he remarked.

This latest complaint from Air Peace follows a major operational disruption in December 2025, when ground-handling equipment damaged one of its brand-new Embraer 195-E2 aircraft at Murtala Muhammed International Airport, Lagos, on Boxing Day. Reports indicated that this incident significantly affected the aircraft's operations and led to numerous flight disruptions.

The current allegations also echo previous incidents involving ground-handling equipment and Air Peace aircraft. In January 2023, reports detailed how NAHCO equipment damaged an Air Peace aircraft at the Lagos airport, prompting the airline to raise concerns, describing it as the third such incident involving NAHCO equipment within a single month.

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Air Peace don cry out say ground handlers dey cause am plenty wahala, even leading to $42 million loss. Dis kind thing no good for airline business for Naija. We hope say dem go find solution fast to avoid more losses and keep flights safe.

Source: Punch NG

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