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After suspending airport concession, FG budgets for consultancy

The federal government has made provision for the consultancy of four international airports despite the suspension of the concession by the present administration.

The concession of airports is one of the controversial projects, which the immediate past administration implemented.

Despite the stiff opposition to the concession, especially from the aviation unions, the last administration went ahead with the concession.

The Federal Executive Council (FEC) under the Muhammadu Buhari administration had in May last year approved the concession of the four international airports in Lagos, Abuja, Kano and Port Harcourt.

Also on May 18, 2023, the former Minister of Aviation, Senator Hadi Sirika through his then spokesman, James Odaudu said the concession of the airports had been completed.

The ministry said the Corporacion America Airport Consortium has emerged the preferred bidder for concession of Abuja, and Kano International Airports.

But the new Minister of Aviation and Aerospace Development, Mr. Festus Keyamo on assumption of office said airports concession as well as the national carrier project has been suspended pending further directive from the president.

The minister said he suspended the two projects because of red flags raised by stakeholders.

“It would be irresponsible of me as a minister to come in and agencies of government are raising red flags here and there and I would keep quiet.

“I am not talking about people, Nigerians complaining now, agencies of government are raising red flags about both projects and I as a government functionary cannot waive all those red flags away.”

However, the details of the ministry’s 2024 budget indicated that 85,252,667 was allocated as consultancy for the concession of the four international airports in Lagos, Abuja, Kano and Port Harcourt.

The minister said documents relating to the two projects are on the table of President Bola Tinubu to give further directives.

The spokesperson for the ministry could not be reached yesterday but an inside source said the budgetary provision was made in anticipation of the decision of the president.

“That it has been suspended does not mean the project will not continue,” the source said, pleading not to be named, adding, “In case Mr. President gives the go-ahead, the project can continue and don’t forget the projects have gone very far.”

Speaking with our correspondent, Secretary General of the Aviation Roundtable, Mr. Olumide said the concession process should be modelled along the Airport Company of South Africa to make the Federal Airport Authority of Nigeria (FAAN) an efficient organisation free from excessive control by the minister.

“Every successive minister is bombarded by a list of people interested in heading that organisation or being part of the management team. Then, they move for the kill by creating new contracts or abrogating the existing ones just to have a pie,” he said.

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