How new 5% new allocation will save AIB from collapse-Olateru

Commissioner, Accident Investigation Bureau (AIB), Akin Olateru said all the agency relies on to survive and to meet its enormous challenges of accident investigation is allocation of three per cent from the Ticket Sales Charge (TSC) and now five per cent of the Passenger Service Charge (PSC) recently approved by the Minister of State for Aviation, Hadi Sirika.

This has caused furore by a segment of the aviation sector questioning the rationale for ceding five per cent allocation to the agency.

Olateru, in an exclusive interview with Woleshadare.net in his office in Lagos explained that Under United Nations charter,  AIB don’t charge for the services it render, the reason the Federal Government made a little concession to it to carry out it functions in accident investigations.

There are two types of charges that passenger pay either directly or indirectly. They are Tickets Sales Charge (TSC) and Passenger Service Charge (PSC). The TSC is in accordance with Civil Aviation Act of 2006. It is a parliamentary issue.

L-R. Commissioner/CEO Accident Investigation Bureau (AIB), Engr. Akin Olateru with the Chairman, National Transportation Safety Bureau (NTSB), Robert L. Sumwalt and Managing Director of NTSB, Mr Dennis Jones at the headquarters of NTSB, Washington DC, United States of America during Olateru’s recent official visit to NTSB.

In the same document, it further explained how to distribute five per cent.  Five per cent of the TSC is supposed to go to the Nigerian Civil Aviation Authority (NCAA). Out of the five per cent total volume, NCAA gets 58 per cent; AIB three per cent; Nigerian Meteorological Agency (NIMET) gets nine per cent, Nigerian College of Aviation Technology (NCAT) seven per cent; Nigerian Airspace Management Agency (NAMA) gets zero per cent which makes it 100 per cent.

The AIB boss stated that the revenue is supposed to be shared by all the five agencies under aviation, adding that the executive arm of government has no power to alter the allocation. He disclosed that it is only the National Assembly that has power to vary distribution of TSC and not PSC.

“If anybody is not happy, he needs to go back to the National Assembly. That is the position since 2006 till date”, he stated.

Olateru stated that the PSC came through by executive fiat, which has nothing to do with the Nigerian Civil Aviation Act, but one that former Minister of Aviation to the Federal Airports Authority of Nigeria (FAAN).

 His words, “As it is today, every domestic operator pays N1000 to FAAN. On the international side, it is $50. It is only FAAN among the six agencies of aviation that earns and spends that money. This is PSC and not TSC. The same minister in his wisdom now approved for FAAN to be paying AIB five per cent of the PSC. By implication, AIB earns five per cent of the PSC.”

“The justification for that is, AIB is the only agency among the six government parastatals under aviation that does not charge for her services. Even though, NCAA takes 58 per cent of the TSC, they still charge for all the services they render to the airline and to the public. NCAA calls theirs cost recovery. NAMA, NCAT, NIMET, they all charge for all their services despite their earnings from the TSC.”

“All we rely on to survive and to be efficient as an agency of government is three per cent from the TSC and now five per cent of the PSC. Now tell me, from this detailed analysis, I am sure you will agree with me that anybody that disagrees with this, is not well informed or wicked”, he added.

He bemoaned the fate of retired workers of the agency whom he said are yet to receive their severance benefits years after they left service.

He equally stated that there are over 30 accident investigation reports still pending, including critical training for investigators that are very vital to the agency’s existence, performance and sustainability including several other projects he reiterated that are on-going for years.

“This five per cent is so little compared to the overall earnings of FAAN. We are all agencies of government and the Minister of State for Aviation, Hadi Sirika has a responsibility to ensure that all agencies under his watch perform optimally. We have over 30 accident investigation awaiting final reports. For us to deliver on our mandates, we have to fulfil several obligations”.