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Aero Contractors CEO Calls for Structural Reform to Address Nigerian Aviation Sector’s Financial Cha Aero Contractors CEO Calls for Structural Reform to Address Nigerian Aviation Sector’s Financial Cha

Captain Ado Sanusi, CEO of Aero Contractors, has attributed the financial difficulties facing Nigerian airlines primarily to systemic issues within the aviation ecosystem rather than management shortcomings. Speaking at the Federal Airport Authority of Nigeria (FAAN) National Aviation Conference (FNAC) 2025 during a panel on “Airline Profitability and Cost Optimization,” Capt. Sanusi highlighted the complex challenges undermining profitability in Nigerian airspace.

He explained that every component of the sector—from regulatory agencies to infrastructure—contributes to the financial strain airlines experience. While acknowledging the vital safety oversight roles of regulators, Capt. Sanusi criticized excessive regulatory charges, aging airport infrastructure, inadequate weather-reporting services, and operational inefficiencies involving multiple agencies such as FAAN, NCAA, NAMA, and NIMET. These factors cause daily delays, mid-flight returns due to inaccurate weather information, and airspace restrictions during peak hours linked to training exercises, all of which erode airline margins.

“No airline wants to delay or cancel a flight. What we sell is speed. When we delay, it harms us first,” he said, underscoring the operational and financial impacts of systemic inefficiencies.

Capt. Sanusi also cautioned against placing blanket blame on airlines, particularly in discussions on delay penalties, warning such approaches could compromise safety. He emphasized that determining the causes of delays should remain the sole responsibility of the Nigerian Civil Aviation Authority (NCAA), as punitive policies could pressure airlines into unsafe operational decisions to avoid sanctions.

Calling for “genuine, long-term reform,” Capt. Sanusi argued that Nigeria requires a 20- to 30-year structural overhaul of the aviation sector. This would involve aligning agencies around modernization, efficiency, and economic sustainability rather than relying on fragmented roadmaps and short-lived interventions.

On the technology front, he noted Aero Contractors’ efforts to expand digital operations, including paperless maintenance and AI-driven tools. However, he stressed that technological progress is constrained by the pace at which regulators approve new systems, stating, “You can only be as efficient as the system you operate in.” He urged regulators to be prepared to embrace innovations such as digital manuals and electronic flight packs to enable operational efficiency.

Concluding his address, Capt. Sanusi appealed for balanced taxation and supportive policies. He clarified that airlines are not seeking tax exemptions but call for a unified and sustainable tax regime that avoids “taxing operators to death.”

Despite the challenging environment, he commended the few Nigerian carriers managing profitability, highlighting them as proof that success is achievable if systemic obstacles are addressed.