‘Political interference affecting aviation sector’
According to the report of the Ministerial Committee on Aviation Operations Improvement set up recently by the Minister of Aviation, Mrs. Fidelia Njeze, political patronage is largely responsible for the employment of non-professionals at the top management levels of the aviation agencies.
It was observed that government does not allow the aviation agencies free hand to operate as business entities providing services, charging for same and enforcing payment.
The committee therefore recommended that aviation parastatals should be corporatized with government having Non-Controlling Interest (NCI) in order to free the agencies from undue government interference so that they can be efficient and effective within the limits of their operational cost.
On the insolvency of airlines and their inability to settle their bills, the committee attributed this to poor business models, adding that lack of appropriate business models leading to poor cash flow and inefficiency was identified by the committee as one of the reasons responsible for the inability of the airlines to settle their bills and thus the huge indebtedness.
The committee therefore recommended that domestic airlines should, as a matter of necessity, adopt business models that will expose them to proper planning and effective application of available resources towards achieving their business goals.