FAAN Moves To Block Wastages, Improve Efficiency

The Federal Airports Authority of Nigeria (FAAN) has commenced cashless policy and plugging some loopholes in the system to optimize its revenue generation collection, reduce cost and promote efficiency.

Managing Director, FAAN, Captain Rabiu Yadudu, who stated this during the House Committee on Aviation visit to the agency’s facilities at the Lagos Airport said, management had taken some concrete steps to improve revenue generation and curb spending in recent months.

Some of the steps taken according to Captain Yadudu included the suspension of procurement of non-essential items, reduction in all staff-related cost to the barest and aggressive debt recovery drive hampered by the Covid-19 pandemic.

Others are plugging of revenue loopholes, cash and fly policy, promotion and enforcement of cashless policy and the continuous strengthening of business and operational excellence by improving on people, processes, platforms and performances.

He added: “In keeping with our vision and mission, we have strategically positioned ourselves to ensure that we have modern and up-to-date high-tech equipment and facilities that will aid better security, safety and comfort of all stakeholders.

“I will like to say that aviation business is a global, technical and highly regulated with huge infrastructure requirements; furthermore, it is necessary to reiterate that aviation business is driven by volumes and turnaround with an operating profit margin of between 2.5 per cent to 5 per cent. Without the required volumes and traffic, it will be difficult to break even.”

“The aviation agencies will urgently need intervention fund from the Federal Government to address infrastructural gaps and position the industry for better service delivery and contribution to the national economy.”

The FAAN boss also disclosed that the new terminal under construction by CCECC would be ready for use by February 2021.

According to him, the terminal would have been completed this December, but the emergence of Covid-19 pandemic slowed down its completion.

The House Committee on Aviation Chairman, Mr Nnolim Nnaji, lauded FAAN for steps taken so far to improve services for airlines, air travellers and other users of the airports nationwide.

He emphasised that there had been some improvements in the facilities at the airports in the last one year, despite the challenges of 2020 and charged the management of FAAN to invest more on safety and security infrastructure.

He said: “The worst we had was the Covid-19 pandemic. We are happy that the industry is coming back. As you can see, a lot of things were abandoned because of lots of things and now, contractors are coming back to site.”

“Last year, we noticed that there was no connection between the old and the new terminal, but today, as you can see, they have done the connection. What the Managing Director of FAAN said is that by February 2021, they will open up the corridor for passengers to use. We are impressed with FAAN. Last year, there was no apron like this, but this year, we now have it. It goes to show that FAAN is working and moving forward. We are happy with FAAN and we are ready to support the industry to move forward”.

“We as a committee advised FAAN that they must concentrate on critical infrastructure to save the industry. Safety and security are very key for the industry. In moving forward, most of the things that we will like to see in the budget would be something that are linked to security and safety like operational and perimeter fences, airfield lightings, runways and others. These are the things that will improve on safety and security of the industry”.

Nosa Aituamen


Related Posts

Leave a Reply

Your email address will not be published. Required fields are marked *