The Minister of Aviation’s Order and the Complex Realities of Wet Leasing in Nigeria

The aviation landscape in Nigeria is currently grappling with a directive from the Minister of Aviation that introduces a new layer of complexity to the operation of wet-leased aircraft. The order mandates the presence of local pilots in the cockpit, citing unfamiliarity with Nigerian terrain by foreign crews Iwayemi (2023). However, a closer look reveals a series of challenges that make immediate implementation a daunting task, particularly given the prevalence of wet leases in the country.

Understanding Wet Lease vs. Dry Lease

Wet leasing and dry leasing are distinct arrangements in the aviation industry. A wet lease involves leasing not just the aircraft but also the crew, maintenance, and insurance, while a dry lease pertains solely to the aircraft, with the lessee providing the crew, maintenance, and other operational aspects. In Nigeria, approximately 50% of aircraft operate under wet leases, adding layers of intricacy to the recent ministerial directive.

Operational Realities

The order’s operational feasibility is put to the test by the prevalence of A320s, a common aircraft type in wet leases. A crucial aspect to consider is the scarcity of local A320 captains in Nigeria, making the immediate execution of the order logistically challenging. The directive seemingly overlooks the operational nuances that differentiate wet and dry leases, particularly the limitations on airlines to replace foreign crews with local pilots without the lessor’s consent.

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The Legal Quagmire

Historical records of dry leasing in Nigeria ending unfavorably should serve as a cautionary tale. Retrieving leased aircraft in Nigeria is notoriously challenging due to the complexities of the judicial system. The Minister’s order, seemingly well-intentioned, might inadvertently plunge the industry into legal disputes, further complicating an already intricate situation.

Implications for the Christmas Season

With the festive Christmas season around the corner and tickets already sold, hastily implementing the order risks introducing chaos rather than stability in the aviation sector. Airlines are faced with the dilemma of complying with the directive or potentially facing legal repercussions, both of which can disrupt operations and compromise passenger experience during a peak travel period.

Merits and Demerits of the Order

Merits:

Enhanced Local Involvement: The order aims to enhance local participation in the aviation sector, a commendable goal for national development.

Familiarity with Nigerian Terrain: Having local pilots could contribute to a better understanding of the unique challenges posed by Nigeria’s diverse and dynamic geographical landscape.

Demerits:

Operational Disruption: Immediate implementation may lead to operational disruptions, impacting flight schedules and passenger experience.

Legal Complications: The order could result in legal battles, given the complexities of leasing agreements and historical challenges in aircraft retrieval.

Conclusion

While the Minister of Aviation’s order reflects a commitment to bolstering local participation and safety, the complexities surrounding wet leasing, scarcity of local pilots, and potential legal entanglements necessitate a careful and phased approach. A collaborative dialogue between regulatory authorities and industry stakeholders is crucial to finding a solution that ensures both compliance and operational stability, especially with the impending festive season on the horizon. As Nigeria navigates these challenges, striking a balance between national interests and industry realities will be key to fostering a thriving and sustainable aviation sector.

References

Iwayemi, Z. (2023, November 28). FG issues new directive to Air Peace, United Airlines, Arik Air, others. Legit.ng – Nigeria News. https://www.legit.ng/business-economy/industry/1565994-no-foreign-pilots-fg-fresh-order-air-peace-united-airline-arik-air-others/

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