AVIATION

Single Africa Air Travel Market is a fraud—Air Peace Chairman

&NewLine;<p><em>Chief Allen Onyema&comma; the chairman of Air Peace&comma; in this interview&comma; talks about the aviation challenges&period;<&sol;em><&sol;p>&NewLine;&NewLine;&NewLine;&NewLine;<p><em>Among&NewLine;other things&comma; he specifically takes a swipe at the<&sol;em><em> open sky in Africa- the Single&NewLine;Africa Air Travel Market&comma; SAATM&period; He describes it as a fraud saying while Nigeria&NewLine;keeps to the principles of SAATM&comma; other countries that endorsed it have refused&NewLine;to abide by those principles for Nigerian airlines&period;<&sol;em><em><&sol;em><&sol;p>&NewLine;&NewLine;&NewLine;&NewLine;<p><strong>The challenge to Nigerian airlines operating international&NewLine;service is how to take passengers beyond point to point&period; Does Air Peace have&NewLine;code-share partner for your Dubai operation&quest;<&sol;strong><&sol;p>&NewLine;&NewLine;&NewLine;&NewLine;<p>First and foremost I thank God almighty for what happened&NewLine;yesterday and what we are seeing today&comma; I thank Nigerians for their support and&NewLine;the media for their support and I thank the federal government for its support&NewLine;too&period;&nbsp&semi; We have started our international operations into Sharjah and into&NewLine;UAE &lpar;United Arab Emirates&rpar; and we are not just doing Lagos-Sharjah alone&comma; we&NewLine;are also doing every destination in Nigeria to Sharjah and Dubai&period;<&sol;p>&NewLine;&NewLine;&NewLine;&NewLine;<p>We have an agreement with SATA&period; They are the ones in charge of&NewLine;Air Arabia and some other airlines&period;&nbsp&semi; So we have an agreement with SATA&comma;&NewLine;with the consent of Air Arabia and others to act on their behalf as a&NewLine;middleman&period; So when we bring our passengers through SATA on to Air Arabia they&NewLine;will take them to the next destinations outside Sharjar&comma; so that’s what it is&period;&NewLine;And it is a very seamless arrangement&period; So when we check you&nbsp&semi;in&comma; in Nigeria&NewLine;and&comma; for example&comma; if you are going to Jeddah&comma; Mumbai&comma; Medina&comma; New&NewLine;Delhi&nbsp&semi;and some other cities in India and of course even up to Moscow&comma; we&NewLine;put you through SATA or Air Arabia to take you to the next destination&period;<&sol;p>&NewLine;&NewLine;&NewLine;&NewLine;<p>So when you check in your luggage in Nigeria&comma; you will get it at&NewLine;the next destination&period;&nbsp&semi; Assuming we have connecting passengers like this&NewLine;one&comma; it is a straight connection&comma; we don’t unburden the person’s luggage&comma; we&NewLine;take it to the next flight&period; It is seamless arrangement&period; So&comma; Air Peace is a&NewLine;one-stop shop for people travelling to some cities in Asia&period;<&sol;p>&NewLine;&NewLine;&NewLine;&NewLine;<p><strong>Now that you have started international flights and you have&NewLine;acquired long-haul aircraft&comma; Boeing 777&comma; what other destinations are you&NewLine;looking at&quest;<&sol;strong><&sol;p>&NewLine;&NewLine;&NewLine;&NewLine;<p>Apart from Sharjah&comma; you know the federal government of Nigeria&NewLine;has given us some six destinations&comma; Mumbai&comma; Guangzhou&comma; China&comma; Atlanta&comma; Houston&NewLine;&lpar;US&rpar;&comma; Heathrow &lpar;London&rpar;&nbsp&semi;and Johannesburg &lpar;South Africa&rpar;&period;&nbsp&semi; We have&NewLine;started Sharjah &lpar;Dubai&rpar;&semi; the next to follow is Johannesburg&period; The Nigerian&NewLine;government was magnanimous to give us our destinations some three years ago&period; We&NewLine;have written to these countries since then but it took them a long time to&NewLine;respond to us&period;<&sol;p>&NewLine;&NewLine;&NewLine;&NewLine;<p>This is why I keep on talking about open sky in Africa&comma; the&NewLine;Single Africa Air Travel Market &lpar;SAATM&rpar;&period;&nbsp&semi; Sometimes I say SAATM is a fraud&NewLine;against Nigeria because while our country keeps to the principles of SAATM&comma;&NewLine;other countries that endorsed it have refused to abide by those principles for&NewLine;Nigerian airlines&period;<&sol;p>&NewLine;&NewLine;&NewLine;&NewLine;<p>&nbsp&semi;We made requests to these countries but it them three&NewLine;years to answer us&period; It was the Director-General of the Nigerian Civil Aviation&NewLine;Authority &lpar;NCAA&rpar; that intervened on our behalf as we pilled pressure on those&NewLine;countries before they answered us&period; I remain grateful to NCAA and the federal&NewLine;government&period;<&sol;p>&NewLine;&NewLine;&NewLine;&NewLine;<p>So South Africa has given us the permit now to come in&period; They&NewLine;have audited Air Peace and they have&nbsp&semi;found us okay to come into their&NewLine;country&period;<&sol;p>&NewLine;&NewLine;&NewLine;&NewLine;<p>We are looking for partner airlines to do that&period; Air Peace does&NewLine;not just want to do Lagos to Johannesburg only&comma; we want to be able to have&NewLine;these alliances with other airlines to be able to move Nigerians and the flying&NewLine;public seamlessly to destinations they will want to go&period; I believe that will&NewLine;help us to succeed in the long run&period; This is what our airlines were not doing&NewLine;before&comma; so we are learning from that&period; We&nbsp&semi;are not going to start South&NewLine;Africa without having an agreement with partnering airline&comma; which we are already&NewLine;very close to signing&period;<&sol;p>&NewLine;&NewLine;&NewLine;&NewLine;<p>So any moment now we think we are going to start Johannesburg&NewLine;before August 30<sup>&comma;&nbsp&semi;<&sol;sup>2019&period;&nbsp&semi; <&sol;p>&NewLine;&NewLine;&NewLine;&NewLine;<p>The Indian community in Nigeria is yearning for Air Peace to&NewLine;come in&period; You must have heard from their Ambassador in Nigeria&period; They want a&NewLine;direct flight from Nigeria to India&period;<&sol;p>&NewLine;&NewLine;&NewLine;&NewLine;<p>If you wish to fly to China and you don’t have up to three&NewLine;long-haul aircraft they won’t give you the permit&period;&nbsp&semi; So we went to China to&NewLine;present our papers and the Nigerian Ambassador in China cooperated with us&period;<&sol;p>&NewLine;&NewLine;&NewLine;&NewLine;<p>He &nbsp&semi;did everything&NewLine;possible to make it easy for Air Peace&period;&nbsp&semi; But as at that time our third&NewLine;plane had not arrived&period; Before they give you permit&comma; you must show them the&NewLine;registration of your three aircraft&comma; either by way of dry lease or outright&NewLine;purchase&period;&nbsp&semi;<&sol;p>&NewLine;&NewLine;&NewLine;&NewLine;<p>Many national carriers in Africa are approaching Air Peace to&NewLine;give them aircraft&period;&nbsp&semi; We want to give some of them planes&comma; we have signed&NewLine;the agreement already sooner or later you will see it&period; I am sure the&NewLine;authorities know because they have visited Nigeria already<&sol;p>&NewLine;&NewLine;&NewLine;&NewLine;<p><strong>Would you want to partner with another African airline to go to&NewLine;the US&quest;<&sol;strong><&sol;p>&NewLine;&NewLine;&NewLine;&NewLine;<p>Yes&comma; a major African airline approached us&semi; there was&NewLine;negotiation for us to have professional partnership&period; In aviation all over the&NewLine;world there is always partnership but the issue is what kind of partnership it&NewLine;is&period;<&sol;p>&NewLine;&NewLine;&NewLine;&NewLine;<p>However&comma; it is true we were approached&semi; it is true we agreed to&NewLine;have partnership&comma; it is true that we even went to sign a MoU with the airline&period;&NewLine;That was MoU that will precede the real agreement&period; But when it got to the real&NewLine;agreement Air Peace disagreed&period; We don’t want to be receiving royalties from any&NewLine;airline even though it will enrich our purse without us flying&comma; even though it&NewLine;will makes us have more money without flying&comma; it is going to make us richer but&NewLine;where does that leave the employees of Nigeria&quest; <&sol;p>&NewLine;&NewLine;&NewLine;&NewLine;<p>Where does that leave numerous Nigerians that are unemployed&NewLine;roaming the streets when I am taking royalties from another airline flying in&NewLine;my name to that country and I will remain behind collecting money&comma; am not&NewLine;caring because I am collecting money&quest;<&sol;p>&NewLine;&NewLine;&NewLine;&NewLine;<p>&nbsp&semi;We wrote them and I said I will not shortchange my&NewLine;country&comma; that I will not accept it&period; I will not allow anything that will make&NewLine;another country to come here and be flying in the name of any airline and there&NewLine;is capital flight out of Nigeria&comma; which is not generating jobs for Nigerians&period; <&sol;p>&NewLine;&NewLine;&NewLine;&NewLine;<p><strong>How do you intend to combat aeropolitics with your international&NewLine;operations because it is obvious that your competitors would want to drive you&NewLine;out of the market through various strategies&quest;<&sol;strong><&sol;p>&NewLine;&NewLine;&NewLine;&NewLine;<p>Let me make this clear&comma; Air Peace will never be able to combat&NewLine;international aeropolitics without the support of the government&period;&nbsp&semi; We can&NewLine;only combat it if our government supports us&period; It is a shame that several&NewLine;Nigeria airlines have come here &lpar;Dubai&rpar; and they were pushed out either through&NewLine;unfair competition or some arm-twisting tactics&comma; it is very unfair&period;&nbsp&semi; The&NewLine;only plan we have is the plan of sustainability&comma; to sustain our operations to&NewLine;the best of our abilities&period; That is so far as we can go&comma; if we are not&NewLine;supported&period;&nbsp&semi; So Air Peace needs the support of everybody&period;<&sol;p>&NewLine;&NewLine;&NewLine;&NewLine;<p><strong>As you start operations to Dubai&comma; India and Johannesburg&comma; what&NewLine;will be the number of workers you will need and what will be the projected&NewLine;number of workers you will employ&quest;<&sol;strong><&sol;p>&NewLine;&NewLine;&NewLine;&NewLine;<p>You don’t want to know the kind of employment Air Peace has&NewLine;generated in the last four years&period;&nbsp&semi; We have generated over 3&comma;000 direct&NewLine;workers&semi; over 9&comma;000 ancillary jobs&comma; even the people doing catering&comma; the other&NewLine;day I went there&comma; I saw about 500 people working in the factory&period; That factory&NewLine;is filled up with Air Peace stuff&period;&nbsp&semi; These people are employed because of&NewLine;Air Peace&comma; because they are the ones doing 110 flights daily&period; It is because of&NewLine;that these 500 people were given jobs&period; <&sol;p>&NewLine;&NewLine;&NewLine;&NewLine;<p>Government must discourage unfair competition&comma; the American&NewLine;government did the same thing for their airlines&period; The Gulf airlines brought&NewLine;unfair competition&comma; the airlines in America complained and the American&NewLine;government stepped in and that stopped&period; Multiple and proliferation of designations&NewLine;to foreign airlines into Nigeria&comma; multiple frequencies are disservice Nigeria&period;&NewLine;I don’t see why a foreign airline&comma; when we are trying to make our own airlines&NewLine;grow&comma; be allowed to be doing local flights in the name of open skies&period;<&sol;p>&NewLine;&NewLine;&NewLine;&NewLine;<p>I don’t see the reason why Turkish Airline should land in Abuja&comma;&NewLine;from Abuja to Port Harcourt&comma; Port Harcourt back to Abuja&comma; Abuja back to their&NewLine;country&period;&nbsp&semi; When you talk some people will tell you it is good for&NewLine;competition&comma; competing with whom&quest; Competing in denigrating your country’s economy&quest;&NewLine;Is that what you are competing with&quest; <&sol;p>&NewLine;&NewLine;&NewLine;&NewLine;<p>We should stop giving multiple designations to foreign airlines&period;&NewLine;Let me tell you about America&comma; even with your private jet&comma; when you land in&NewLine;America&comma; they only allow you one more stop&period; If you land in New York and you&NewLine;want to go to Atlanta&comma; they say okay&comma; they take it&comma; as you want to&NewLine;refuel&period;&nbsp&semi; The next one you are not allowed to fly again&comma; you must use their&NewLine;local airlines to move about&comma; then when you come you take your plane out of&NewLine;their country&period;<&sol;p>&NewLine;&NewLine;&NewLine;&NewLine;<p>If government continues to encourage us we will grow and be able&NewLine;to create more jobs&period; <&sol;p>&NewLine;&NewLine;&NewLine;&NewLine;<p><strong>How are you connecting other airports to your international&NewLine;service&quest;<&sol;strong><&sol;p>&NewLine;&NewLine;&NewLine;&NewLine;<p>That is what we are doing now&period; We are taking passengers from&NewLine;every part of the country&comma; using our local flights&period; Today&comma; we had people who&NewLine;checked in from Abuja&comma; Kano&comma; and other cities in Nigeria&period; And we checked them&NewLine;in from the airport closets to them&period; When they get to Lagos we put them on our&NewLine;buses&period; It was seamless&period; We also gave them rebate&period; You know if you fly another&NewLine;airline outside Air Peace to UAE or to anywhere&comma; you pay domestic airline to&NewLine;take you to Abuja or Lagos where you will connect the international airline&NewLine;that will take you out of the country&period; So we save you money&period; We can save you as&NewLine;much as N80&comma; 000 for a return ticket in a domestic flight to and from your&NewLine;international trip with other airlines&period;<&sol;p>&NewLine;&NewLine;&NewLine;&NewLine;<p>When you fly with Air Peace we will take you from where you&NewLine;land&period; Once you clear with customs we pick your luggage&period; We take it and take you&NewLine;to our awaiting place&period; Like today when they landed people were saying they have&NewLine;never seen a thing like that&period; That is so good&period; So&comma; we are spreading our&NewLine;tentacles to other parts of the country&period;<&sol;p>&NewLine;&NewLine;&NewLine;&NewLine;<p>What we are doing is the best we can do&period; And when they say the&NewLine;airport in Lagos in congested&comma; there are lands there&comma; we can open up the place&comma;&NewLine;build more aprons&period; If any airline is ready&comma; let them give land to the airline&NewLine;to build the apron and manage it and they will be taking their taxes&period; After&NewLine;all&comma; all over the world you see airlines owning some things at the airport&comma; so&NewLine;they can give us&period; That is the enabling environment we are talking about&period;<&sol;p>&NewLine;&NewLine;&NewLine;&NewLine;<p>FAAN &lpar;The Federal Airports Authority of Nigeria&rpar; can decide to&NewLine;give Air Peace a piece of land without charging us and when we develop the&NewLine;facility they will be collecting their charges&period;&nbsp&semi; We can seek the support&NewLine;of our banks to help us&period;<&sol;p>&NewLine;&NewLine;&NewLine;&NewLine;<p><strong>Would you want to get more airplanes on lease to meet your&NewLine;passenger demand in the near future&quest;<&sol;strong><&sol;p>&NewLine;&NewLine;&NewLine;&NewLine;<p>Yes&comma; but now there is an unofficial blacklist of Nigeria&NewLine;airlines&period; I can tell you for sure&comma; it exists&period; We lost about 10 aircraft we&NewLine;wanted to acquire through leasing&period; You cannot survive in this business without&NewLine;leasing&semi; even all these big airlines we know in the world&comma; majority of their&NewLine;planes are leased or financed&period; <&sol;p>&NewLine;&NewLine;&NewLine;&NewLine;<p><strong>Can we know the number of passengers during your inaugural&NewLine;flight&quest; And also the Nigerian Ambassador to UAE said if you keep to time in&NewLine;your operations&comma; in six months you would have a cut of the market&period; Do you think&NewLine;you can keep to that time&quest;<&sol;strong><&sol;p>&NewLine;&NewLine;&NewLine;&NewLine;<p>We can keep to time&comma; although we didn’t keep to time yesterday&NewLine;but it was deliberate because of the events in&nbsp&semi;Sharjah&period; &nbsp&semi;They called&NewLine;on us to delay our flight because if we had left by 6&colon;00 pm we would have arrived&NewLine;5&colon;00 am&period;&nbsp&semi; And being a non-working day here they didn’t want to have us&NewLine;that early&period; And their&nbsp&semi;Sheikh&nbsp&semi;died&comma; that is why you didn’t see water&NewLine;salute&comma; they scaled down the ceremony&period;&nbsp&semi; So they asked us to delay&comma; so&NewLine;while we were in Lagos they were communicating&period; So on the international scene&comma;&NewLine;we have the equipment and you know we just started&comma; we didn’t want to grab&NewLine;everything at the same time that is why we staggered it&comma; so we learn our ropes&NewLine;and build on that before we go daily&period;<&sol;p>&NewLine;&NewLine;&NewLine;&NewLine;<p>For now three times a week flight is good&period; It gives us time to&NewLine;fly&comma; review what we did the previous day&period; And we have seen some things&comma; we were&NewLine;not perfect&comma; we have seen some things that we should have done better&comma; those&NewLine;things are being corrected&period;&nbsp&semi; And they are not things bordering on safety&semi;&NewLine;they are things bordering on food&comma; catering and all that&period; So those ones will be&NewLine;attended to as quickly as possible&period;&nbsp&semi; You talked about load factor&period; You saw&NewLine;it for yourself&period; Out of about 316 passengers or thereabout&comma; we had 274 paying&NewLine;passengers&comma; so about 30 plus were non-revenue&nbsp&semi;passengers&period; The aircraft is&NewLine;a 364-seater plane&period;<&sol;p>&NewLine;

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