The House of Representatives Committee on Aviation on Thursday questioned the ties between Nigeria and Ethiopia on the Nigerian Air project.
At a public meeting held on Thursday in Abuja, the MPs expressed their worries while pledging to protect the national interest.
Sen. Hadi Sirika, the Minister of Aviation, was cited as claiming that Nigeria only owns a 5% stake in the arrangement with Ethiopian Airlines that resulted in the founding of Nigerian Air, according to Rep. Preye Oseke (PDP-Bayelsa).
He added that the members who heard the minister mention Ethiopian airline as key partners were incensed.
According to the congressman, Ethiopian Airline‘s choice to submit the lone proposal for the project was the outcome of a procedure that required the committee to be given an explanation.
The chairman of the committee, Rep. Nnolim Nnaji (PDP-Enugu), said that a number of Nigerians have expressed concerns about the establishment of Nigerian Air.
He claims that Ethiopia is a rival to Nigeria and that the business module will transfer Nigeria’s edge to Ethopia, a smaller nation.
“The traffic is in Nigeria and that Nigeria is not doing well today does not mean it cannot do better tomorrow,” he stated.
Additionally, he claimed that the largest local traffic in Africa was set to be taken over by Ethiopian Airlines, which already flies internationally.
A Nigerian airline was required, according to Mr. Allen Onyema, Vice President of the Airline Operators of Nigeria (AON).
Because Ethiopia has tried everything to get front- and back-door entry to the Nigerian market, starting with Dana’s employment of Airs Sky, he claimed that AON is wary of Ethiopia.
According to Onyema, Nigeria will not benefit from Ethiopia’s route and that the Nigerian Air should be totally funded by Nigerian capital.
The Nigerian government holds 5% of the shares, the Ethiopian airline consultative committee owns 59%, and Nigerian investors control 46%, according to Sen. Hadi Sirika, the minister of aviation, in his statement to the committee.
As seen by the success of Nigerian Airways, he said, stakeholders did not believe businesses controlled by the Nigerian government would be successful. However, Nigeria was given 5% of the shares.
The Minister went on to say that the proposed airline would be successful if it were structured and run similarly to the wholly owned government carrier, Ethopia Airline.
He asserted that the 5% was required to give the airline a sovereign financier and to boost investor confidence.
The minister continued by stating that it was legal under the relevant laws to have Ethiopian Airlines as the lone bidder.
In accordance with the Swiss challenge, he said, anyone who would be willing to match the single bidder might still step forward after the procedure.
Sirika reported that President Muhammadu Buhari gave the national airline until the end of December to start operations.
According to Sirika, the ministry had invited all parties involved in the Nigerian aviation industry to take part in and make investments in the creation of the national carrier.
“From all the submissions we received, we have identified partners and investors and we are currently negotiating and processing the Air Operator Certificate (AOC).
“I want to commit here that between now and the end of the year this airline will work,” he said.