Nigeria: FG Moves to Enforce $300 Helicopter Levy As IOCs Get 7-Day Ultimatum

There is an imminent showdown between the federal government and international oil companies (IOCs) and the operators of floating production storage and offloading (FPSO) in Nigeria following a seven-day ultimatum for the remittance of the $300 helicopter landing fees, Daily Trust can report.

The Nigeria Airspace Management Agency (NAMA) issued the ultimatum on Tuesday in a notice published in some national dailies.

The helicopter landing levy is imposed on helicopter landing at oil rigs and platforms through a consultant, NAEBI Dynamic Concept.

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The federal government under former President Muhammadu Buhari, through the Ministry of Aviation and Aerospace Development, introduced the levy which airline operators including oil companies kicked against.

A memo emanating from the ministry had last year directed helicopter operators to compulsorily pay helicopter landing fees at all Nigerian aerodromes, helipads, airstrips, floating production storage and offloading (FPSO) units, floating storage and offloading (FSO) units and other oil platforms.

However, the present Minister of Aviation and Aerospace Development, Festus Keyamo, SAN, announced the temporary suspension of the levy in May, 2024.

He said further actions on the matter would be taken after a review committee submits its report for scrutiny.

However, exactly one year later, the federal government lifted the suspension, according to a recent circular signed by Akut D.S., General Manager, Air Traffic Control Operations, the Nigerian Airspace Development Agency (NAMA).

Daily Trust learnt that despite the approval, compliance is still very low with oil and gas companies contesting the $300 levy per landing at oil rigs and platforms.

But on Tuesday, NAMA gave the affected operators seven days to comply.

In the notice titled, "Enforcement of Helicopter Landing Levies for Air Navigation Services in Oil Fields, Terminals, Rigs, Floating Production Storage and Offloading (FPSO) Units, Helipads, Airstrips, and Aerodromes," NAMA stressed the need for full compliance with the provision of the Nigerian Airspace Management Agency (NAMA) on the prompt payment of helicopter landing levies for air navigation services rendered by the Agency within the Nigerian airspace and cover operations at Oil Fields Terminals, Platforms, Rigs, Floating Production Storage and Offloading (FPSO) units, Helipads, Airstrips, and Aerodromes

It explained that since 2022, the agency, in partnership with Naebi Dynamic Concepts Limited, has consistently issued multiple written communications to engage oil and gas operators on the statutory provisions of the NAMA Act.

According to the agency, "these proactive efforts have not yielded the desired compliance, due to the influence of certain individuals who have worked with them against adherence to established regulatory requirements."

The statement said, "It is important to emphasize that the enforcement of helicopter landing levies aligns with Global Best Practices and is currently implemented across International Civil Aviation Organization (ICAO) member states in Europe, Asia, and the Americas.

"These levies are essential to sustaining the maintenance, upgrading, and acquisition of modern air navigation infrastructure, critical for the safe and efficient management of Nigeria's airspace, particularly given the growing operations of drones, helicopters, and fixed-wing aircraft.

NAMA explained that the agency may decide to shut down and relocate facilities used for unauthorised navigational operations within the Nigerian airspace in line with Section 8(3) of the Act.

"As responsible and law-abiding international corporate entities, the Nigerian Airspace Management Agency (NAMA) hereby calls on all affected oil companies to, within seven (7) days from the date of this publication, formally communicate to Naebi Dynamic Concepts Ltd their proposed payment plans and modalities for applicable air navigation levies.

"Failure to comply within the stipulated time frame will trigger appropriate enforcement measures, including the denial of flight clearances for helicopter operations to Oil Fields, Terminals, Platforms, Rigs, Floating Production Storage and Offloading (FPSO) units, Helipads, Airstrips, and Aerodromes.

"This action is undertaken not merely to enforce regulatory compliance, but to safeguard national security, enhance aviation safety, promote operational sustainability, and ensure the continued efficiency of Nigeria's aviation ecosystem, all in alignment with international obligations and globally accepted best practices," he said.

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