Transparency versus the airports concession

VICE President Yemi Osinbajo recently announced that the Federal Executive Council (FEC) has approved the concession of two of the country’s four international airports, the Murtala Muhammed Airport, Lagos  and the Nnamdi Azikwe Airport, Abuja.

Prior to the final approval for the concession of the airport, government through the Minister of State for Aviation, Senator Hadi Sirika, had thrown open the decision to concession the four international airports including the Malam Aminu Kano Airport and the Port Harcourt Airport.

However, with the latest position coming from the country’s vice  president, the situation has become more tensed with key players particularly the aviation unions on behalf of the workers of the Federal Airports Authority of Nigeria (FAAN) threatening fire and brimstone on the excuse that concession was not the best option out of the present challenges.

While the unions and those opposed to the concession plan have the  right to express their opinions, many stakeholders may not totally buy their argument for obvious reasons.

It is no longer hidden that the Federal Government is presently confronted with so many challenges including cash crunch which has made it almost impossible for it to continue to manage huge capital intensive projects like the airports.

It is on record that most of the airports are in bad shape due to poor revenue generation from 18 out of the 24 airports.

Most of the successful airports around the world which are in the hands of  private investors include the London Gatwick coincidentally owned and being managed by the Nigerian born businessman, Dr Bayo Ogunlesi which is obviously doing well.

Since the myriad of challenges confronting the government is almost overwhelming it, running the airports particularly the international airports in line with international standard is almost becoming impossible which has made the concession the only option left.

It is based on this premise that many key players in the sector are backing the concession plan of the government.

The unions’ position against the concession cannot equally be ignored in view of some bad experiences encountered in the past in some privatisation deals carried out.

This time around if government means well with the airport concession plans, there is no point carrying out the negotiations under the table thus leaving generality of Nigerians in the dark.

Expected, in any concession plan, issues that should top discussions should include labour and the procedures or strategies to be employed to make the project as transparent as possible.

Unfortunately, even while the FEC has already granted approval for the concession to start with the most two viable airports, there has been no clear term as to what the government intends to concession.

Even how the government intends to arrive at the would be investors that will bid for the project and other necessary details have been shrouded in secrecy as if the over 160 million Nigerians who have equal rights to the national legacies do not deserve to be carried along.

In view of the above uncertainties, the government will do well by looking into the issues relating to workers’ interest, the logistics, giving every interested investors the needed level playing field while transparency should be the watchword.

It is only when the government makes issues relating to the concession transparent that it will enjoy the full support of Nigerians, otherwise it will have many issues to contend with.