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Home Aviation

NCAA Warns Funding Cut Could Threaten Aviation Safety and ICAO Ratings

byAdedipe Temilolaoluwa
August 2, 2026
in Aviation, Business, News
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The Nigerian Civil Aviation Authority (NCAA) has warned that plans to reduce its share of aviation revenue could weaken safety oversight and affect Nigeria’s performance in future international aviation safety assessments.

The warning follows a proposal before the National Assembly to change how the statutory five percent Ticket Sales Charge and Cargo Sales Charge collected from airlines is shared among aviation agencies.

Under the current arrangement, the NCAA receives 56 percent of the revenue, while the Nigerian Airspace Management Agency (NAMA) gets 22 percent. The remaining funds are shared among the Nigerian Meteorological Agency (NiMet), the Nigerian College of Aviation Technology (NCAT) and the Nigerian Safety Investigation Bureau (NSIB).

The proposed amendment would reduce the NCAA’s allocation to 40 percent while increasing NAMA’s share to 40 percent.

Speaking on the issue, NCAA Director of Public Affairs and Consumer Protection, Michael Achimugu, said the authority strongly opposes the proposal because it could reduce the resources needed to regulate aviation safety across the country.

According to him, the NCAA is already operating with limited funding, and the International Civil Aviation Organization (ICAO) had previously identified inadequate funding as one of the regulator’s weakest areas during its safety audit.

He explained that although Nigeria achieved a high overall score in the last ICAO audit, further reductions in funding could make it difficult to maintain safety standards and could result in poor ratings or possible penalties during future inspections.

Achimugu argued that solving NAMA’s financial challenges should not come at the expense of the country’s aviation regulator. He maintained that in many countries, air navigation agencies generate enough revenue to support their operations instead of depending on funds allocated to safety regulators.

He also noted that delayed government budget approvals have affected the NCAA’s ability to organise important training programmes for aviation inspectors and technical staff. According to him, several training sessions planned for 2026 have not taken place because the necessary funds have not yet been released.

Industry experts, however, believe the discussion should go beyond simply changing the revenue-sharing formula.

Aviation analyst and Aviation Round Table member, Olumide Ohunayo, said one of the biggest problems facing aviation agencies is the large amount of internally generated revenue they are required to remit to the Federal Government.

He argued that money earned by aviation agencies should be reinvested in infrastructure, staff development and safety improvements instead of being transferred mainly to government accounts.

Ohunayo also expressed concern over the growing administrative costs within several aviation agencies. He said the creation of additional directorates and management positions has increased spending on salaries, official vehicles and allowances, reducing funds available for critical investments.

According to him, agencies should first demonstrate financial discipline and reduce unnecessary expenses before requesting larger shares of available revenue.

Despite his concerns, Ohunayo acknowledged that both the NCAA and NAMA perform essential roles in maintaining safe and efficient air transport in Nigeria. He said there may be a need to review the existing revenue-sharing formula, especially as some aviation agencies now perform broader national responsibilities.

Supporters of the proposed amendment argue that NAMA requires more funding to maintain air navigation equipment, communication systems and other critical infrastructure that support safe flight operations across the country.

Meanwhile, several industry stakeholders have urged the Federal Government to tackle wider financial challenges in the aviation sector. They believe recovering unpaid ticket sales charges from airlines, reducing statutory remittances and increasing investment in aviation infrastructure would provide more lasting solutions than simply redistributing existing revenue.

The outcome of the debate is expected to shape how Nigeria funds aviation safety and infrastructure development in the years ahead.

Tags: Air TransportAviation IndustryAviation SafetyBusiness NewsGovernment PolicyICAONAMANational AssemblyNCAANigeria Aviation
Adedipe Temilolaoluwa

Adedipe Temilolaoluwa

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