IOCs, LOCs, Aviation Ministry officials, Agent meet over Helicopter Landing Levies

The International Oil Companies (IOCs) and Local Oil Companies (LOCs) under the auspices of the Oil Producers Trade Section (OPTS) have settled to follow the recommendations of the ministerial committee established by the Minister of Aviation and Aerospace Management to review the helicopter landing levies collected by the ministry’s agent, NAEBI Dynamic Concepts Limited.

This decision was declared on Wednesday in Abuja after a meeting initiated by the OPTS, between the oil companies, ministry officials, representatives of NAEBI Dynamic Concepts Limited, and aviation industry regulators in the Ministry of Aviation and Aerospace Development, focused on creating a framework for navigational services.

A source familiar with the meeting’s agenda informed the journalists that those discussions generally covered issues related to facilities, building and navigational equipment, and the training of youths already deployed by the IOCs.

The IOCs, the source said were also encouraged to allow NAEBI Dynamic Concepts, the government-approved consultant responsible for collecting landing levies for helicopter services, to support their community relations efforts.

The helicopter landing levies are aeronautical revenues applied within the lower airspace, targeting IOCs and LOCs, not airline operators, in line with global conventions and international best practices.

Beyond generating revenue for the government, these levies on oil fields, terminals, platforms, rigs, floating production storage and offloading (FPSO) units, helipads, airstrips, and aerodromes are also intended to support national security.

However, findings indicated that the amended NAMA Act 2023, particularly Section 8(1)(a), mandates the provision of air traffic services in Nigeria and in any place where Nigeria is responsible for air navigation services. Besides, Section 8(1)(w) of the amended NAMA Act 1999 empowers NAMA to charge for all services it provides.

While, Section 16 allows the Agency to appoint, contract, liaise, or cooperate with experts, including specialized agencies, academic, or technical institutes, to assist in carrying out its functions.

A committee member, who craved to be anonymous, pointed out that the IOCs and the LOCs were members of the ministerial committee and may have that helicopter landing levies remain.

He mentioned strong evidence and empirical data supporting this as detailed in the ministerial committee’s report on the review or concession for the collection of helicopter landing levies by NAEBI Dynamic Concepts Limited.

The validation from critical stakeholders, job opportunities, legal framework, and various benefits outweigh any known or perceived concerns.

Recall, the Minister of Aviation and Aerospace Development, Festus Keyamo, following initial complaints from the Airline Operators in Nigeria (AON) temporarily suspended the approval granted to NAEBI Dynamic Concepts Limited and directed the formation of a Ministerial Committee which includes all stakeholders to address the issues and provide recommendations.

It was also gathered from the source that as they await Minister’s directive, that the levy may be reviewed, or some sort of concession given to IOCs.

The IOCs in attendance at the meeting include the OPTS – Oil Producers Trade Section, while those that attended virtually include Agip, Shell, Total, Mobil, Elf, Chevron, among others.

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