Keyamo
Ola Wale
The Federal Government has signed a concession agreement for the Akanu Ibiam International Airport in Enugu with Aero Alliance, marking a significant milestone in modernizing Nigeria’s aviation infrastructure through public-private partnerships. This agreement is expected to attract private investment, improve infrastructure, and boost regional connectivity.
The concession agreement was signed by Minister of Aviation and Aerospace Development, Festus Keyamo, and representatives of Aero Alliance, with officials from Enugu State Government and Federal Airports Authority of Nigeria (FAAN) in attendance. The agreement is for an initial 80-year term, with an optional 20-year extension based on performance.
According to Keyamo, the concession will ensure job security for aviation workers, with all existing staff to be transferred to Aero Alliance with their full benefits for an initial 24 months. The government will retain responsibility for pension and gratuity payments for any staff deemed redundant after restructuring.
The concessionaire, Aero Alliance, will have full control over non-aeronautical revenue streams, such as ground handling, cargo fees, rentals, parking, and VIP lounge fees, without needing government approval. However, aeronautical tariffs, including landing fees and passenger service charges, must be submitted for government approval.
The Enugu Airport concession is part of the Federal Government’s wider aviation reform programme aimed at attracting private investment, improving infrastructure, and strengthening Nigeria’s competitiveness in the aviation sector. The government expects the concession to improve efficiency, service delivery, and passenger experience.
The concession agreement still needs to resolve two outstanding operational matters – security charges and the airport’s financial model – which are expected to be finalized in the coming weeks.
