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FAAN hikes passenger service charge by 100% in September

FAAN says it needs to increase the charge to cover its overhead costs.

The passenger service charge was last reviewed in 2011 [Guardian]
The Federal Airports Authority of Nigeria (FAAN) will increase its passenger service charge by 100% starting September 1, 2020.
The old N1,000 charge for domestic flights will increase to N2000, while the $50 charge for international flights will increase to $100.
Passengers within the Economic Community of West African States (ECOWAS) region will pay $80.
FAAN managing director, Rabiu Yadudu, said during a press conference in Abuja on Thursday, August 27 that the increase is a necessity.
Even though the plan has been in motion for years, Yadudu said the current COVID-19 pandemic which has hit the aviation industry very hard makes it an even more pressing need.
“Our revenue is down by over 95%. In that case, we will do whatever we can legitimately to ensure we carry out our duties.
“We need to survive. There is no better time than now for FAAN to do this,” he said.

Rabiu Yadudu says FAAN is struggling with overhead costs [ThisDay]
The agency has argued in the past that the current rates, last reviewed in 2011, are outdated, and that the new rates will help FAAN improve and upgrade airports infrastructure.
The service charge is collected by airlines from passengers passing through Nigerian airports, and remitted to FAAN.
Yadudu appealed to airlines, passengers and other stakeholders on Thursday to bear with the changes.

Source: Pulse Nigeria
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