The Federal Airports Authority of Nigeria (FAAN) has set up a committee to map out plans to boost revenue generation for the agency, especially from non-aeronautical business.
Managing Director of FAAN, Mr. Saleh Dunoma, disclosed these to aviation journalists at the week in an interview at the agency’s headquarters at the Murtala Muhammed Airport (MMA), Lagos.
Dunoma said that it was high time FAAN diversified it’s revenue generations away from aeronautic services (like taxes and incomes paid by airlines for use of airports) to non-aeronautic services like hotels, car parks, shopping malls, tourism, among others. Dunoma said other airports around the world were making more money from non-aeronautical sources than aeronautical sources.
He said the committee would fashion out modalities on how FAAN would boost its non-aeronautical revenue.
He declared that FAAN as an agency could not be left behind in development of its airport infrastructure, stressing that the only way to achieve this was for it to diversify its revenue generation and tap into the myriad of opportunities in the system.
He said: “What we intend to do is to diversify our revenue sources. In Africa, we have not tapped into non-aeronautical sources and we are encouraging African airports to look at non-aeronautical revenue sources of revenue because aeronautical sources of revenues have limitations; they are highly dependent on flight operations.
“The non-aeronautical revenues are being developed so much that they can be in pari-passu with the aeronautical sources of revenues. This is what we want African airports to develop.”
He explained further that before the end of the year, Aviation Security (AVSEC) personnel would have been approved to bear arms in order to increase their surveillance of the sector.