- What’s the gist? New insurance rules for leased aircraft.
- Why should you care? Could lead to cheaper flights!
- Who’s behind it? NAICOM and the Ministry of Aviation.
- The Big Win: Easier for airlines to get new planes.
Good News for Airlines: FG Unveils New Insurance Policy
Big moves in the aviation sector! The Federal Government, in a smart collaboration between the National Insurance Commission (NAICOM) and the Ministry of Aviation and Aerospace Development, has rolled out a revised insurance regulation specifically for leased aircraft. The goal? To make airline operations smoother and more affordable across the country.
Cheaper Flights on the Horizon?
The main aim of this new policy is to bring down the cost of air travel. By making it easier for domestic airline operators to acquire aircraft, we might just see a drop in those sometimes scary ticket prices! Aviation Minister Festus Keyamo (SAN) says it’s all about creating a balanced national policy that meets global standards.
Why This Matters
You see, many international lessors and aircraft manufacturers insist on international insurance coverage before allowing their aircraft to operate in Nigeria. This new regulation seeks to fix the challenges local operators face when it comes to insurance in aircraft leasing.
The Details: What’s Changing?
According to Mr. Olusegun Omosehin, the Commissioner for Insurance, the revised framework will streamline the leasing process for Nigerian airlines. This means relaxing some of the previous strict rules on foreign insurance and getting local insurers more involved.
NCAA Steps Up Its Game
It’s not just about insurance. The Nigerian Civil Aviation Authority (NCAA) has also updated its procedures for deregistering and exporting leased aircraft. This is in line with the Cape Town Convention (CTC) and includes a new process called IDERA (Irrevocable Deregistration and Export Request Authorisation). Basically, it makes it easier to repossess aircraft if an operator defaults.
More Than Just Planes: Boosting the Economy
Those in the know believe these reforms will seriously boost the aviation sector’s efficiency and increase its contribution to the nation’s GDP. This isn’t just about smoother flights; it’s about growing the economy!
Side Note: Did You Know?
Nigeria’s aviation industry has been growing steadily. According to IATA, air transport in Nigeria supports 334,000 jobs and contributes $2.7 billion to the nation’s GDP. This new policy could help these numbers soar even higher!