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The Nigeria Civil Aviation Authority has temporarily suspended the enforcement of its “no pay, no service” directive against certain airlines with outstanding statutory remittances, following extensive consultations and a review of current operating realities.
NCAA, in a press release on Sunday, said the decision was influenced by the rising cost of aviation fuel and its impact on airline operations and overall industry stability.
“This decision follows extensive consultations within the sector and a careful review of current operating realities, particularly the rising cost of aviation fuel and its impact on airline operations and overall industry stability,” the statement read.
The authority said that the suspension does not represent a cancellation, waiver or forgiveness of outstanding statutory financial obligations.
“It is important to state clearly that this suspension does not represent a cancellation, waiver, or forgiveness of outstanding statutory financial obligations as such decision is beyond the purview of the Authority,” NCAA said.
NCAA said it would pursue structured engagements with airlines individually to ensure recovery of debts in a manner that supports both compliance and sector stability.
“It would be recalled that His Excellency, President Bola Ahmed Tinubu GCFR, in his magnanimity, already approved a 30% discount on such outstanding fees owed by domestic airlines to aviation agencies, including NCAA,” NCAA added.
“This relief, as contained in a statement by the Honourable Minister of Aviation and Aerospace Development, is part of Federal Government’s broader efforts to cushion the impact of the high cost of Jet A1 fuel, stabilise the aviation industry and safeguard airline operations.
“All affected operators, therefore, remain fully responsible for the settlement of their statutory debts, and the NCAA will pursue structured engagements with airlines individually, to ensure recovery in a manner that supports both compliance and sector stability.”
NCAA stated that the five per cent Ticket and Cargo Sales Charge is a statutory component of the aviation system in Nigeria, required by the Civil Aviation Act.
“It must be emphasised that this charge is collected at the point of ticket and cargo sales by airlines on behalf of the aviation ecosystem, and is expected to be remitted to the NCAA for defined purposes. It is not a part of operating profit or revenue for the collecting airline, and must therefore not be treated as such,” it said.
The authority explained that the funds are shared among the NCAA and key aviation service providers to sustain safe, efficient and internationally compliant aviation operations.
“Within this structure, the Nigeria Civil Aviation Authority operates on a cost recovery basis and does not receive direct funding from the Federal Government for its day-to-day regulatory activities. The funds derived from statutory charges are therefore not only essential, but critical, to sustain oversight functions,” NCAA said.
“The temporary suspension of the ‘no pay, no service’ measure is a calibrated step aimed at maintaining operational stability within the sector while continued engagement is pursued toward full settlement of outstanding obligations.
“NCAA’s decision is, therefore, predicated on maintaining a balance between regulatory enforcement and the need to ensure that the industry continues to function without avoidable disruption, while still upholding the principle that statutory charges already collected must be remitted for their intended purposes.”
— NigeriaCAA (@NigeriaCAA) May 24, 2026
