FAAN MD says Authority remitted N2bn surplus to FG btw Jan-Sept 2020

Fom right: Capt Rabiu Yadudu, MD, Federal Airports Authority of Nigeria; Hon Nnolim Nnaji, Chairman, House committee on Aviation and Hon Musa Muhammed, Deputy Chairman during oversight visit to the Auhority at the Murtala Muhammed Airport, Ikeja, Lagos on Tuesday


…says FAAN pays staff salaries in full


Posted by Sade Williams


The Federal Airports Authority of Nigeria (FAAN) remmited N2 billion into the Consolidated Revenue Fund (CRF) account between January and September, 2020, Captain Rabiu Yadudu, Managing director of FAAN has said.

He made this revelation in his opening remarks during the oversight visit of the House of Representatives Committee on Aviation to the Authority on Tuesday in Lagos.

“FAAN does not have operating surplus.  However, between January and September 2020, the Authority has remitted about N2 billion to the Consolidated Revenue Revenue Fund (CRF) account. The Authority is also mindful of the Natonal Assembly committees on Aviation in ensuring that FAAN is exempted from payment of operating surplus to the Federal government.  Exception of FAAN will guarantee that the revenue generated by the airports is tranparently reinvested wholly in operating and developing airpot facilities in compliance with International Civil Aviation Organisation (ICAO) standards and recommended practices on airport generated revenue” , he said.

On the Internally Generated Revenue (IGR), Yadudu said as at September 30, 2020, the Authority generated a total of N30, 084, 235, 670, during the nine months target set, out of which N27, 967, 455, 341 was actual  collection.

“From this amount, N17, 610, 732, 427 was from Aeronautical source of revenue, N5,776, 622, 874 from non-aeronautical source and N5, 242,434,128 recovered from outstanding debts owed.

” From January to September 2020, the revenue target of Aeronautical source was N38, 988, 439, 354 and actual generation totalled N17, 823, 332,992 out of which N17, 610, 732, 478 is actual collection giving a percentage performance of 98.81 on revenue collected over generated.

“The Authority is shifting focus from Aeronautical sources of revenue to non-aeronautical, FAAN is presently oorati g at only about 30 percent of its pre-COVID  capacity. The Authority has set up a revenue task force to agressively drive revenue, follow up on outstanding debts owed and explore all possible investment opportunities” , he said.

While appealing to the committee for early consideration of the IGR budget, Yadudu said such will enhance performance of the Authority.

“The 2021 IGR budgt was submitted to the committee for consideration, we believe that early consideration and passage will enable achieve better in 2021” , he said.

 Speaking further, he said: ‘Nigeria s expected to be a hub in West/Central Africa sub-region, adding that this can only be met through more funding for provision of modern infrastructure and technology, this we believe can only be achieved with your support’

“The aviation agencies will urgently need intervention funds from the Federal government to adress infrastructural gaps and position the industry for better service delivery and contribution to the national economy, on this note, we seek your assistance in this area and the other aforementioned areas” , he added.

He thanked the committe for its efforts at repealing existing aviation agencies act and enacting new ones , adding that it will position the agencies for greater and better achievements.

Meanwhile, the FAAN MD has said that salaries are paid in full to staff, dispelling rumors that the Authority has been paying half salaries.

He said they may have challenge in paying everybody at the same time but ‘nobody receives half salary in FAAN, we always say half salary is no salary’.


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