The decision, announced in a statement on Sunday in Lagos by the Director-General of the NCAA, Capt. Chris Najomo, was attributed to prevailing operational challenges confronting airlines, particularly the rising cost of aviation fuel.
According to the regulator, the move is aimed at easing immediate pressure on operators while maintaining ongoing efforts to recover outstanding debts.
Earlier Directive Targeted 11 Domestic Airlines
The suspension comes days after the NCAA issued an internal memo dated May 22, directing its directorates to withdraw services from 11 domestic airlines over unpaid statutory charges.
The affected carriers included Air Peace Ltd., Ibom Air, Arik Air Ltd., United Nigeria Airlines, Umza Air, NG Eagle, Max Air Limited, Caverton Helicopters, Overland Airways, Rano Air, and ValueJet.
The directive had placed the airlines on an updated “No-Pay-No-Service” list, instructing all departments to suspend regulatory and administrative services until outstanding obligations were cleared or repayment plans agreed upon.
Suspension Not a Waiver of Debt — NCAA
Despite the temporary pause in enforcement, Capt. Najomo stressed that the decision should not be interpreted as debt forgiveness or cancellation.
“The decision to suspend implementation of ‘no pay, no service policy’ should not be interpreted as a cancellation, waiver, or forgiveness of airlines’ financial obligations,” he said.
He maintained that all affected operators remain fully liable for their outstanding statutory remittances.
Fuel Costs, Government Intervention Cited
The NCAA explained that the suspension followed broader discussions around the financial strain on airlines, particularly the surge in Jet A1 aviation fuel prices.
It also referenced earlier approval by President Bola Tinubu, which granted a 30 percent discount on outstanding fees owed by domestic airlines to aviation agencies, including the NCAA.
According to Najomo, the intervention was designed to cushion industry operators and maintain stability across the aviation sector.
Breakdown of the Disputed Charges
Clarifying the nature of the disputed funds, the NCAA highlighted that the five percent Ticket and Cargo Sales Charge is a statutory levy embedded in the cost of air travel and cargo services under the Civil Aviation Act.
“The Ticket and Cargo Sales Charge is a statutory component of the aviation system in Nigeria required by the Civil Aviation Act, and embedded in the cost of air travel and cargo services,” Najomo said.
He explained that airlines collect the charge on behalf of the aviation ecosystem and are required to remit it to the NCAA for regulatory and operational purposes.
“It is not a part of operating profit or revenue for the collecting airline and must therefore not be treated as such,” he added.
Funding and Regulatory Sustainability Concerns
Najomo further noted that the NCAA operates on a cost-recovery basis and does not receive direct federal funding for its routine regulatory activities, making timely remittance of statutory charges essential.
“These funds… are shared among the regulator (NCAA) and key aviation service providers. It performs specific responsibilities that collectively sustain safe, efficient, and internationally compliant aviation operations,” he said.
Balancing Enforcement and Industry Stability
While reaffirming that the suspended directive remains valid in principle, the regulator said the temporary pause reflects a balanced approach between enforcement and maintaining uninterrupted aviation services.
The NCAA added that it will continue engaging airlines individually through structured repayment arrangements to ensure recovery of outstanding obligations without disrupting industry operations.