Ncaa Issues Stern Warning To Airlines Of Nigeria On Tsc Payments, No-pay-no-service Policy Starts January: Here’s To Know More About It

Published on October 31, 2025

The Nigeria Civil Aviation Authority (NCAA) has urged airlines to guarantee nan timely remittance of nan 5 percent Ticket Sales Charge (TSC) collected from nan waste of hose tickets. The agency has emphasized that delayed aliases non-remittance of these costs would consequence successful superior penalties, including nan no-pay-no-service policy, which will beryllium enforced starting January adjacent year. This argumentation is group to person nonstop implications for passengers, arsenic it could effect nan readiness of services from airlines that neglect to comply pinch nan regulations.

The entreaty was made during nan Civil Aviation Cost Recovery and Revenue Optimization Stakeholders’ Retreat, a gathering hosted by NCAA successful Lagos for airline Chief Financial Officers (CFOs) and different manufacture stakeholders. The purpose of nan retreat was to talk nan sustainability of Nigeria’s aviation sector, focusing connected nan financial subject needed to guarantee soft operations for airlines, regulators, and passengers alike.

Strengthening Industry Collaboration for Passenger Benefit

The retreat emphasized nan value of collaboration and synergy wrong nan Nigerian aviation assemblage to amended regulation and operational efficiency. The Director General of Civil Aviation, Captain Chris Najomo, addressed nan stakeholders via Captain Donald Spiff, nan Director of Operations, Licensing, and Training (DOLT). Their connection focused connected enhancing aviation safety and ensuring nan sustainability of nan aviation sector, some of which straight use passengers by ensuring a safe and reliable recreation environment. By improving these areas, nan sector’s publication to Nigeria’s GDP will besides increase, starring to a much unchangeable and prosperous recreation scenery for some home and world travelers.

Consequences of Non-Compliance Impacting Passengers

A important taxable discussed astatine nan retreat was nan challenges posed by nan late remittance of nan TSC. The non-payment of these costs by airlines has hindered nan NCAA’s expertise to supply basal safety and security oversight, which are basal for ensuring safe skies for passengers.

The NCAA further explained that airlines failing to comply pinch nan remittance requirements would look penalties. These see a fine of five cardinal naira aliases a two-year imprisonment word for hose directors, aliases both. Moreover, nan Civil Aviation Regulations (CARs) instruction a monthly surcharge of one percent compound interest connected immoderate outstanding balances, which could impact airline operations and, by extension, nan wide travel experience for passengers.

Introducing nan No-Pay-No-Service Policy for Better Service Delivery

One of nan awesome steps NCAA is taking to guarantee compliance is nan preamble of nan no-pay-no-service policy, which will travel into effect successful January adjacent year. This intends that airlines that person grounded to remit nan required TSC will not person services from nan NCAA. For travelers, this argumentation could mean imaginable delays aliases disruptions, arsenic airlines that person not met their financial obligations whitethorn find themselves incapable to person nan basal approvals, inspections, and permits required to run smoothly.

The no-pay-no-service argumentation emphasizes that NCAA tin nary longer pursuit down airlines for costs that are captious for regulatory services, ensuring that passengers person nan highest standards of information and ratio without disruption. This marks a clear connection that accountability is captious for nan functioning of nan aviation assemblage and, ultimately, nan travel experience.

Financial Struggles of Nigerian Airlines Affecting Passengers

At nan aforesaid retreat, financial challenges faced by Nigerian airlines were highlighted, particularly regarding nan high taxes that load nan aviation sector. Airlines, for illustration Aero Contractors, look sizeable unit from taxation and nan expanding costs of foreign exchange. These taxes are often passed connected to passengers successful nan shape of higher airfares, making aerial recreation successful Nigeria unprofitable for home airlines.

For passengers, this intends nan costs of flights whitethorn proceed to rise, making aerial recreation a little affordable option. Nigerian airlines, which are heavy limited connected foreign suppliers requiring foreign currency, look a difficult financial environment, which could consequence successful less affordable recreation options. Despite these challenges, nan NCAA has made it clear that airlines must fulfill their obligations and meet nan remittance deadlines to guarantee nan continued cognition of nan aviation sector.

Ensuring a Sustainable Aviation Experience for Travelers

As nan deadline for nan no-pay-no-service argumentation approaches, airlines must enactment promptly to comply pinch nan TSC remittance regulations. This is portion of nan NCAA’s broader strategy to enforce financial discipline successful nan assemblage and guarantee that ticket income revenue is efficiently collected to support nan regulatory functions of nan agency.

The introduction of nan no-pay-no-service argumentation will streamline nan postulation of these funds, reducing nan administrative load connected nan NCAA, while ensuring that passengers acquisition minimal disruptions. The NCAA is moving towards a much efficient and sustainable aviation industry successful Nigeria that will use travelers by improving service delivery, safety, and operational efficiency.

Conclusion: Ensuring Accountability for a Better Travel Experience

The NCAA’s telephone to airlines serves arsenic a reminder of nan value of financial accountability and transparency wrong Nigeria’s aviation sector. While nan manufacture faces challenges for illustration high taxes and foreign rate dependence, it is basal for each stakeholders to activity together to guarantee a sustainable and businesslike system that benefits passengers and supports nan maturation of nan aviation industry.

With nan implementation of nan no-pay-no-service policy, nan NCAA is taking decisive steps toward holding airlines accountable for their financial responsibilities. This will thief create a much reliable and safe situation for passengers while ensuring nan aviation sector continues to thrive and lend to Nigeria’s economic growth.

[Source: ThisDay]