Nigerian Airlines to spend N560bn on overseas Aircraft Maintenance
By the end of this year, Nigerian airlines are expected to spend over N560 billion for the maintenance cost of over 350 aircraft that are expected to go for both ‘C and D checks, New Telegraph has learnt. And unless the Federal Government floats aircraft maintenance facilities, the country and airline operators would continue to lose several billions of naira to ferry their airplanes abroad for maintenance checks.
In 2013, Nigerian airlines spent over $1.22 billion (N200 billion) when the exchange rate was at N200 to $1 on overseas checks due to lack of any major maintenance facility, according to statistics given by the former Director General of the Nigerian Civil Aviation Authority (NCAA), Dr. Harold Olusegun Demuren.
Nigeria has about 350 aircraft in operations (scheduled, charter and privately owned) that are ferried overseas for major repairs resulting in ridiculous capital flights. South Africa, Egypt, Morocco and Ethiopia have workable Maintenance Repairs Overhaul (MRO) facilities, as well as airports that operate as hubs.
The process of taking aircraft overseas for repairs, according to aircraft engineers, takes a minimum of two weeks with a corresponding loss of about $500,000 (N160 million) for C-Check on Boeing 737 while Embraer 190 or Fokker 100 would cost $300,000 (N110 million) during the same period. Regrettably, many of the Nigerian airlines take their aircraft abroad for repairs at exorbitant financial penalty.
More so, the aircraft are paced in queue for weeks before they are attended to. Given the complex facility requirements and the needed investment, it would be an uphill task for a single airline to build a maintenance hangar in Nigeria.
A former spokesman for Airline Operators of Nigeria (AON), Mohammed Tukur, called for the need for partnership between the government and private investors to establish a local maintenance facility that could save the airlines over 50 per cent of maintenance costs and make Nigeria a technical hub for aircraft maintenance. MRO costs encompass both the outgoing charges and the revenue forgone during the out-of-service time.
The various maintenance checks are the ‘A’, ‘B’, ‘C’ and ‘D’. ‘A’ and ‘B’ checks are lighter checks, while ‘C’ and ‘D’ checks are considered heavier checks. ‘CCheck’ is one of the heavy checks that is more extensive than the ‘B-Check’ and requires a large majority of the components to be inspected, during which the aircraft is put out of service and kept in the hangar until the checks are completed.
‘D-Check’ is the most comprehensive, demanding and expensive of all the checks. It is usually referred to as Heavy Maintenance Visit (HMV). ‘DCheck’ involves taking the entire aircraft apart for inspection and overhaul. The paints may also need to be completely removed for detailed inspection of the fuselage structural integrity.
In carrying out ‘C and D Checks’, Nigerian airlines would require millions of dollars and much more so when the checks are done abroad in places such as South Africa, Canada, Ethiopia, and Turkey, among other nations. Speaking in the same vein, former Director of Operations of the defunct Nigeria Airways, Capt. Dele Ore, noted that airlines leasing aircraft are normally required to make payments into one or more maintenance reserve accounts in order to provide for future maintenance expenditures.
Ore added that this would have been another boost to the Nigerian economy, but regrettably it is an alternative forgone. He noted that the Nigerian airspace had ever been laden with carriers that could not attract adequate funding without government’s support to build a maintenance hangar of the size and capacity that are required by modern airliners registered in Nigeria.
Double digits (plus 13 per cent) interest rate, he noted, would encourage airlines to compromise crucial cost elements that would negatively impact on safety and sustainability of the industry. His words: “It might, however, be viable for major players such as Arik Air, Aero Contractors, Medview Airline and others, to participate on building hangar projects.” He regretted that the issues of modern and licensed Aircraft Maintenance Engineers (AME) need to be given serious considerations.
The aviation expert stated that building MRO facilities in Nigeria would save carriers huge revenue they expend on aircraft maintenance overseas, and hence, reduce capital flights. Nigeria is said to have the largest and most modern commercial aircraft fleet in West and Central Africa, but lacks an MRO facility. Its airlines have been urged to build a cooperative alliance with global industry stakeholders, including viable investors that support an indigenous and economically viable MRO facility that would address the industry needs and aspirations.
Source: newtelegraphonline.com
In 2013, Nigerian airlines spent over $1.22 billion (N200 billion) when the exchange rate was at N200 to $1 on overseas checks due to lack of any major maintenance facility, according to statistics given by the former Director General of the Nigerian Civil Aviation Authority (NCAA), Dr. Harold Olusegun Demuren.
Nigeria has about 350 aircraft in operations (scheduled, charter and privately owned) that are ferried overseas for major repairs resulting in ridiculous capital flights. South Africa, Egypt, Morocco and Ethiopia have workable Maintenance Repairs Overhaul (MRO) facilities, as well as airports that operate as hubs.
The process of taking aircraft overseas for repairs, according to aircraft engineers, takes a minimum of two weeks with a corresponding loss of about $500,000 (N160 million) for C-Check on Boeing 737 while Embraer 190 or Fokker 100 would cost $300,000 (N110 million) during the same period. Regrettably, many of the Nigerian airlines take their aircraft abroad for repairs at exorbitant financial penalty.
More so, the aircraft are paced in queue for weeks before they are attended to. Given the complex facility requirements and the needed investment, it would be an uphill task for a single airline to build a maintenance hangar in Nigeria.
A former spokesman for Airline Operators of Nigeria (AON), Mohammed Tukur, called for the need for partnership between the government and private investors to establish a local maintenance facility that could save the airlines over 50 per cent of maintenance costs and make Nigeria a technical hub for aircraft maintenance. MRO costs encompass both the outgoing charges and the revenue forgone during the out-of-service time.
The various maintenance checks are the ‘A’, ‘B’, ‘C’ and ‘D’. ‘A’ and ‘B’ checks are lighter checks, while ‘C’ and ‘D’ checks are considered heavier checks. ‘CCheck’ is one of the heavy checks that is more extensive than the ‘B-Check’ and requires a large majority of the components to be inspected, during which the aircraft is put out of service and kept in the hangar until the checks are completed.
‘D-Check’ is the most comprehensive, demanding and expensive of all the checks. It is usually referred to as Heavy Maintenance Visit (HMV). ‘DCheck’ involves taking the entire aircraft apart for inspection and overhaul. The paints may also need to be completely removed for detailed inspection of the fuselage structural integrity.
In carrying out ‘C and D Checks’, Nigerian airlines would require millions of dollars and much more so when the checks are done abroad in places such as South Africa, Canada, Ethiopia, and Turkey, among other nations. Speaking in the same vein, former Director of Operations of the defunct Nigeria Airways, Capt. Dele Ore, noted that airlines leasing aircraft are normally required to make payments into one or more maintenance reserve accounts in order to provide for future maintenance expenditures.
Ore added that this would have been another boost to the Nigerian economy, but regrettably it is an alternative forgone. He noted that the Nigerian airspace had ever been laden with carriers that could not attract adequate funding without government’s support to build a maintenance hangar of the size and capacity that are required by modern airliners registered in Nigeria.
Double digits (plus 13 per cent) interest rate, he noted, would encourage airlines to compromise crucial cost elements that would negatively impact on safety and sustainability of the industry. His words: “It might, however, be viable for major players such as Arik Air, Aero Contractors, Medview Airline and others, to participate on building hangar projects.” He regretted that the issues of modern and licensed Aircraft Maintenance Engineers (AME) need to be given serious considerations.
The aviation expert stated that building MRO facilities in Nigeria would save carriers huge revenue they expend on aircraft maintenance overseas, and hence, reduce capital flights. Nigeria is said to have the largest and most modern commercial aircraft fleet in West and Central Africa, but lacks an MRO facility. Its airlines have been urged to build a cooperative alliance with global industry stakeholders, including viable investors that support an indigenous and economically viable MRO facility that would address the industry needs and aspirations.
Source: newtelegraphonline.com
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