The Federal Airports Authority of Nigeria (FAAN) has begun incomes income from the Murtala Muhammed Airport Terminal Two (MMA2) in Lagos following a agreement between the Federal Govt and Bi-Courtney Aviation Products and services Restricted over a dispute that lasted just about twenty years.
The Minister of Aviation and Aerospace Construction, Festus Keyamo, disclosed this on Tuesday right through the formalisation of the agreement involving the Federal Govt, FAAN, Bi-Courtney and Stabilini Visinoni Restricted.
“FAAN had no longer earned a kobo from MMA2 for the ultimate twenty years as a result of disputes. Lately, FAAN starts to earn its cash from MMA2,” Mr Keyamo mentioned.
The settlement supplies for the resumption of concession charge bills to FAAN and the reciprocal waiver of specified historic monetary and different claims through the events.
Mr Keyamo mentioned the Federal Government Council (FEC) authorized the framework for the negotiated agreement on 30 April 2026, following discussions geared toward resolving the long-running dispute.
What the agreement adjustments
Beneath the revised settlement, Bi-Courtney has agreed to waive its remarkable claims towards the Federal Govt, whilst the federal government and FAAN will relinquish specified historic claims towards the concessionaire, together with gathered concession charges and similar bills coming up prior to the settlement.
The minister mentioned the association was once meant to get to the bottom of previous disagreements and identify clearer contractual duties for the events going ahead.
The agreement additionally addresses a dispute over the Basic Aviation Terminal (GAT), often referred to as the Previous Home Airport.
In keeping with Mr Keyamo, the revised settlement recognises the terminal as the valuables of the Federal Govt, to be operated through FAAN.
The minister mentioned the federal government had agreed to permit Bi-Courtney to enlarge its apron and accommodate regional flights inside Africa at MMA2, matter to the terminal’s capability.
The settlement additionally restores rights and gives for separate hire preparations masking a four-star lodge and convention centre close to the airport. The amenities have remained unfinished for years.
Mr Keyamo mentioned the federal government would retain regulatory oversight over safety, get admission to, emergencies and upkeep requirements, whilst the events would paintings in combination to enforce the revised preparations.
Background to the dispute
In April, PREMIUM TIMES had reported that the Federal Govt had reached a agreement with Bi-Courtney to get to the bottom of the long-running dispute over MMA2 after years of litigation and disagreements over the airport concession.
Mr Keyamo on the time mentioned the Federal Government Council (FEC) had authorized the negotiated agreement, which incorporated concessions through each events, revised operational preparations and plans to revive govt income from the terminal.
The dispute originated from a concession settlement signed on 24 April 2003 involving the Federal Govt, Bi-Courtney and Stabilini Visinoni Restricted for the design, development, operation and eventual switch of the home terminal.
The settlement to begin with lined 12 years from 7 Might 2007 however was once therefore prolonged to 36 years.
Disagreements over contractual duties, monetary claims and the scope of the concession resulted in more than one court docket instances throughout successive administrations.
Bi-Courtney maintained that it were denied advantages underneath the concession, whilst FAAN asserted its personal monetary entitlements and duty to give protection to public airport belongings.
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The dispute additionally concerned the possession of the Basic Aviation Terminal and fiscal claims attached to the Asset Control Company of Nigeria.
Mr Keyamo mentioned the newest agreement adopted negotiations between the federal government and the chairman of the Bi-Courtney Workforce, Wale Babalakin, with criminal, industrial and technical groups concerned within the procedure.
He added that the settlement would give Bi-Courtney higher walk in the park to spend money on the terminal whilst permitting the federal government to renew income assortment and plan airport construction underneath the revised framework.
He prompt FAAN and Bi-Courtney to make sure that the agreement led to finished amenities, dependable products and services and advanced airport operations.
“The travelling public must see the lead to functioning amenities and constant provider. This is how the worth of this agreement will probably be measured,” he mentioned.
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