File: Minister for Aviation and Aerospace Development, Festus Keyamo. Nigeria’s aviation sector has witnessed escalating tensions between the NCAA and Airline Operators of Nigeria, marked by debt disputes, regulatory reversals, and criticism from operators over the regulator’s perceived revenue-driven enforcement approach, OLASUNKANMI AKINLOTAN reports In the last couple of days, the aviation industry in Nigeria has been experiencing drama in ‘seasons and episodes’ between the regulators, the Nigeria Civil Aviation Authority, and operators under the umbrella of the Airline Operators of Nigeria.
The fragile industry may be heading into another turbulent phase as tensions deepen between the Nigeria Civil Aviation Authority and domestic airline operators over disputed statutory charges running into billions of naira. What began as an internal regulatory directive quickly escalated into a public confrontation after the NCAA slammed 11 airlines with a controversial “No-Pay-No-Service” order over alleged unpaid remittances linked to the five per cent Ticket Sales Charge and Cargo Sales Charge.
The storm revolves around some of the country’s largest carriers, such as Air Peace, Ibom Air, Arik Air, United Nigeria Airlines, Max Air, ValueJet, among others, who have been accused by the regulator of failing to remit statutory payments. An internal memo dated 22 May 2026 directed all NCAA departments to withhold regulatory and administrative services from the affected airlines pending financial clearance from the Directorate of Finance and Accounts.
“The DGCA has directed that no directorate should render any service to the above airline without financial clearance from the Director of Finance and Accounts,” the memo stated. The order immediately sent shockwaves across the industry, triggering fears of disruptions in flight schedules, operational bottlenecks and fresh uncertainty for thousands of passengers relying daily on domestic air travel.
Defending the decision, Director-General of the NCAA Chris Najomo insisted the regulator could no longer ignore the non-remittance of charges critical to sustaining aviation oversight and safety functions. According to the NCAA, the controversial five per cent Ticket Sales Charge and Cargo Sales Charge are statutory funds collected by airlines on behalf of the aviation ecosystem to support safety oversight, personnel training and economic regulation.
Industry insiders say the regulator’s position reflects growing concerns within the agency over dwindling financial liquidity and the implications for Nigeria’s compliance with international aviation standards. Although the NCAA acknowledged the severe economic realities confronting local airlines, it maintained that delayed remittances could undermine its ability to sustain risk-based safety surveillance and meet global oversight obligations.
But barely 24 hours after issuing the hardline directive, the regulator backtracked and announced a temporary suspension of the “No-pay-No-service” order. According to them, the sudden reversal followed intense consultations within the industry. “This decision follows extensive consultations within the sector and a careful review of current operating realities, particularly the rising cost of aviation fuel and its impact on airline operations and overall industry stability,” the NCAA said in a follow-up statement.
The body also stressed that the suspension did not amount to debt forgiveness, stating, “It is important to state clearly that this suspension does not represent a cancellation, waiver, or forgiveness of outstanding statutory financial obligations.” Yet, rather than calming tensions, the NCAA’s actions opened another chapter in the long-running battle between regulators and operators over the controversial Ticket Sales Charge.
Within hours, the Airline Operators of Nigeria fired back strongly, accusing the NCAA of misleading the public and attempting to regulate airlines through media pressure. In one of its strongest statements in recent years, the umbrella body for domestic airlines declared that its members do not owe the NCAA “a dime” in regulatory service charges.
The AON aims to clarify recent media publications attributed to the NCAA, which depicted member airlines as owing the regulatory agency for services provided to operators, stating, “These publications are not only misleading but represent a worrisome and unacceptable attempt to use the media to regulate operators outside the established regulatory framework.