The Federal Government has signed a 30-year concession agreement for the Port Harcourt International Airport as part of efforts to attract private investment, improve operational efficiency and boost revenue generation.
The Minister of Aviation and Aerospace Development, Festus Keyamo, disclosed this on Thursday in Abuja during the signing of the agreement with Port Harcourt Airport Company Limited.
Keyamo said the concession was designed to unlock the airport’s commercial potential and reduce the financial burden of maintaining loss-making airports on the government.
He explained that profits generated by major airports were often used to subsidise the operations of other airports that were running at a loss.
“Some of our airports are being run at a loss. We make so much money from some of our primary airports, and most of those profits are ploughed into running other airports,” he said.
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The minister said the agreement had received approval from President Bola Tinubu and the Federal Executive Council, describing its completion as the outcome of efforts by successive administrations to concession some of the country’s airports.
According to him, previous attempts were stalled by opposition from labour unions and legal disputes, but the latest process was concluded after consultations and agreements with aviation workers.
Keyamo assured airport workers that the concession would not result in job losses or a reduction in their existing conditions of service.
He said Tinubu had specifically directed that workers’ welfare must be protected throughout the process.
The minister added that the concessionaire would undergo performance assessments every five years to ensure compliance with the agreement.
He warned that the Federal Government could reclaim the airport if the company failed to meet the agreed performance standards.
