By DAYO ADESULU
Existing Agreement with Terminal Operator Raises Questions About New Project
The Lagos State Government’s ambitious plan to construct a new airport to complement the Murtala Muhammed Airport may face legal hurdles due to an existing agreement with Bi-Courtney Aviation Services Limited. This agreement prohibits the construction of another airport terminal in the state while the concession for the current terminal remains active.
Recent Developments in Airport Plans
On Friday, Governor Babajide Sanwo-Olu met with senior officials from the Nigeria Civil Aviation Authority and the Federal Airport Authority of Nigeria to discuss expediting the construction of the proposed airport in the Lekki area. The meeting focused on seeking professional advice and regulatory approval to move forward with the project.
Industry experts have expressed support for the new airport, emphasizing that its completion would help alleviate congestion at the heavily trafficked Murtala Muhammed Airport. In October 2022, the Federal Government had already approved the construction of the Lekki International Airport, promising to initiate work in 2023.
Background of the Existing Agreement
The legal complications arise from a 36-year concession agreement signed between the Federal Government and Bi-Courtney Aviation Services Limited before the commissioning of Murtala Muhammed Airport Two (MMA2) on April 7, 2007. This agreement explicitly restricts the construction of another airport terminal in Lagos while the concession is active, which has only been in effect for 17 years thus far.
The Lagos State government first proposed the idea of a new airport in 2009 during the Babatunde Fashola administration, intending to pursue it through a Public-Private Partnership (PPP) model. However, the project faced delays due to landowner opposition and financing challenges. A report from 2011 indicated that approximately N102 billion had been allocated for the airport’s construction, but progress stalled after Fashola left office in 2015.
Current Status and Reactions
Governor Sanwo-Olu has revived interest in the project, stating that the new airport will be located alongside the Lekki–Epe Expressway, covering an area of 3,500 hectares. Despite the excitement surrounding the plans, attempts to obtain comments from Bi-Courtney Aviation Services regarding the potential legal implications have been unsuccessful. The company’s Head of Corporate Communications, Ajoke Yinka-Olawuyi, declined to comment on the matter.
The Commissioner for Information in Lagos State, Gbenga Omotoso, also refrained from providing insights when approached for comments.
Support for the New Airport
Experts in the aviation sector, such as Olumide Ohunayo, Director of Research at Zenith Travel Limited, have advocated for the necessity of an additional airport in Lagos. With a population of approximately 20 million and a burgeoning middle class, they argue that a second airport is vital for the region’s economic expansion.
Nuhu Adam, Managing Partner at TMSS Logistics, hailed the government’s announcement as a “game changer” for Lagos, highlighting the airport’s potential role within a free-trade zone framework. However, he cautioned that the government must carefully navigate the existing legal agreements to avoid complications that could deter investors.
Conclusion
As the Lagos State Government moves forward with plans for a new airport, the legal implications of existing agreements with terminal operators remain a significant concern. The outcome of this situation will not only affect the proposed airport project but could also have far-reaching consequences for the aviation sector and economic development in Lagos State.
