The Nigeria Civil Aviation Authority (NCAA) has granted domestic airlines a 90-day grace period on the implementation of Advance Payment Guarantees (APGs) targeted at ensuring timely remittance of the statutory five per cent Ticket Sales Charge (TSC).

This decision is coming after a high-level engagement between the aviation regulator and the Airline Operators of Nigeria (AON) which was held on Monday, 2 February 2026, at the NCAA’s corporate headquarters in Abuja.

The meeting was convened after the AON formally requested clarification on the NCAA’s directive requiring airlines to provide bank-backed APGs. According to NCAA, the guarantees are to  safeguard passenger-derived statutory funds, which airlines collect in trust on behalf of the aviation system.

Speaking to the airline operators, Chris Najomo, the Director-General of Civil Aviation,  said the policy was rooted in the Civil Aviation Act 2022 (as amended) and aimed at strengthening financial discipline within the sector.

Related News

“The five per cent Ticket Sales Charge is a cost-recovery mechanism that supports aviation safety oversight, economic regulation and inter-agency responsibilities,” Najomo said.

Najomo expressed concern over consistent delays by some operators in remitting charges, stressing that such delays have continued to disrupt regulatory funding and oversight effectiveness.

“In an industry where safety and regulatory effectiveness are non-negotiable, predictable funding is essential. Advance Payment Guarantees are globally recognised tools for mitigating financial risks associated with statutory collections,” he said.

Ifeoma Okeke-Korieocha is the Aviation Correspondent at BusinessDay Media Limited, publishers of BusinessDay Newspapers. She is also the Deputy Editor, BusinessDay Weekender Magazine, the Saturday Weekend edition of BusinessDay. She holds a BSC in Mass Communication from the prestigious University of Nigeria, Nsukka and a Masters degree in Marketing at the University of Lagos. As the lead writer on the aviation desk, Ifeoma is responsible and in charge of the three weekly aviation and travel pages in BusinessDay and BDSunday. She also overseas and edits all pages of BusinessDay Saturday Weekender. She has written various investigative, features and news stories in aviation and business related issues and has been severally nominated for award in the category of Aviation Writer of the Year by the Nigeria Media Nite-Out awards; one of the Nigeria’s most prestigious media awards ceremonies. Ifeoma is a one-time winner of the prestigious Nigeria Media Merit Award under the 'Aviation Writer of the Year' Category. She is the 2025 Eloy Award winner under the Print Media Journalist category. She has undergone several journalism trainings by various prestigious organisations. Ifeoma is also a fellow of the Female Reporters Leadership Fellowship of the Wole Soyinka Centre for Investigative Journalism.

Join BusinessDay whatsapp Channel, to stay up to date

Open In Whatsapp