Tension is brewing in the country’s aviation industry again over who has
the legal right to continue to be in charge of revenue collection for
the Federal Airports Authority of Nigeria (FAAN).
FAAN had, on
October 31, 2007, entered into a concession agreement with Maevis
Limited for the acquisition, installation, operation and management of
an Integrated Airport Operation Management System (AOMS), Common User
Self Service System (CUSS), Flight Information Display System (FIDS),
Airport Pricing and Billing System, a proactive revenue management
system and an electronic payment gateway system.
The agreement
covered the nation’s four major airports, namely: Murtala Muhammed
International Airport, Ikeja; Nnamdi Azikiwe International Airport,
Abuja; Port-Harcourt International Airport, Port-Harcourt and the Mallam
Aminu Kano International Airport, Kano.
The agreement specified
that Maevis was to solely fund the project at a total cost of N3,
959,293,695.97. The agreement was for a period of 10 years in the first
instance subject to a renewal term of five years, based on satisfactory
performance and on terms and conditions to be agreed upon by the parties
at the time.
By the agreement, FAAN was to pay Maevis two per
cent of the base revenue collected and where revenue collected exceeded
FAAN’s projected base revenue (as contained in Schedule 3 of the
annexure to the agreement in any year), 35 per cent of that additional
revenue.
FAAN, however, gave SITA all the necessary backing to
continue from where Maevis stopped, a situation which made the Nigerian
firm to challenge the illegal take- over of its function by SITA.
FAAN’s
decision to award the contract to SITA, according to Maevis, had led to
its inability to collect revenue due to the Federal Government of
Nigeria pursuant to the facilities it provided under the agreement.
Respite,
however, came the way of Maevis on Monday, when Justice Buba’s
judgement did not only order SITA to vacate FAAN premises for Maevis,
but to also pay N5 billion as general damages for inducing the
government organisation to breach the subsisting agreement with the
Maevis.
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