British Airways risks Sanction: Country Commercial Manager Nigeria Kola Olayinka (right) speaks withChairperson House Committee on Aviation, Hon. Nkiruka Onyejeocha and other members as B A is adamant on high flight price in Nigeria during Public Hearing on Cost of Travelling and other matters at National Assembly Abuja. Photo by Gbemiga Olamikan
Also yesterday, British Airways traded words with members of the House Committee on Aviation over reduction of air fares as the Country Manager of British Airways and Iberia, Mr Kola Olayinka, refused to give appropriate answers at a public hearing, prompting the lawmakers to threaten sanction against the airline should it fail to slash fares.Aviation Minister, Princess Stella Oduah, who conveyed government’s message when National President of NBA led other members of the executive on a courtesy and solidarity visit to her office in Abuja, insisted that any investor who was not ready to treat Nigerians with respect and dignity would be shown the way out.
She said: “If what they are doing is right, why are they not doing it elsewhere? Why are they doing it in Nigeria alone?”
The Minister said the show of support and solidarity from the Bar “will boost our morale and reinforce our belief in our cause.”
Princess Oduah lamented that the “last time we signed BASA with Britain was in 1988. Each time we try to review it, they will refuse to sign because they think we are the only ones that need them. All this mentality has to change.”
Stating NBA’s support for the 30-day ultimatum served the foreign airlines to dismantle their fare disparity, NBA President, Mr. Joseph Daudu, SAN, said the disparity in the fares charged passengers travelling from Nigeria to the UK and those travelling from Accra, Ghana, was very obvious and unjustifiable, and commended the courage of the minister to rise to the challenge of halting the unfair treatment of Nigerians by foreign airlines.
He said: “The disparity is very obvious and unjustifiable. These foreign airlines think they have friends in high places and can therefore afford to do as they like, but we are here to assure you of our full support. Now the ultimatum has been issued and we know that violations come with remedies; they should not think we are without remedies.”
Reps threaten sanctions
Meanwhile, the House of Representatives, yesterday, threatened to sanction British Airways and others if they refused to drop prices to a reasonable level.
BA’s Country Manager, Mr. Kola Olayinka, had claimed he would be violating the anti-trust laws of the European Union, EU, if he openly discussed slash or increase of BA fares in the presence of other airlines.
His refusal, however, made the Committee to shift grounds by asking other airlines to excuse BA to make presentations.
The Reps had argued that BA charges as much as $7,098 from Lagos to London, while in Ghana, the British carrier charged $4000 from Accra to London.
Chairman, House Committee on Aviation, Nkiruka Onyejiocha, had asked the airline’s Country Manager to tell how BA could reduce air fares in Nigeria and in his reply, Olayinka simply said the Ministry of Aviation and UK Department of Transport were already discussing a review of air fares and that by June, the prices would be announced.
The discussion went thus: Committee Chairman: “This is exactly what you said while other airlines were here. Are you reducing it, say something regarding the question.“
Olayinka replied: “I’m sorry that I have to repeat myself, not until June when the discussions must have been resolved, I am not in a position to say anything. “
Despite repeated appeals from the Reps, Olayinka remained adamant throughout the special BA time duration.
On resumption, other airlines followed suit as they insisted that they would not also speak in the presence of others.
KLM\Air France, whose airfares are better, also wanted the press to leave after other airlines had left the hall but the Reps bluntly refused, insisting that it was a public hearing.
The lawmakers, however, said the committee would use other avenues to get all the necessary information from BA as the Country Manager did not have the required capacity to deliver.
Foreign airlines are exploitative—NANTA president
Also, President of the National Association of Nigeria Travel Agents, NANTA, Mr. Aminu Agoa, said the foreign airlines were exploitative as they have not more than 250 workforce and make over a billion US dollars every year.
He said: “We have over 5000 workers, despite the fact that the airlines have stopped paying us our commission, this committee should ask them to resume payment of our commission. “
Nigerians must be paid back — Demuren
Director-General of NCAA, Dr Harold Demuren, explained: “We have done the study and we have all the figures, we have the details. We have been on this for the past two years and every Nigerian that had been ripped off must be paid back.
“I want to beg the House of Representatives to take on the travel agents because they are technically involved. They will tell you the tickets are not available, of course it is the normal practice in business but it’s unfair.”
In his presentation, the NCAA helmsman said “specifically, both airlines ,British Airways and Virgin Atlantic, colluded to fix the passenger fuel surcharge in a manner that eliminated or suppressed choice and competition and Nigerians were the victims of this conduct while both airlines reaped huge profits from their misconduct.
“In addition, both airlines deceived Nigerians and used unfair methods in procuring these huge revenues in their businesses.
“For these violations, the NCAA imposed monetary penalties and a decision that passengers who were exploited must be compensated. With respect to NCAA’s factual allegations and findings that both airlines engaged in deception, collusion (price fixing) and unfair methods of competitions, the panel found that all the allegations were sufficiently established by overwhelming evidence.”
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