The Nigeria Civil Aviation Authority has placed 11 domestic airlines on its updated “No-Pay-No-Service” list over unpaid statutory charges, according to an internal memo obtained Sunday.
The directive affects airlines owing outstanding remittances, particularly the five per cent Ticket Sales Charge and Cargo Sales Charge collected on behalf of the regulator to fund safety oversight, training and economic regulation.
The memo, dated May 22, 2026, ordered all NCAA directorates to withhold services from affected operators until they receive financial clearance from the Directorate of Finance and Accounts.
It was signed by Director of Finance and Accounts Olufemi Odukoya and circulated to regional offices, with copies sent to senior aviation officials.
Under the order, airlines risk disruptions in regulatory and administrative services, raising concerns about possible operational delays across the sector.
The Director-General of the NCAA, Chris Najomo, said the agency understands the financial pressures facing operators but cannot compromise its regulatory responsibilities.
He said failure to remit statutory charges could undermine safety oversight, risk-based surveillance and compliance with international aviation standards.
Affected airlines include Air Peace Limited, Ibom Air Limited, Arik Air Limited, United Nigeria Airlines, Umza Air, NG Eagle, Max Air Limited, Caverton Helicopters, Overland Airways, Rano Air and ValueJet.
The memo stated that no directorate should render services to the listed airlines without financial clearance from the finance directorate.
In response, Ibom Air Chief Executive Officer George Uriesi said airlines were operating under severe financial strain, driven largely by rising aviation fuel costs and foreign exchange pressures.
He said fuel costs, which typically account for 36% to 40% of operating expenses, had risen sharply, disrupting airline business models and cash flow.
“The costs of purchasing fuel to keep flying suddenly take virtually all the sales you’re making on a daily basis,” he said. “Once you cannot pay for fuel and maintenance, you cannot fly.”
Uriesi said most domestic carriers were facing similar challenges and warned against blaming airlines for broader structural issues in the sector.
Former Rector of the Nigerian College of Aviation Technology, Samuel Caulcrick, also questioned the long-term viability of domestic airlines, citing inflation, weak passenger demand and foreign exchange constraints.
He said airlines continue to struggle with dollar-denominated costs such as leasing, maintenance and spare parts, while operating in a market with limited passenger traffic and high operating expenses.
