Auto News

Foreign creditors are reportedly planning on seizing Nigeria’s presidential jets

Pinterest LinkedIn Tumblr

According to a report by the PUNCH, the presidential air fleet’s 10 aircraft could be impounded by foreign creditors due to the debts of the service providers. The PAF provides a secure airlift for the president and other high-ranking government officials.

Some installations of the aircraft have been postponed to 2023 due to insufficient funding. The commander of the Pakistan Air Force (PAF), Air Vice Marshal Abdullahi, stated this during the presentation of the budget to the National Assembly. He also noted that the budget for the maintenance of the planes had only been allocated N1.5 billion.

According to the report, President Muhammadu Buhari has allocated about N81.8 billion for the maintenance and operation of the PAF. This includes N62.47 billion for the PAF’s operation and maintenance, N17.29 billion for foreign trips, and N2.04 billion for other expenses. Since May 2015, the presidency has maintained 10 aircraft.

Have 1 million naira and above to Buy or Sell Cars In Nigeria?Check carlots.ng RIght Now RIght Now

The aircraft that the president uses include a Boeing 737-800 Business Jet, a Falcon 7X, a Hawker Siddeley 4000, two Airbus AgustaWestland AW139s, and two helicopters. Although President Muhammadu Buhari promised to reduce the number of aircraft in the air fleet, it has been revealed that his administration has not fulfilled its promise.

The two AW101 helicopters that were delivered to the Air Force were part of the presidential fleet. However, during a budget defence session, the PAF’s fleet commander said that the average age of the country’s aircraft is 11 years. He noted that the cost of maintenance increases with the age of the aircraft.

According to Abdullahi, the cost of maintaining each of the presidential aircraft ranges from around $1.5 million to $4.5 million depending on their age and the level of maintenance required. He also noted that the presidential fleet’s usage would increase in 2023 due to the general election.

The commander of the PAF also told the lawmakers that the approval of N250 million for the purchase of aviation fuel was grossly inadequate. He noted that the price of fuel, which was at an average of N390 a litre in January, has since dropped to N915. He said that the proposed budget for the fleet for 2023 was insufficient to address the needs of the country’s air force.

He, therefore, urged the federal government to review the 2022 budget. The PAF had initially proposed a budget of N19.4 billion, but only N12.4 billion was allocated. Out of the total approved budget, only N11.13 billion has been released.

Abdullahi stated, “It is pertinent for this honourable committee to note that for successive years, the fleet has been grossly underfunded, which has made it difficult to operate. From the fleet’s records, debts from preceding years are usually carried over into the following budget year and it is becoming a tradition.

“Permit me to also state that most of these debts are owed to service providers overseas. Considering that over 85 per cent of the fleet’s expenditure is forex transactions, the actual budget figure in dollar terms is further diminished.

“The fleet is currently indebted to some of its service providers due to insufficient funding from budgetary allocations and the situation makes it bad for planning. As stated earlier, we currently have to have some mandatory upgrades done on our aircraft so as to meet airworthiness requirements.”

Highlighting the aircraft upgrades that had been paused due to paucity of funds, the air vice-marshal disclosed that two of the fleet’s Falcon 7X aircraft with registration numbers 5N-FGU and 5N-FGV were due for upholstery refurbishment to give the 11-year-old planes a new look.

Abdullahi added, “They are projected for refurbishment in their next maintenance due in December 2022 and July 2023, respectively, which will cost $2.5m each. Furthermore, the fleet’s personnel and aviation insurance premium for the year 2022 amounting to $5.1m is also due for renewal in February 2023. The fleet may not be able to fund these due to a shortfall in the budget.

“The consequences of underfunding the fleet could have adverse effects on safety operations. It may also lead to our nation being embarrassed in the international community either through the seizure of the PAF aircraft at foreign airports or maintenance facilities. Moreover, other states may deny the PAF aircraft necessary over-flight permits for foreign missions.”

The senior air force officer noted that aircraft maintenance accounted for 46 per cent of the overall budget proposal and was integral to the overhead cost, adding that the shortfall in the overhead greatly affected aircraft maintenance activities in the fleet.

From the releases made so far, 14 capital projects out of 22 line items were said to have been completed 100 per cent, while the remaining eight are ongoing. 

Have 1 million naira and above to Buy or Sell Cars In Nigeria? Check carlots.ng



All rights reserved. Reproduction, publication, broadcasting, rewriting, or redistribution of this material and other digital content on carmart.ng is strictly prohibited without prior express written permission from Carmart Nigeria - Contact: support@carmart.ng

The articles published by the Carmart team are a well-researched and informative collection of content contributed by the entire team of Carmart Nigeria. This content spectrum covers a wide range of topics in the automotive sector, including press releases, formal announcements, celebrity cars, new car releases, African car posts, car maintenance tips, safety tips, and much more. Carmart.ng is a blog that focuses on vehicle news in Nigeria. The blog covers a variety of topics such as car reviews, industry news, buying guides, maintenance tips, and automotive technology updates. These blogs can be a valuable resource for car enthusiasts, buyers, and anyone interested in staying up-to-date with the latest trends in the automotive world.

Leave a Reply

This site uses Akismet to reduce spam. Learn how your comment data is processed.