The Federal Airports Authority of Nigeria (FAAN) has disclosed a plan to increase Passenger Service Charge (PSC) by 100 percent.

The new charge according to the agency will take effect from September 1st, 2020.

This was disclosed by the Managing Director of FAAN, Cap. Rabiu Yadudu during a press briefing.

With the new charge, domestic passengers who used to pay N1000 will now pay N2000 while international passengers within the ECOWAS region will pay $80 and others $100.

Before the review, international passengers paid a flat rate of $50 as service charge.m

Speaking at a news conference in Abuja, Yadudu said the current rates are no longer realistic.

He said: “FAAN has not increased Passenger Service Charges (PSC) since 2011 in spite of all the huge capital investment at our airport."

“The current PSC charge of N1, 000 is no longer realistic as it does not correlate with realities of cost-related inflation rate which the CBN put at 12.82 percent.

“Besides, FAAN, until late 2019 was collecting the naira equivalent of PSC at an official rate from N305.50 to N344.38 to a dollar.”

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Yadudu said ICAO’s recommendation in ‘DOC.9562’ states that revenue generated by airports be transparently re-invested wholly in operating and developing airport facilities.

According to the MD, the federal government will increase its direct deduction from FAAN to 40 percent, a move that he says would make FAAN have over N16 billion shortfall on overhead cost.

He implored stakeholders, airport users, and the general public to bear with FAAN as it is laden with so much overhead cost of operation.

He said it would be necessary to roll out new advisories for airlines and air travelers in preparation for the resumption of scheduled international airlines into the country.

Yadudu said the government would communicate same to the general public as soon as new advisories were ready.