The Lagos State Government’s plans to construct a new airport to ease congestion at Murtala Muhammed International Airport may face legal obstacles due to an existing agreement with a private terminal operator.
The PUNCH reported that this proposed Lekki International Airport could violate a longstanding agreement between Bi-Courtney Aviation Services Limited and the Federal Government.
The agreement, tied to Bi-Courtney’s management of Murtala Muhammed Airport Terminal Two, prohibits the construction of a new terminal in Lagos as long as the MMA2 concession remains in effect.
On Friday, Governor Babajide Sanwo-Olu met with officials from the Nigerian Civil Aviation Authority and the Federal Airport Authority of Nigeriato explore ways to expedite the construction of the new airport in the Lekki region.
The Governor reportedly sought both technical advice and formal approval from the regulators to begin work.
A source familiar with the discussions revealed that the Governor emphasized the critical need for regulatory guidance and approval, indicating the government’s commitment to move forward with the project.
Industry experts have largely supported the initiative, noting that a second airport would relieve the heavy traffic burden on MMIA, which serves the bustling commercial hub of Lagos.
In October 2022, the Federal Government had officially greenlighted the Lekki International Airport project, with former Aviation Minister Hadi Sirika presenting the approval during the Lagos Economic Summit. The plan was for construction to begin in 2023.
However, the project now faces potential legal challenges from Bi-Courtney Aviation Services Limited.
In 2007, prior to the commissioning of MMA2, the Federal Government entered into a 36-year agreement with Bi-Courtney for the reconstruction and operation of the terminal under a build-operate-transfer scheme.
Under this agreement, no new airport terminals were to be constructed in Lagos during the concession period, which is still in effect with only 17 of the 36 years completed.
Lagos first envisioned a second airport under the administration of Governor Babatunde Fashola in 2009.
The project was designed as a Public-Private Partnership and in 2011, a competitive tender process attracted interest from 33 local and international firms.
Despite this enthusiasm, the project was stalled due to opposition from local landowners and financing difficulties. N102bn had been earmarked for the project at the time, according to a report quoting then-Commissioner for Commerce and Industry, Adeniyi Oyemade.
The airport project largely disappeared from public discourse after Fashola’s tenure ended in 2015, until Sanwo-Olu revived it with fresh approval from the Federal Government.
The new airport, to be built on 3,500 hectares of land along the Lekki-Epe Expressway, is intended to serve the rapidly growing commercial and residential developments in that area.
Efforts to obtain comments from Bi-Courtney on this potential legal conflict have been unsuccessful.
A senior company official, speaking anonymously, stated that the company had no response at the time.
The company’s Head of Corporate Communications, Ajoke Yinka-Olawuyi, also declined to comment, stating, “I cannot comment on that matter for now.”
Lagos State Commissioner for Information, Gbenga Omotoso, similarly avoided commenting on the situation, ignoring both calls and messages seeking clarification.
In the aviation sector, there is support for the idea of a second airport. The Director of Research at Zenith Travel Limited, Olumide Ohunayo, highlighted the need for additional aviation infrastructure in Lagos.
“Lagos state is the biggest commercial city in Nigeria with a population of about 20 million and a high group in the middle class. You can be sure that a second airport is a necessity and of importance to further expand the economy of the state,” he said.
Similarly, Managing Partner at TMSS Logistics, an aviation consulting firm, Nuhu Adam, called the project a “game changer.”
He emphasized that the airport, positioned within a free trade zone, could solidify Lagos’ status as a key aviation hub in West Africa.
However, he also cautioned about the legal issues surrounding the agreement with Bi-Courtney, noting that unresolved disputes could deter potential investors.
“It won’t be in the interest of who-be investors, given the last experience of Virgin Nigeria Vs Federal Government on the issue of operation of domestic flights from international terminals,” he remarked.
As Lagos presses forward with its ambitious vision for a new airport, it must navigate the legal complexities of its prior agreements or risk significant delays and financial losses.
