The Nigeria Civil Aviation Authority (NCAA) has disclosed that Air Peace and Aero Contractors refunded millions of naira to passengers in 2024 due to flight delays, cancellations, and other operational disruptions. This revelation highlights the efforts of airlines in Nigeria to comply with regulatory standards and address passenger grievances. According to a report shared on the NCAA’s X handle and signed by its Director of Public Affairs and Consumer Protection, Michael Achimugu, Air Peace compensated 1,901 passengers in November 2024, while Aero Contractors provided compensation to over 20 passengers throughout the year.
Breakdown of Air Peace Compensation Efforts
Air Peace emerged as the leading airline in terms of passenger compensation during the year, with business class downgrades accounting for the majority of payouts. The airline offered a 65% discount to affected business-class passengers who were downgraded to lower cabin classes due to operational constraints. Compensations were also made for a variety of issues, including unscheduled maintenance, technical difficulties, aircraft swaps, and operational delays. Notably, Air Peace implemented significant discounts for passengers affected by operational issues. For instance, on November 16, 2024, flight 7170 from Lagos to Benin City recorded a passenger load of 129, with each passenger receiving a 25% discount due to operational disruptions. Similarly, on November 4, 2024, the airline compensated 117 passengers on flight 7425 from Kano to Abuja.
Impact of Rising Airfares and International Expansion
The compensation figures came amid a sharp increase in Air Peace’s airfares across all domestic routes in November 2024. This fare adjustment followed the airline’s commencement of its Lagos-London flight services, signaling an expansion into international markets. While the fare hike drew attention, the airline’s efforts to compensate passengers demonstrate its commitment to maintaining customer satisfaction and adhering to regulatory guidelines.
Aero Contractors’ Limited Compensation Numbers
In comparison to Air Peace, Aero Contractors compensated a smaller number of passengers in 2024. The airline’s compensation was limited to over 20 passengers throughout the year, reflecting either fewer disruptions or a smaller operational footprint. Nevertheless, these compensations underscore the NCAA’s ongoing oversight of the aviation industry.
NCAA’s Transparency and Efforts to Build Confidence
Michael Achimugu, speaking on behalf of the NCAA, emphasized that the publication of compensation figures is part of the agency’s commitment to transparency and accountability. He explained that the NCAA aims to demonstrate its effectiveness in addressing passenger grievances and holding airlines accountable. “This is to the CRDCU (Central Result Delivery Coordination Unit) headed by Hadiza Bala Usman because they have to assess the work that we do. We have found out that people think the compensations that we talk about are not authentic,” Achimugu stated. He further explained that the NCAA is taking a more proactive approach to publicizing its efforts. “People come online to make viral videos, but when the NCAA resolves those issues, they don’t come back to say this particular issue has been resolved. So we would start blowing our own trumpets now, and that is what we are doing.”
The Role of Compensation in Aviation Customer Experience
The compensation efforts by Air Peace and Aero Contractors reflect the growing importance of passenger rights in Nigeria’s aviation sector. Delays, cancellations, and operational issues have long been sources of frustration for air travelers, but the NCAA’s oversight ensures that airlines are held accountable for these disruptions. By disclosing compensation figures, the NCAA aims to rebuild trust among passengers and demonstrate that Nigerian airlines are taking steps to address customer grievances. Additionally, these efforts highlight the importance of regulatory frameworks in ensuring fairness and accountability in the aviation industry.
Looking Ahead
As Nigeria’s aviation industry continues to grow, the focus on passenger satisfaction and regulatory compliance is becoming increasingly important. The NCAA’s decision to publicize compensation data not only promotes transparency but also underscores its role as a consumer-focused regulator. With millions of naira refunded to passengers in 2024, airlines like Air Peace and Aero Contractors are setting a precedent for improved customer service. Moving forward, sustained efforts by the NCAA and airlines to address passenger concerns will be critical in maintaining confidence in the industry. For passengers, the report serves as a reminder that complaints about flight disruptions can yield tangible results, further encouraging travelers to hold airlines accountable for their service standards. As the NCAA continues to advocate for passenger rights, the aviation landscape in Nigeria may see further improvements in service quality and operational efficiency.
This revelation highlights the efforts of airlines in Nigeria to comply with regulatory standards and address passenger grievances. According to a report shared on the NCAA’s X handle and signed by its Director of Public Affairs and Consumer Protection, Michael Achimugu, Air Peace compensated 1,901 passengers in November 2024, while Aero Contractors provided compensation to over 20 passengers throughout the year.
Breakdown of Air Peace Compensation Efforts
Air Peace emerged as the leading airline in terms of passenger compensation during the year, with business class downgrades accounting for the majority of payouts. The airline offered a 65% discount to affected business-class passengers who were downgraded to lower cabin classes due to operational constraints. Compensations were also made for a variety of issues, including unscheduled maintenance, technical difficulties, aircraft swaps, and operational delays. Notably, Air Peace implemented significant discounts for passengers affected by operational issues. For instance, on November 16, 2024, flight 7170 from Lagos to Benin City recorded a passenger load of 129, with each passenger receiving a 25% discount due to operational disruptions. Similarly, on November 4, 2024, the airline compensated 117 passengers on flight 7425 from Kano to Abuja.
Impact of Rising Airfares and International Expansion
The compensation figures came amid a sharp increase in Air Peace’s airfares across all domestic routes in November 2024. This fare adjustment followed the airline’s commencement of its Lagos-London flight services, signaling an expansion into international markets. While the fare hike drew attention, the airline’s efforts to compensate passengers demonstrate its commitment to maintaining customer satisfaction and adhering to regulatory guidelines.
Aero Contractors’ Limited Compensation Numbers
In comparison to Air Peace, Aero Contractors compensated a smaller number of passengers in 2024. The airline’s compensation was limited to over 20 passengers throughout the year, reflecting either fewer disruptions or a smaller operational footprint. Nevertheless, these compensations underscore the NCAA’s ongoing oversight of the aviation industry.
NCAA’s Transparency and Efforts to Build Confidence
Michael Achimugu, speaking on behalf of the NCAA, emphasized that the publication of compensation figures is part of the agency’s commitment to transparency and accountability. He explained that the NCAA aims to demonstrate its effectiveness in addressing passenger grievances and holding airlines accountable. “This is to the CRDCU (Central Result Delivery Coordination Unit) headed by Hadiza Bala Usman because they have to assess the work that we do. We have found out that people think the compensations that we talk about are not authentic,” Achimugu stated. He further explained that the NCAA is taking a more proactive approach to publicizing its efforts. “People come online to make viral videos, but when the NCAA resolves those issues, they don’t come back to say this particular issue has been resolved. So we would start blowing our own trumpets now, and that is what we are doing.”
The Role of Compensation in Aviation Customer Experience
The compensation efforts by Air Peace and Aero Contractors reflect the growing importance of passenger rights in Nigeria’s aviation sector. Delays, cancellations, and operational issues have long been sources of frustration for air travelers, but the NCAA’s oversight ensures that airlines are held accountable for these disruptions. By disclosing compensation figures, the NCAA aims to rebuild trust among passengers and demonstrate that Nigerian airlines are taking steps to address customer grievances. Additionally, these efforts highlight the importance of regulatory frameworks in ensuring fairness and accountability in the aviation industry.
Looking Ahead
As Nigeria’s aviation industry continues to grow, the focus on passenger satisfaction and regulatory compliance is becoming increasingly important. The NCAA’s decision to publicize compensation data not only promotes transparency but also underscores its role as a consumer-focused regulator. With millions of naira refunded to passengers in 2024, airlines like Air Peace and Aero Contractors are setting a precedent for improved customer service. Moving forward, sustained efforts by the NCAA and airlines to address passenger concerns will be critical in maintaining confidence in the industry. For passengers, the report serves as a reminder that complaints about flight disruptions can yield tangible results, further encouraging travelers to hold airlines accountable for their service standards. As the NCAA continues to advocate for passenger rights, the aviation landscape in Nigeria may see further improvements in service quality and operational efficiency.
