The Federal Government has signed the Irrevocable De-Registration and Export Request Authorization (IDERA), enabling airline operators to access dry lease aircraft more easily.
Festus Keyamo, the Minister of Aviation and Aerospace Development, emphasized that this agreement is expected to enhance Nigeria’s global reputation and attract more financiers to the aviation sector. He noted that previously, lessors and financiers had blacklisted Nigeria due to safety concerns regarding their aircraft.
During the signing ceremony in Abuja, Keyamo stated that the successful signing of the Cape Town Convention, alongside IDERA, will create new opportunities and foster growth within the aviation industry.
“Past administrations have overlooked this critical aspect of aviation. We have recently taken steps to improve our relationship with aircraft lessors and financiers by signing a practice direction that clarifies how courts should interpret the Cape Town Convention and its protocols,” Keyamo explained.
He added that judicial uncertainties had previously complicated the resolution of disputes between lessors and lessees, leading to lengthy delays and negative perceptions of Nigeria in international circles. “This uncertainty contributed to our blacklisting, as many considered Nigeria an unsafe environment for business,” he said.
With the judicial aspect now addressed through the practice direction and the signing of IDERA, lessors and lessees can approach either the courts or the Nigerian Civil Aviation Authority (NCAA) to facilitate the export of aircraft.
“This is a crucial development that will enhance Nigeria’s standing among lessors and financiers. Many negotiations that were previously stalled due to our inability to sign IDERA will now proceed,” Keyamo stated, adding that he plans to lead stakeholders to a global conference in Dublin, Ireland, next year to explore further aircraft acquisition opportunities.
Captain Chris Najomo, Acting Director-General of the NCAA, also highlighted the significance of IDERA, stating that it will provide airlines with greater access to dry lease aircraft, thereby boosting their operational capabilities. He reiterated that the Cape Town Convention aims to lower financing costs for large, high-value mobile assets that frequently cross borders.
“Regarding the registration and operation of aircraft in Nigeria, the primary benefit of the Convention is that it allows registered owners to request an IDERA for eligible aircraft. Once recorded, the authorized party designated by the registered owner will hold exclusive rights to de-register and export the aircraft,” Najomo explained.
Written By: Praise Inalegwu