FG ends 18-year dispute over MMA2 concession

The Federal Government and Bi-Courtney Aviation Services Limited (BASL), operators of the Murtala Muhammed Airport Terminal Two (MMA2), Lagos, have ended their more than 18-year dispute over the concession of the facility, following the signing of a new agreement in Abuja.
The agreement, signed yesterday by the Minister of Aviation and Aerospace Development, Festus Keyamo, on behalf of the Federal Government, and BASL Chairman, Dr. Wale Babalakin, is expected to resolve longstanding disagreements between both parties over the airport terminal.
Keyamo announced the resolution at a meeting in Abuja attended by Babalakin, describing the agreement as a framework for both parties to fulfil their respective obligations through reciprocal concessions.
He said President Bola Tinubu approved the final framework for the settlement, which provides for the waiver of historical claims by both parties.
Under the agreement, the Federal Airports Authority of Nigeria (FAAN) is expected to begin receiving concession fees due under the original resolution.
The settlement also clarifies the ownership and operational status of the General Aviation Terminal (GAT), which is recognised as a Federal Government property operated by FAAN.
A major provision of the agreement allows Bi-Courtney to expand the apron at MMA2 and operate regional flights across Africa, subject to the terminal’s full operational capacity and compliance with applicable regulatory requirements.
However, the financial terms of the settlement, including the amount of concession fees payable to FAAN and the schedule for remitting the payments, were not disclosed.
Keyamo said he considered it a privilege to have led the resolution of the dispute, expressing confidence that the agreement would benefit Nigerians and the aviation industry.
Babalakin, in his remarks, commended Tinubu for facilitating the settlement of the dispute, which he said had persisted for more than 18 years.
He expressed optimism that the agreement would create quality jobs and revitalise activities in the aviation sector.
Babalakin also lamented the condition of abandoned projects, describing them as an eyesore, and said resolving the dispute would encourage investors who might otherwise be discouraged by disagreements with government agencies.
He said: “Furthermore, it’s going to encourage a lot of people who feel daunted and discouraged when they have issues with the government that there is a possible resolution.
“On this note, I want to thank you all. We will not disappoint the President, we will not disappoint you all, the ministry, FAAN and even the nation.”