Dare Babalola
The Minister of Aviation and Aerospace Development, Festus Keyamo, has formalised a concession agreement for the Akanu Ibiam International Airport, Enugu.
On July 31, 2025, the federal executive council (FEC) approved the full business case for a 30-year concession of Enugu airport.
The agreement encompasses both the airport and its incomplete cargo terminal, and is expected to alleviate financial constraints typically associated with smaller airports.
The development was announced in a statement by Tunde Moshood, Special Adviser on Media and Communications to the Minister, on Friday.
According to him, the agreement was signed on Thursday at the ministry in Abuja, with officials from the Enugu State Government and Aero Alliance Limited, the concessionaire, in attendance.
The media aide described the deal as a significant milestone in the federal government’s efforts to modernise aviation infrastructure through public-private partnerships (PPPs).
In his remarks, Keyamo described the event as the conclusion of a “painstaking and transparent” process that began several years ago.
“Today is the end of a very long and tedious process regarding the concession of the Enugu Airport.
“The process culminated on the 31st of July, 2025, when the federal executive council approved the proposal to concession the Enugu Airport, subject, of course, to contract,” the minister was quoted as saying.
He said consultations were held with aviation unions to ensure workers’ rights were protected under the concession framework.
The minister said safeguarding jobs and protecting staff interests formed a core part of the concession framework.
“We did these agreements with the rights and privileges of workers uppermost in our minds. Let me say today that we have fully respected and preserved the rights of aviation workers,” Keyamo said.
He said no aviation worker will be retrenched as their employment terms remain unchanged.
“They will continue as staff of the federal government and the Federal Airports Authority of Nigeria (FAAN),” the politician said.
“Having taken care of the rights of workers, we then addressed other critical issues and virtually covered all areas before the signing of this agreement.”
The minister said two outstanding operational issues — security charges and the financial model for airport operations — will be resolved in the coming weeks to ensure smooth implementation of the concession.
“As far as the main concession is concerned, we have agreed to concession the Enugu Airport to Aero Alliance today,” Keyamo said.
According to the statement, the concession of Enugu airport is part of the federal government’s broader aviation sector reform agenda aimed at attracting private investment, improving infrastructure, boosting regional connectivity, and strengthening Nigeria’s aviation competitiveness.
The Enugu state delegation was reportedly by Obi Ozor, commissioner for transport, while the Aero Alliance team included Chuks Aniekwe, Oyiwodu Okibe-Oga, Onyedikachi Nwachukwu, Kester Enwereonu, and Michael Nwaechie of Ivy Solicitors.
Also present were Yakubu Kofarmata, permanent secretary of the ministry; Olubunmi Kuku, managing director of FAAN; and Bridget Gold, FAAN’s director of legal services.
