Travel News

By Angus Whitley

Qantas Airways Ltd. accidentally sold return first-class seats between the US and Australia for less than A$5,000 ($3,390) — a discount of as much as 85% on the usual premium cabin fare.

Passengers snapped up 300 of the tickets within eight hours on Aug. 22, Qantas said Monday. The airline said it’s rebooking the lucky customers into business class — still a saving of about 65% on the normal fare. Qantas currently offers first-class return flights between Sydney and Los Angeles in October for between A$20,000 and A$29,000.

The Asset Management and Corporation of Nigeria has said Arik and Aero Contractors airlines may be merged and converted to a national carrier.

The AMCON Managing Director/Chief Executive Officer, Gbenga Alade, stated this on Monday at an interactive session with media executives in Lagos.

According to Alade, both Arik and Aero Contractor are owing so much money that they may not be able to pay.

He stated that the corporation presented the idea of converting Arik and Aero Contractor to the former aviation minister but it was rejected.

“The former management of AMCON presented the idea of converting Arik and Aero to a national carrier. But the former aviation minister did not buy the idea. We will present it again because that is the best option.

“Unfortunately, the special purpose vehicle that was created by the former management of AMCON for the conversion of Arik and Aero to a national carrier had been sold. But we can create another SPV this,” he explained.

Recall that the former Minister of Aviation, Hadi Sirika, launched the Nigeria Air three days before the end of former President Muhammadu Buhari’s administration.

The development had elicited concerns among stakeholders over the ownership arrangement which gave Ethiopian Airlines a 49 per cent equity stake in the company.

The Federal Government had a 5 per cent equity, while a consortium of three Nigerian investors had 46 per cent.

Reacting to the deal in June 2023, the House of Representatives asked the Federal Government to suspend the operations of Nigeria Air, describing it as a fraud.

In August 2023, the incumbent minister, Festus Keyamo announced that the national carrier project was suspended till further notice.

Keyamo said, “It remains suspended. It was never Air Nigeria. It was not Air Nigeria. That’s the truth. It was only painted Nigeria Air. It was Ethiopian Airlines trying to flag our flag.

“If it is so, why not allow our local plane to fly our flag? So nobody should dispute that it was Nigeria Air.

“Air Nigeria must be indigenous, must be wholly Nigerian, and must be for the full benefits of Nigeria, not that 50 per cent of the profit is for another country.”

Recently, a Federal High Court sitting in Lagos halted the sale of Nigeria Air to Ethiopian Airlines.

The court declared null and void, the sale of the shares of Nigeria Air to Ethiopian Airlines after determining the issues in the suit.

Justice Ambrose Lewis-Allagoa ordered that the Federal Government’s plans to establish a national carrier, Nigeria Air, should be halted.

The judgment was delivered in favour of the Registered Trustees of the Airline Operators of Nigeria and five other aviation industry stakeholders.

At the briefing on Monday, Alade said the present status of Arik and Aero Contractors had been giving him sleepless nights.

“Believe me, it is a very difficult problem to resolve, and it is giving me sleepless nights, particularly Arik.

“Arik is owing so much that they cannot pay,” he stated.

Speaking further, Alade said, “There is a way out. We have met all their major international creditors. Afreximbank is one of them. They (Arik) are owing Afreximbank about $52m.”

After negotiations, he said the airline was only willing to take $8.5m out of the $52m.

“However, where will that $8.5m come from? Where? AMCON doesn’t have money of his own to put there? And then they negotiated and said, okay, ‘let’s take some of the engines of those things away in full and final settlement’. And the truth is that, if they took those engines away, Arik is finished.

“But we said ‘no, we cannot allow you to take it away. Let AMCON give you a kind of bank guarantee. And we will stretch it so that three planes are flying now and by the Lord’s grace, by February next year, we want to make seven planes fly for Arik,” he stated.

The PUNCH recalls that the Nigerian Airspace Management Agency grounded aircraft owned by Arik over a court order instituted by the airline’s creditor and billionaire businessman, Arthur Eze.

Eze had approached the court in protest against his unpaid $2.5m by the founder of Arik Air, Johnson Arumemi-Ikhide.

In a statement by the spokesperson of NAMA, Abdullahi Musa, the agency said the development stemmed from an enforcement action by the FCT High Court on July 19, 2024, which involved attaching Arik’s planes to secure the debt.

In 2016, AMCON took over the management of Aero Contractors after it dissolved the board of the company, appointing a manager to run the affairs of the company in an interim capacity.

AMCON said in a statement by its media consultancy firm that the decision to take over the management of the company was in furtherance of its responsibility of acquiring eligible bank assets and putting them to economic use in a profitable manner.

Similarly, Arik Air, founded by Mr Arumemi Johnson, was taken over by AMCON in 2017 after the carrier’s management failed to honour its debt obligation running into several billions of naira.

AMCON had taken over debts from local banks owed by Arik.

Last year, the corporation asked the owners of Arik to present a credible debt resolution plan to the bad debts manager if it hopes to recover the company from the Federal Government.

AMCON’s asset recovery efforts

In a move to recover outstanding debts of nearly N5tn, Alade announced plans to engage international asset tracers to locate and recover assets hidden by recalcitrant debtors offshore including those masqueraded under special purpose vehicles.

Alade stated that since the new management took over about five months ago, they have successfully collected approximately N100bn from several high-profile debtors and revised the sale of some assets.

He emphasised that the organisation had been receiving strong support from President Bola Tinubu, the Central Bank Governor, the Federal Ministry of Finance, the Attorney General of the Federation, and the National Assembly in their efforts to recover debts transferred by banks to AMCON during the different phases of eligible bank asset acquisition.

The AMCON CEO mentioned that the chairman of the House Committee on Finance had pledged to name and shame obligors, who had yet to repay their debts at a major stakeholders’ conference that would be held before the end of the year.

He revealed plans to organise a conference where senior officials from the Central Bank of Nigeria, relevant ministries, banks, and the judiciary would be invited to discuss the challenges posed by non-performing loans in the country.

He expressed confidence that resolving issues surrounding assets in the oil and gas sector would boost production, generate more foreign exchange, and create employment opportunities for citizens.

He noted that the corporation had achieved remarkable results in two of those assets in less than five months.

In the power sector, he disclosed that AMCON had made significant progress in one of the biggest distribution companies and an abandoned power project in Kaduna.

Alade emphasised the potential impact of addressing power challenges in Nigeria, stating that some banks with approximately 400 branches across the country spend as much as N500bn annually on diesel for their generators.

He believed that tackling the power sector would significantly improve the overall business environment.

According to Alade, AMCON is also working on assets in the telecommunications sector, aiming to revive dormant assets and bring them back into operation.

The United Kingdom has increased the number of organisations licensed to sponsor workers on the worker and temporary worker immigration routes.  

Checks by The Nation, show that the list which was updated on Friday, August 23, has 119,195 approved companies.The approved updated list now contains 119,195 companies.  

Interested Nigerians are advised to visit the listed company’s website and search for available vacancies.

A breakdown shows that the approved companies are in technology, commerce, education, media and advertisement, and engineering sectors, among others.

According to the UK government, a Skilled Worker visa allows you to come to or stay in the UK for an eligible job with an approved employer.  

Key Points

• Spain eyes military return to Mali amid Sahel crisis
• Canary Islands see 154% rise in migrant arrivals
• Trip seeks to strengthen ties with Mauritania, Senegal, and Gambia

MADRID/SANTA CRUZ DE TENERIFE, Aug 26 (Reuters) – Spain’s Prime Minister Pedro Sanchez starts his second visit this year to West Africa on Tuesday, aiming to curb migration to the Canary Islands and to counter the Russian presence in the Sahel region.

The West African migration route has seen a 154% surge this year, with 21,620 people crossing to the Canary Islands in the first seven months, according to data from the European Union border agency Frontex.

The wave has stretched resources on the Spanish archipelago, with local authorities saying they may have to house migrants in military camps or even in tents ahead of an expected rise in arrivals due to calmer conditions in the Atlantic Ocean.

Spanish authorities fear that as many as 150,000 more migrants from Africa may be set to make the perilous crossing in the coming months.

According to Frontex data, nearly half of the new arrivals are Malians, forced out of their country by a conflict and economic crisis in which the Russian mercenary group Wagner is involved.

Sanchez is focusing on strengthening relations with Mauritania, Senegal, and Gambia, the main departure points for migrant boats. The first two share land borders with Mali.

Spanish police have long operated in West Africa to strengthen border control as part of Madrid’s strategy to give financial and security aid to departure points for migrant boats.

RETURN TO MALI

Spain is also planning a return to Mali following the closure of the EU military mission there last May. While France advocated for the mission’s termination, Spain is engaged in discussions with Bamako over bilateral military aid, according to a senior Spanish military officer.

“We cannot leave the ground empty for Russian forces to occupy. It is important to maintain a presence in the region,” the officer, who requested anonymity, told Reuters.

The Spanish mission could continue the training of the previous European mission, the source said.

Spain’s Defence Ministry confirmed that it was in talks over collaboration with Mali without providing further details.

Spain is advocating at the EU and NATO for a stronger focus on the global south, especially the Sahel, in light of the migration surge.

Jesus Nunez Villaverde, co-director of the Institute for Conflict Studies and Humanitarian Action, said that to resolve the Sahel’s problems, poverty and the effects of climate change need to be addressed.

“The solution is not military aid, which is a repetition of a failed model. A different kind of aid is needed,” he said.

Years of Islamist conflict in the Sahel have fuelled a humanitarian crisis with more than 3.1 million people displaced from their homes in Mali, Burkina Faso and Niger as of July, according to the International Organization for Migration (IOM).

In Mali, economic troubles have also worsened since the ruling junta seized power in 2020.

The conflict, unemployment and the impact of climate change on farming communities are the main drivers behind Malians’ motivations to migrate, said Ousmane Diarre, head of a Malian NGO that defends migrant rights.

Moussa Diaby Wage, a 20-year-old from Mali, arrived in the Canaries in 2020 in a boat from Mauritania.

Having secured Spanish nationality, his dream is to join the army. Meanwhile, he helps other migrant children in a centre for minors in Tenerife. Of the 50 teenagers living there, 30 came from Mali.

“We came here because Mali is at war, there is a lot of fighting in the north and many people have to make the decision to leave,” he told Reuters. “Most of those who come are young, very young, because it’s the only way to get a chance (in life)”.

(Reporting by Corina Pons in Canary Islands; Fadimata Kontao in Bamako; Belén Carreño in Madrid and Joan Faus in Barcelona; editing by Charlie Devereux and Angus MacSwan)

Stakeholders in the travel industry have raised concerns over Emirates decision to open ticket booking on Nigerian routes in dollars, ahead of its resumption of flights in October 

BusinessDay’s checks on Tuesday showed that all fare inventories on the Emirates website are priced in dollars and prices are competitive with other airlines.

“The news that Emirates has opened bookings is supposed to be good news but it is not because it’s in dollars. This means that people have to buy dollars in black market to be able to pay for Emirates tickets, thereby putting more pressure on the dollars which will result to scarcity and fare increase,” Susan Akporaiye, managing director and CEO, Topaz Travels and Tours and the National Association of Nigeria Travel Agencies (NANTA) told BusinessDay.

Emirates had earlier announced that it will resume services to Nigeria from 1 October 2024, operating a daily service between Lagos and Dubai, and offering customers more choice and connectivity from Nigeria’s largest city to, and through, Dubai.

The service will be operated using a Boeing 777-300ER. EK783 will depart Dubai at 0945hrs, arriving in Lagos at 1520hrs; the return flight EK784 will leave Lagos at 1730hrs and arrives in Dubai at 0510hrs the next day.

Olumide Ohunayo, industry analyst and Director, Research, Zenith Travels told BusinessDay said there is a possibility that Emirates It opened the system and may need some time to configure it into naira or they may have introduced dollars and offered cheapest fares.

“Checking the Australian route from here, I found out that Emirates has the cheapest fares. If it is in dollars and I have to use naira to buy dollars and it is cheaper for me in naira, I’ll still go and pick the one that is dollars. It is a bit tricky. It may be a marketing gimmick. I would rather wait for October 1 when they say they are going to commence and see what happens.

Read also: UAE silent on visa ban removal, resumption of Emirates, Etihad Airlines

“They can’t afford to go against the travel agents. This is an airline that even without the Nigerian route, they are profitable. They may be the first airline that says they will go against the norm and bypass travel agents which I hope they won’t. They have been able to prove to everyone in the industry that they are a strong force without the Nigerian market,” Ohunayo said.

Ohunayo hinted that if Emirates could make a lot of profit when it suspended flights into Nigeria, then they should have a strategy to succeed in the Nigerian market.

He recalled that one of the reasons Emirates pulled out of the Nigerian market was because of the trapped funds and its fuel suppliers insisting that they pay in dollars, while other airlines were paying naira to their suppliers.

“These are some of the things they should renegotiate before returning. How can we even ask them to charge in naira if suppliers are charging for the services it provides in dollars? If you ask them to charge in naira, then it should apply to government agencies. When you are coming to equity, come with clean hands.”

BusinessDay’s findings show that a return economy class ticket from Lagos to London Heathrow on KLM cost N2.3million, Air France – N2.2 million, Ethiopian Airlines – N2.7 million, Egypt Air – N2.7milion and Virgin Atlantic – N3.2 million.

A return Business class ticket from Lagos to London Heathrow on Royal Air Maroc cost N5.7million, Air Peace – N6.5 million, Turkish Airlines – N6.9 million, Egypt Air N7.1 million, Qatar Airways N7.4 million.

A return economy class ticket from Lagos to London Heathrow on Emirates cost $1,130 which amounts to N1.83 million and $4,290 which amounts to a little above N6.9 million.

An economy class return ticket from Lagos to Dubai on Emirates cost $987. With the travel exchange rate of N1,620 to a dollar, this will cost N1.59m. A Business class return ticket from Lagos to Dubai on Emirates cost $4,418 which will amount to N7.1m.

A return economy class ticket from Lagos to Dubai on Turkish Airlines cost N1.63 million, Kenya Airways N1.17 million, Egypt Air 1.3 million, Qatar Airways N1.3m, Ethiopian Airlines N1.5m, Emirates N1.7m

A return Business class ticket from Lagos to Dubai on Egypt Air cost N4.1million, Kenya Airways – N4.8million, Qatar Airways – N4.97 million, Turkish Airlines N4.98 million, Ethiopian Airlines N5 million, Emirates N8 million.

Yinka Folami, the current NANTA president, said despite opening the ticket booking, the visa policy is still very exclusive.

“The restrictions are still high. I expect that an airline like Emirates having left the market for about two years will come in with an entry strategy. As a Nigerian, I’m worried that Emirates is charging in dollars.

“Our legal tender is still the naira and my personal experience is that if we keep denominating dollars in Nigeria, it will keep putting pressure on the naira. That’s the way I see it,” Folami said.

According to him, he would rather a situation where the legal tender of the country is respected, adding that beyond the cost of ticket, Nigeria is a sovereign to respect.

Over 70,000 international students in Canada are protesting new policy changes that could see their permits restricted and potentially lead to their deportation after their studies.

The protests have spread nationwide, with demonstrations recorded in Ontario, Manitoba, and British Columbia, as students demand an extension to work permits after graduation and the ease of restrictive regulations on permanent residency.

The Canadian government is trying to cut down on permanent residency levels as part of its efforts to address a growing job and housing shortage—a move that protesters say wrongly targets them.

Back in January, Marc Miller, Canada’s immigration minister, announced a two-year cap on the number of permits for international students. This year, the government plans to approve 35 percent less undergraduate study visas than issued in 2023. Approvals would cap at 360,000 from the nearly 560,000 last year.

The agitated students argue that despite their significant investments in education and contributions to the Canadian economy, they are now being told to complete their studies and return home while shouldering massive debts.

Some students have even set up encampments outside the Legislative Assembly in Prince Edward Island, where they have been protesting overnight for more than three months.

Prime Minister Justin Trudeau has also hinted at additional immigration changes expected in September, which could further reduce permanent resident levels.

This would mark a major policy reversal for the Trudeau government, which had previously opened up Canada’s borders to overseas workers, including Nigerians to fill labor shortages created post-covid.

Study permit approvals for Nigerian students applying to Canada doubled from 40 percent from 2020 to 2023, according to immigration statistics. Nigeria is now Canada’s fourth largest market accounting for over 45,965 students across the country’s higher institutions.

Many skilled workers also continue to flock to Canada for jobs as the number of Nigerians with permanent residency (PR) status in Canada surged to a new 15-month high in May, BusinessDay reported.

As many Canadians face housing and affordability concerns, the federal government has been under increasing pressure to address the number of temporary and permanent residents entering the country.

A Bank of Canada economic progress report from last December acknowledged that strong immigration numbers since 2022 have helped boost Canada’s workforce. However, the report also noted that “the bigger issue is that Canada’s housing supply has not kept pace with recent increases in immigration.”

Advocacy groups, such as the International Sikh Student Organization, argue that the challenges facing Canada are rooted in broader policy failures rather than the migration of international students, calling on the federal government to address the systemic issues that have led to their exploitation.

If the government follows through with its reforms, protesters say they fear Canada will lose not only a significant portion of its skilled workforce but also the trust of future international students.

Olawale Ajimotokan in Abuja

The Federal Capital Territory Administration has unveiled plans for the country’s first underground rail line that will connect the Abuja Metro Station with the Central Business District, CBD, Bus Terminal.

The Mandate Secretary, Transportation, Rt. Hon. Chinedum Elechi disclosed this yesterday at the flag-off of the construction of Central Business District Bus/Taxi Terminal.

He said the CBD Terminal is strategically located at Eagle Square, at the transportation interchange, adding the next to the terminal is a transit corridor for future underground light rail, which by the Abuja Master Plan, will run eight metres below the surface with train stops underground and then an intermodal transfer of commuters from the underground train stops to the bus/taxi terminal above the ground.

Enechi said the rail line will be connected from the Metro Station at Central Business District.

“The rail line will be connected from the Metro Station at Central Business District just over there. It will come this way underground. There is a space between the two buildings where the underground train will come up and the station will be on the surface and the train will continue to run underground between the two buildings.

“What we are doing here today is both for now and the future of public transportation in the FCT,” Enechi said.

He said when completed, the bus/taxi terminal will impact largely the public transportation of Abuja and will significantly reduce traffic congestion as there will be fewer private cars on the road, thus leading to faster travel times, less stress for commuters and lower costs related to vehicle wear and fuel consumption.

In his remarks, FCT Minister Nyesom Wike said the facilities at the Central Business District, would replicate some of the facilities they enjoy whenever they go outside the country.

His words: “Abuja is a beautiful city. By the grace of God, through the support of Mr. President we have continued to expand the road infrastructure. If we expand the road infrastructure without linking it with the various bus terminals, I don’t we have been able to achieve what we want to achieve.

“What we are trying to do is to integrate and improve our transport system. It is going to cut all these so-called one-chance crime, that is always committed.

“So, part of what we are doing today is the establishment of robust bus and taxi terminals, that you can go there and say ‘I’m going to Gwagwalada and we are aware if anything happens, this is the vehicle and this is the driver that would be held responsible.”

By Danny Lee and Ram Anand

(Bloomberg) -- Airlines in Malaysia will have to give passengers the option of a refund if their flight is delayed for five hours or more, as the Southeast Asian nation joins countries beefing up consumer air-travel rights.

Transport regulators around the world are pressuring carriers to improve standards after a series of flight schedule meltdowns and questionable business practices sparked calls for reform. In Australia, Qantas Airways Ltd. was sued for allegedly selling seats on thousands of canceled flights.

Malaysia’s new rules, which take effect from Monday, will also apply to passengers who chose not to proceed with the delayed flight and opt to purchase a different flight altogether.

The country’s flagship carrier has been suffering a series of disruptions due to ongoing engine-related problems on its Airbus SE A330 aircraft. Malaysia Airlines said earlier this month that it needs to reduce its flight network between now and December.

Refunds will need to be offered via the original means of payment, Malaysia’s transport ministry said.

Earlier this year, the US Department of Transportation ordered airlines to provide automatic refunds for flights that are axed or significantly delayed. Protections for travelers in the US were strengthened after spiraling complaints about airlines refusing or delaying refunds.

Australia meanwhile has started consulting on wholesale reforms to boost competition and consumer rights in aviation, including making it easier for passengers to be refunded.

Qantas Chief Executive Officer Vanessa Hudson, talking to investors after the release of the carrier’s full-year financial results on Thursday, said that forcing airlines to refund fares for cancellations and delays just adds to ticket costs, because airlines will look to recoup the added expenses elsewhere.

Malaysia said airlines found to be contravening the new regulations may be fined a maximum of 200,000 ringgit ($46,000) and the amount could be more for subsequent breaches.

--With assistance from Peter Vercoe.

(Bloomberg) -- Thunderstorms are forecast for a swath of Europe from Spain to Greece, while temperatures soar across Germany.

Summer heat is giving way to violent storms, with yellow warnings in place for Spain, western France, parts of the Balkans and Greece. Sicily faces an orange alert on Thursday.

Climate change is increasing the frequency and intensity of heat waves, triggering extreme weather events from violent storms to wildfires. As the Mediterranean Sea warms — reaching a record average temperature this month — it’s turbo-charging storms across the region.

Last year’s storms resulted in flooding that caused hundreds of thousands of fish in Lake Karla in the Greek region of Thessaly to be washed into a river. This week those freshwater fish have died as they reached the sea, with their rotting carcasses inundating the port city of Volos.

Now the storms in Greece are bringing the dual threat of both flooding and wildfires caused by lightning strikes, following a prolonged period of drought. The risk of fires is particularly acute in mountainous areas.

As a result, Athens and the surrounding Attica region still face a high risk of wildfires, along with northeast Peloponnese, the island of Evia, and the eastern Aegean Sea islands. There were 28 wildfires in the 24 hours to 6:30 p.m. on Wednesday.

Further north in Europe, the heat will build close to 34C (93F) in Berlin on Thursday. The mean temperature for the German capital could be as much as 9C above the 30-year norm.

By Elizabeth Adegbesan

The Naira yesterday depreciated to N1,620 per dollar in the parallel market from N1,615 per dollar on Tuesday.

Consequently, the margin between the parallel market and NAFEM rate narrowed to N13.41 per dollar from N20.73 per dollar on Tuesday.