(AGENDAWATCHDOG) – Approximately seven years after its commissioning, the Delta State Government has commissioned the Asaba International Airport, to a consortium of private investors under a Public-Private Participation (PPP) model.
According to the state government, the consortium of investors are expected to expend at least N28 billion on various developmental investments on the airport over the 30-year concession period, adding that the consortium is expected to make the payment of N1 billion to its coffers within 15 days of commencement of activities, while another sum of N100 million is expected from the concessionaire annually and would be escalated every five years.
Speaking at the at the agreement signing ceremony for the concession of the Asaba International Airport between the state government and Asaba Airport Company Limited, the new manager of the airport, Ifeanyi Okowa, the Delta State Governor, said that the new arrangement would boost economic and social activities in the state.
The governor said that the government concessioned the airport to FIDC-Menzies Consortium as the preferred bidder to operate as the master concessionaire, while others would act as sub-concessionaires for the entire concession years. The consortium has technical partners like Air Peace as the Anchor Airline and Maintenance, Repair and Overhaul (MRO) operator; Multifreight Cargo and Logistics for cargo and logistics centre; Arbico Construction Company to develop the business park, hotel and convention centre; Rainoil Limited and Cybernetics Limited to develop the tank farm and provide aviation fuel, while Quroum Aviation Limited would develop and manage the private jet and helicopter terminal.
The concession of Asaba Airport makes it the first state-owned aerodrome to be concessioned in the country.
PROJECTED IMPACT: The arrangement would ensure that the airport is efficiently managed by private investors experienced in the management of airports. It will also create jobs and boost social economic activities in the state.