Nigeria retains $300 helicopter landing levy while waiving terminal navigational charge for private offshore platforms

The Nigerian government has retained its $300 helicopter levy per landing for oil and gas upstream operators and other sectors in Nigeria. The Nigerian Upstream Petroleum Regulatory Commission, NUPRC disclosed this in a circular released on Monday. The decision came after a ministerial review committee constituted by the Minister of Aviation and Aerospace Development, Festus Keyamo, […] Nigerian govt retains $300 helicopter levy per landing

 The federal government has reintroduced the $300 levy charged per helicopter landing for air navigational services.   The Nigerian Upstream Petroleum Regulatory Commission (NUPRC) announced the reintroduction in a circular dated August 28 and addressed to upstream petroleum operators, licensees, lessees and their helicopter service providers.   However, NUPRC said oil and gas operators will not pay the terminal navigational charge (TNC) for landings on private offshore platforms.   The commission said the decision followed concerns raised by upstream stakeholders over the introduction, structure and implementation of the helicopter levy.     According to the circular, signed by Oritsemeyiwa Eyesan, NUPRC chief executive officer (CEO), the minister of aviation and aerospace development constituted a ministerial review committee on March 9 to examine the levy.   The committee comprised representatives of the NUPRC, ministry of aviation and aerospace development, office of the national security adviser, Nigerian Civil Aviation Authority (NCAA), Nigerian Airspace Management Agency (NAMA) and NAMA’s appointed collection consultant.   Following the review, NUPRC said the committee resolved that the $300 levy per landing should be retained.     “The Levy of US$300 (Three Hundred United States Dollars) per landing is retained and remains payable to NAMA through its approved collection mechanism,” the commission said.   According to NUPRC, the committee also clarified that the TNC applies only to landings at government-owned aerodromes.   “The Terminal Navigational Charge (“TNC”) is payable only in respect of a landing at a government-owned aerodrome and does not apply to a landing at a private offshore facility or platform,” the circular said.   NUPRC said the TNC would remain applicable to helicopter operations outside upstream petroleum activities, including medical evacuation, private charter, and agricultural operations.     The commission said the $300 levy would be treated as a statutory air navigation charge for cost-reporting purposes.   NUPRC added that the commission would communicate the applicable classification and reporting requirements, including the treatment of any cost previously recorded under the TNC for upstream helicopter services.   The commission said NAMA is to deploy low-altitude flight monitoring and surveillance systems for national security and airspace governance.   NUPRC said flight manifests, movement logs and offshore activity data would be required, adding that NAMA would communicate the relevant requirements.     “No new or revised fee, levy or charge having a direct impact on upstream petroleum operations should be introduced without prior consultation with the Commission and other relevant stakeholders,” the commission said.   NUPRC said the requirement was in accordance with section 25 of the Petroleum Industry Act (PIA) 2021.     The commission directed all upstream petroleum operators, licensees, lessees and their helicopter service providers to align contractual, invoicing and cost-recovery arrangements with the decisions.   On March 10, the federal government suspended the enforcement of helicopter landing fees for two months.     In May 2024, the ministry of aviation and aerospace development announced that the helicopter landing levy was temporarily suspended after pushback from stakeholders — one month after approval of the levy.   However, the levy was later reintroduced in the same year, but it was not made public.