The Federal Airports Authority of Nigeria (FAAN) has suspended the e-hailing company, Bolt, from operating in all federal airports across the country. The suspension was contained in a letter signed by the Authority’s Director of Commercial and Business Development, Adebola Joy Agunbiade.
“You are hereby directed to cease all commercial operations at all FAAN-managed airports in the country with immediate effect,” the letter reads.
The Authority says the suspension was issued to enforce Bolt’s compliance with its regulatory and operational requirements, stressing that no operator is permitted to carry out commercial activities within FAAN premises without a duly executed agreement.
“You are therefore requested to suspend all operations at all FAAN-managed airports until the concession agreement has been duly finalised and executed. The Authority will notify you accordingly once the process has been concluded,” the letter reads.
The suspension will be in place pending the finalisation and execution of Bolt’s Concession Agreement.
Bolt’s airport journey and the concession palaver
Picking up passengers from the airport has been a major source of business for taxi drivers. This was no different for e-hailing drivers. However, the airport authority already had a system of approved taxi drivers to pick up passengers in the airport vicinity.
It is important to note that these exclusive airport taxi operators charge exorbitant fares for their services. At one point, there were calls by travellers to replace airport taxis with Uber and Bolt drivers.
See also: Passengers ask FAAN to replace Abuja Airport taxis with Bolt and Uber
In 2022, the airport authority allocated a parking space to e-hailing operators. Bolt was the only e-hailing company to meet all requirements and acquire the concession for both a parking space and the right of its operators to operate around the airports. But controversy would quickly follow, with allegations that drivers were being forced to pay the sum of ₦45,000 to utilise the parking.
They were also required to wear a Bolt-branded uniform, and finally, to undergo a biometric check after which they would be issued a police character certificate. The certificate would be presented to the Directorate of Aviation Security (AVSEC), which would in turn issue an identity card and the final approval to pick up riders from the Airport.
How the park was utilised is not exactly clear, but it wasn’t very popular for several reasons. First is the stiff competition from the traditional airport taxi operators who have been known to attack e-hailing operators for working on their turf. Furthermore, drivers soon discovered that staying put at the airport to compete with the fierce airport taxis wasn’t worth the fee they paid for parking.
Indeed, a section of drivers believe the park was needless, insisting that e-hailing drivers do not operate like conventional taxi drivers who require parks to remain until someone comes along to pick them up. According to them, the apps are their parks, and that should give them the freedom to operate from anywhere.
Finally, Bolt itself realised there was really no economic value to having a park at the airport, as drivers who pick passengers from the port did so regardless of whether there was a park. The app was truly the park, and there was no need for another. Indeed, an insider in the company told Technext it’s very doubtful that the company would renew the concession agreement.
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