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High Aircraft Maintenance Cost

by Aviation Media
The high cost of aircraft maintenance abroad, particularly, the mandatory C-check has raised deep concerns in the aviation industry.
Maintenance checks on aircraft range from A, B, C and D Checks, which are done periodically.
A and B checks are lighter checks, while C and D are considered heavier checks.
Maintenance of a Boeing 737 can cost between $500, 000 and $700,000. With the high exchange rate, airlines even spend more in aircraft maintenance.
Although there is no specific timeframe given for major maintenance like C-Check or D-Check but on the average in Nigeria it could be under two years.
The minor maintenance of aircraft- A-Check and B-Chrck entail replacing of aircraft parts, especially the rotaries. But when there is engine damage, an airline spends between $400 and $500 to replace the engine.
Maintaining aircraft overseas incurs more expenses. Besides the money paid to the Maintenance, Repair and Overhaul (MRO) organisation; the airline pays for ferrying the aircraft to the facility. It pays for fuel, pays the pilots and engineers that will accompany the aircraft and also pays for their accommodation. The maintenance may not start immediately the aircraft is brought to the facility, so it will have to queue for its own turn and everyday the aircraft waits it incurs debts. While the aircraft is in the facility waiting, the airline loses its service and the money it would have earned. So carrying out aircraft maintenance overseas costs an airline almost twice what it would pay if the maintenance facility was in Nigeria.
With the reduction of value of the Naira to the dollar, the airline is in a quandary because it will cost much more to carry out such maintenance. This is because while an airline operator earns his revenue in Naira, he pays for the aircraft parts and its maintenance in dollars. For example, if an airline pays $500, 000 for aircraft maintenance, it means that it will have to keep aside N100 million and when other expenses are included, it will not cost the airline less that NN160 million.
It is this high cost of aircraft maintenance that has prompted some airlines to cut corners. This means an airline may decide to defer or dodge the maintenance of its aircraft because of the high cost and other reasons. The consequence of such action can better be imagined. Some of the past air accidents had been attributed to negligence or poor maintenance of the aircraft. For instance, the preliminary reports of Associated Aviation flight, which crashed at the Lagos airport in 2013, indicated that the aircraft suffered lack of maintenance.
The Director, Air Worthiness and Standards, Nigerian Civil Aviation Authority (NCAA), Benedict Adeyileka, said aircraft maintenance varies with the aircraft type and manufacturer because each manufacturer has its maintenance programme. It also has to do with utilisation and the environment.
Adeyileka said having a major MRO locally is long overdue, noting that the indigenous carrier, Aero Contractors has maintenance capabilities and presently it could maintain Dash 8 aircraft to C-check level and if it has bigger maintenance hangar that can submerge Boeing B737 aircraft, it could also carry out maintenance of that type of aircraft up to C-Check level.
Adeyileka said the establishment of MRO facility in Nigeria is dependent on capability and the enthusiasm of government, which has to appreciate the importance of such facility in the country.
“The establishment of MRO facility is entirely government policy. Government must have to realize the importance of having such facility and enhance its establishment. For example, a private investor may want to build it but that investor must have to secure land and it is government that would provide the land and if government does not see the need, it would not provide the support needed to realize such project. The Federal Airports Authority of Nigeria (FAAN) and NCAA have roles to play. So we need a Minister that will know the importance of having such facility and be on top of it and ensure that one is built,” he said.
Adeyileka however observed that some of the operators are careless in the sense that they know that they would carry out major maintenance of their aircraft but they would not safe money towards it; but few days to when the maintenance would be due, they start running helter-skelter.
He also made another observation. He noted that Nigeria is not training its engineers; that without indigenous engineers to work in such facility it would be counter productive if it is built and expatriates are employed to work there. Paying such technical staff in dollars will also up the cost of maintenance.
“Overland Airways is building a maintenance hangar and it is employing young Nigerian graduates. Nigerian Customs Service should be part of this process. They charge high import duties on aircraft parts as if they are luxury cars. In other countries, aircraft parts do not attract import duties. Commercial airlines should not pay duties on aircraft parts,” Adeyileka said.
Chairman of Arik Air, Joseph Arumemi-Ikhide told THISDAY in an interview that the airline had secured credit facility to build modern MRO facility in Nigeria with the collaboration of Lufthansa Technic, but needed government support and expansive land at the Lagos airport, which the airline is yet to get.
With the clamour by airlines for the establishment of such facility locally, it is hoped that the Buhari administration would help the airlines to safe maintenance costs by supporting those who wish to establish such facility in Nigeria.

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