The Akanu Ibiam International Airport in Enugu has not been outright sold by Nigeria’s federal government. Instead, the airport is undergoing a concession process, which is essentially a form of public-private partnership (PPP).
The federal government says it is working with private investors to concession the airport, meaning private sector companies would operate, maintain, and upgrade the airport facilities for a set period while ownership remains with the government. This arrangement is intended to attract private investment and improve the airport’s infrastructure, but it does not equate to a sale or permanent transfer of ownership.
As of early 2025, the concession process was reported to be over 70% complete, with expectations that it would conclude by the second quarter of 2025.
The concession aims to enable critical upgrades at the airport, including completion of the international terminal, development of cargo terminals, maintenance, repair, and overhaul (MRO) facilities, aircraft hangars, and runway extensions. Both the Federal Government and the Enugu State Government are collaborating on these efforts to operationalize and enhance the airport’s capacity.
Federal Government officials have explicitly dismissed rumors and reports suggesting that the airport has been or is being sold, especially claims that it was franchised to an unnamed company for an 80-year lease.
These reports were characterized as untrue and were said to be based on misinformation, possibly intended to stir unrest. The Ministry of Aviation clarified that though concession proposals are being evaluated for Enugu and other major airports in Nigeria, no finalized concession agreement or fixed period has been publicly agreed upon.
The main rationale behind the concession is the acknowledged inefficiency and financial losses associated with government-operated airports in Nigeria. The Federal Government recognizes that it cannot simultaneously manage airport operations effectively and attract meaningful private sector investment.
Thus, the concession is seen as a strategic move to revive and modernize the Akanu Ibiam International Airport by leveraging private capital and expertise, while the government maintains regulatory oversight.
The Enugu State Government has been supportive of the concession plan and is actively involved in the process. The state announced preparations to launch “Enugu Air,” a state-backed airline aiming to boost air traffic and complement airport operations starting in 2025, further indicating that the concession is part of a broader strategy to develop the region’s air transport infrastructure and economy.
Legislators from Enugu have also expressed support for the concession, viewing it as a critical pathway to unlocking the airport’s potential as a major economic driver for the South East region.
The airport, despite its international designation, has remained largely underdeveloped over the years, lacking fully operational terminals and cargo facilities. The concession is expected to address these deficiencies through required investments and upgrades by private partners.
Therefore, while the Akanu Ibiam International Airport is not sold, it is on a path of partial privatization through concession. This approach allows for private sector management to drive operational improvements under government oversight, ensuring the airport’s development without relinquishing federal ownership.
This process is led by the Federal Government’s Ministry of Aviation in collaboration with private investors, aiming to bring critical upgrades such as completing the international terminal, developing cargo facilities, maintenance and repair areas, aircraft hangars, and runway extension.
Importantly, the government has not yet selected any concessionaire, nor has a fixed concession period been agreed upon. Various proposals with different durations have been submitted but are still undergoing thorough evaluation, including review by the Infrastructure Concession Regulatory Commission (ICRC), before any final approval by the Federal Executive Council (FEC).
Rumors suggesting an 80-year concession deal to a faceless or single company have been officially denied by the Ministry of Aviation and other government officials as false and misleading. The ministry emphasized the commitment to a transparent and evaluative process involving stakeholders, including aviation labor unions, to ensure fairness and trust in the concessioning.
A draft PPP agreement available to sections of the public mentions a proposed 80-year concession term with provisions for early termination and staff transition arrangements, but this document has not been finalized or officially approved. It includes transfer of Federal Airports Authority of Nigeria (FAAN) staff to the concessionaire for two years with redundancy protections and government obligations for pensions and gratuities.
The Enugu State Government supports this concession process as part of a broader plan to develop the airport into a major regional hub. The state is also preparing to launch a state-backed airline, Enugu Air, to increase air traffic and complement the airport’s operations starting in 2025.
In summary, the Enugu Airport concession is a carefully evaluated PPP process involving multiple stakeholders, aiming to upgrade the airport infrastructure and operations under private management but without finalizing any sale or fixed-term agreement yet. The government maintains strict oversight and transparency to ensure the concession benefits the national and regional economy.