Travel/Tourism
Sustaining Nigeria’s Transport Sector Using Technology
An efficient transportation sector facilitates exchanges that result in the improvements of lives and economies globally. Every day, transport stakeholders develop new ways that support the sustainability of this sector. This stems from the knowledge that the movement of humans, goods and services remains a fundamental part of a country’s economy, and extensively, global economic growth.
In the third-quarter economic performance report for 2021 released by the Nigeria Bureau of Statistics (NBS), the growth in the non-oil sector cannot be overlooked, with the transportation sector also making significant leaps in the quarter, making it one of the fastest-growing sectors in Nigeria in Q3 2021.
The modes of transportation that made these impressive contributions to the economy were rail transport and pipeline (59.93 per cent), air transport (33.31 per cent), road transport (21.11 per cent), and water transport (16.30 per cent). For a country with over 200 million people, the need for a robust means of transportation cannot be overemphasized.
And this guides the federal government’s decision to put initiatives in place to close the gap in the transportation sector through a multi-modal transport system. Although these initiatives are yet to be unveiled, the Lagos State Government has embarked on its own ambitious multi-modal transport system in a bid to upgrade the state to smart city status.
According to the state government, there is fund available to complete the various projects, including the creation of rail lines for intracity trips and other works that will put the proper infrastructure in place for an efficient transport system in the state. To further drive this conversation on the importance of building a sustainable transport system in the metropolis, the Lagos Transport Fest, held on December 13, 2021, drawing stakeholders from both the public and private sector to discuss the way forward in improving Nigeria’s transport system.
The event focused on every aspect of transportation including road, rail, logistics, and ports, noting the importance of a cross-sector partnership to develop the transport sector. In the outline of the event’s agenda, one element made a repeated appearance: technology.
This highlights the fact that technology can bring about changes in the operations of businesses within the rail, maritime, aviation, and road modes of transportation. Technology has continued to prove itself a force to reckon with, evident in the unprecedented changes it has produced across sectors, and the transport sector in Nigeria is not any different.
These perceived and observed changes have led to a steady rise in its utilization, as digitization of processes in various economic quarters has become not just widely accepted but even encouraged. Speaking along these lines was one of the event’s sponsors, Interswitch, Africa’s leading digital payment company, who noted the effect of innovation on the country’s transport sector would increase accessibility to safe payment methods and the attendant ease for commuters.
The need for digitization in the transportation business became notable during the heat of the pandemic, as innovators devised new ways to conduct their businesses without the need for physical contact between individuals. This was especially observed in the logistics sector which saw more companies adopting technological solutions while minimizing physical contact.
In developed countries, other solutions such as robotics, drones, the Internet of Things (IoT) and Artificial Intelligence (AI) swiftly became a replacement for humans to reduce human contact and by extension, the spread of the virus.
Transportation and the AfCFTA
It would almost be remiss if there was no mention of Intra-African trade through the Africa Continental Free Trade Agreement (AfCFTA), which is expected to facilitate stronger trading relations between countries on the African continent. With this in view, experts have highlighted the deficits in the transportation sector that could hinder Nigeria – Africa’s current leading economy – from accessing its full potential, relegating it behind other smaller African nations with better systems in place.
However, giving reassurances of the country’s readiness to participate in this monumental intra-continental trade, the Minister of Transportation, Rotimi Amaechi, said, at a 2-day conference, that the federal government had taken seriously the business of transportation.
He noted that “The transportation sector is the most critical in implementing trade facilitation, enhancing regional integration is key to every other AfCFTA protocol. Hence, the Nigerian government has embarked on huge transport infrastructure investment across the country to ensure efficiency in the transportation sector.”
He also highlighted the importance of digitization in the sector as one of the major elements that require a sturdy infrastructure for successful intra-continental trading. The minister noted that his ministry was dedicated to improving digital services in the transport system through the automation of services.
In the same vein, analysts are projecting a boost in free trade in Africa through digitization. With about 36 countries ratified onto the AfCFTA, it is estimated that over 1 billion consumers on the African continent, with a growing Gross Domestic Product (GDP) of $3.4 trillion will be integrated.
However, the ever-fluctuating, dollar-reliant exchange rate system on the continent remains a challenge to trade within the continent. To address this, the African Export-Import Bank (Afreximbank), in collaboration with the West African Monetary Institute (WAMI), developed the Pan-African Payment and Settlement System (PAPSS) to facilitate cross-border payment between traders in Africa, which would involve participating central banks.
Interswitch, through some of its brands, has continued to enhance cross border payments – Quickteller, a borderless digital payment solution service and Verve card, a payment card issued in 8 African countries with acceptance in over 22 countries on the continent. These services and products are aiding payment between African traders, removing transaction barriers.
To take full advantage of this untapped market, countries would need to develop better transport infrastructure and systems and fortify payment systems to lessen the stress that comes with it, which will help to properly connect markets across the continent and achieve the overarching goal of a prosperous continent.
Enormous opportunities abound in the transport sector, but to tap into these there is the need for a concerted effort from stakeholders in both the public and private sectors to ensure that consumers have seamless experiences while moving goods, services, people and payments across borders.
By Aduragbemi Omiyale
Air travellers flying through Emirates will enjoy Starlink Wi-Fi onboard after the completion of the installation of the internet service on the company’s flagship A380.
The introduction of Starlink on the A380 builds on Emirates’ ongoing investment into redefining the customer journey, including one of the most ambitious retrofit programmes in aviation history.
The airline operator recently test-run this on a flight to Dubai, and it allowed passengers to enjoy seamless broadband while flying at 40,000 feet.
The Emirates A380 was one of the first commercial aircraft in the world to offer internet to its customers, with first-generation systems offering a total aircraft bandwidth of less than 1 Mbps. The installation and certification were accomplished in Newquay, UK.
With more A380s scheduled for accelerated installation throughout 2026, Emirates customers will soon enjoy a transformative leap in onboard connectivity with the ability to stream, game, browse, and work throughout their journey on personal devices.
The service will be complimentary for all customers, across all cabins, with easy sign-up and access. Future enhancements will include Live TV streaming over Starlink, initially on personal devices and later integrated into seatback screens.
So far, more than 650,000 Emirates customers have already flown on Starlink‑equipped flights, experiencing the benefits of next‑generation onboard connectivity firsthand.
As the world’s largest passenger aircraft, the A380 presents unique engineering challenges and opportunities. This industry-first Starlink configuration is designed to meet the demands of the A380’s ‘double-decker’ layout and high passenger capacity and is capable of delivering more than 2 Gbps of total aircraft bandwidth across the cabin.
Compared with the Emirates Boeing 777, the Emirates A380 features additional wireless access points and a third antenna to deliver an enhanced connectivity experience for its higher passenger capacity. Optimised inter‑deck integration supports a seamless Wi‑Fi experience, with customers able to enjoy high speeds depending on usage and device capability.
Starlink installations will soon begin at Emirates Engineering facilities in Dubai to accelerate deployment across the fleet.
Emirates is committed to bringing the best possible connectivity to its entire fleet at the earliest opportunity, with 25 Boeing 777-300ER aircraft already equipped with Starlink and the first A380 now joining service.
By Adedapo Adesanya
The Nigerian government is capping jet fuel prices and allowing airlines to get supplies on credit as part of efforts to avert flight disruptions caused by soaring fuel costs.
Reuters reported that the Nigerian Midstream and Downstream Petroleum Regulatory Authority (NMDPRA) said in an internal document that aviation fuel should sell for N1,760 to N1,988 ($1.29 to $1.46) per litre in Lagos and N1,809 to N2,037 in Abuja, based on benchmarks from April 17 to April 23.
The decision follows emergency talks after airlines threatened to go on a strike, warning that jet fuel prices had jumped by more than 300 per cent, forcing fare increases and raising the risk of capacity cuts.
The strike was averted after the federal government met with the Airline Operators of Nigeria (AON) and other stakeholders.
President Bola Tinubu last week approved 30 per cent relief on airlines’ debts to aviation agencies and ordered fuel marketers, airlines and regulators to agree on a “fair” fuel price within 72 hours to prevent the sector-wide shutdown that would have impacted the country’s economy.
The talks also agreed to grant airlines a 30-day credit window to pay for fuel and tasked the aviation ministry with mediating debt disputes between operators and oil marketers, according to the document.
The NMDPRA also formed a technical committee, which recommended that fuel marketers sell directly to airlines within the indicated price range to cut costs and improve supply-chain transparency.
The committee also urged regulators to engage Dangote Petroleum Refinery and Petrochemicals over the increased premiums applied to international benchmarks used to price jet fuel.
Other recommendations include validating airside fuel distributors with adequate infrastructure, potentially reducing the number of authorised suppliers at airports, and considering jet fuel for Nigeria’s Crude-for-Naira initiative to limit airlines’ foreign exchange exposure. So far, the Crude-for-Naira has only been for upstream operations.
The cost of fuel has generally risen in the last two months due to the escalating war with Iran by the US and Israel, which has triggered one of the most severe energy shocks in decades. Oil prices are currently above $100 per barrel as markets react to escalating tensions and the risk of prolonged disruption.
At the centre of the crisis is the Strait of Hormuz, a chokepoint through which roughly one-fifth of global oil supply flows. With shipping constrained, the effects are cascading across the global economy, raising fuel costs, fueling inflation, and increasing the risk of economic slowdown across many economies. This is forcing airlines to raise fares, curb growth plans and rethink forecasts.
By Adedapo Adesanya
The United States (US) has warned that visa overstays by Nigerian travellers could deny future opportunities for other aspiring applicants.
The United States embassy had earlier in February stated that compliance would help protect visa access for students and business travellers.
In a reminder statement posted on its official X handle on Monday, the US Mission in Nigeria advised that strengthening compliance helps protect visa access for students, business travellers, and families who travel responsibly.
“#Reminder: Visa overstays by Nigerian travellers can affect opportunities for their fellow citizens. Strengthening compliance helps protect access for students, business travellers, and families who travel responsibly. If you are aware of visa fraud, please report it to [email protected] or [email protected],” the statement read.
Last August, the Mission also announced that all non-immigrant visa applicants must now provide details of their social media accounts from the past five years.
In a statement, the embassy said applicants are required to disclose usernames or handles from every platform used within the period when completing the DS-160 visa application form.
“Visa applicants are required to list all social media usernames or handles of every platform they have used from the last 5 years on the DS-160 visa application form. Applicants certify that the information in their visa application is true and correct before they sign and submit,” the statement read.
The mission warned that omitting such information could result in visa denial and render applicants ineligible for future visas.
The DS-160 is the standard online form required for most US non-immigrant visas, including temporary business (B-1), tourism (B-2), student visas (F and M), and work-related categories such as the H-1B.
It insisted the new rules were designed to enhance security, they come amid repeated US criticism of governments accused of clamping down on free speech online.
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