FAAN Resumes MMA2 Revenue as FG, Bi-Courtney End Long-Running Airport Dispute
ABUJA — The Federal Airports Authority of Nigeria has resumed receiving concession revenue from Murtala Muhammed Airport Terminal Two in Lagos after the Federal Government and Bi-Courtney Aviation Services Limited formalised a settlement ending a dispute that lasted nearly two decades.
The agreement was formalised on October 20 by the Federal Government, FAAN, Bi-Courtney Aviation Services and Stabilini Visinoni Limited after an earlier Federal Executive Council approval of the negotiated framework.
The settlement changes both the financial relationship around MMA2 and the future management of related airport assets.
FAAN revenue resumes
Under the new arrangement, FAAN has begun receiving concession revenue from MMA2 again.
That is the clearest immediate public-finance consequence of the agreement.
But the return of concession payments does not by itself establish the total financial value of the settlement.
The amounts ultimately accruing to government will depend on implementation of the revised concession terms and payment obligations.
Specified historic claims relinquished
The settlement includes reciprocal waivers of specified historical claims between the parties.
Bi-Courtney agreed to relinquish outstanding claims, while the government and FAAN also waived specified historic claims linked to the concession relationship.
The safe formulation is therefore:
specified historic claims were mutually relinquished.
The settlement should not be described as erasing every possible liability unless the executed agreement expressly establishes that.
General Aviation Terminal issue addressed
The revised framework also settles the long-running dispute over the General Aviation Terminal, commonly referred to as GAT or MMA1.
Under the reported settlement terms, the terminal remains Federal Government property operated by FAAN.
Bi-Courtney, meanwhile, may expand MMA2’s apron and accommodate regional African flights, subject to capacity and regulatory requirements.
Those conditions remain important.
Permission to expand does not mean every operational approval has already been completed.
Hotel and conference centre remain an implementation test
The agreement also covers the unfinished hotel and conference centre associated with the airport concession.
The settlement is expected to allow those projects to move forward, but their completion remains an implementation issue.
Settlement signed does not mean the projects are complete.
The next test is whether construction obligations are fulfilled and whether the facilities become functional.
What the dispute involved
The original concession agreement dates to 2003 and covered the design, construction, operation and eventual transfer of the domestic terminal.
MMA2 began operations in 2007.
Disagreements later developed over financial obligations, operational rights and related airport assets, leading to years of litigation and competing claims.
The current settlement replaces that prolonged dispute with a negotiated framework.
The accountability test now shifts to implementation
The immediate significance of the agreement is that a major public-asset dispute has moved from litigation into an implementation phase.
The questions are now measurable:
- How much concession revenue will FAAN receive?
- Are payments made on schedule?
- Which historic claims were specifically waived?
- When will the hotel and conference centre be completed?
- What investment follows from the revised arrangement?
- How will any regional-flight expansion be regulated?
- Will passengers see measurable improvements in service?
For the public, those outcomes matter more than the signing ceremony itself.
A settlement can end a dispute on paper.
Its value will depend on whether it produces dependable revenue, completed infrastructure and improved airport operations.