…Agency to Adopt Hybrid Payment After Lagos, Abuja Gridlock
By Franklin Adole
The Managing Director of the Federal Airports Authority of Nigeria (FAAN), Olubunmi Kuku, has clarified that President Bola Ahmed Tinubu did not order the outright suspension of the agency’s cashless payment policy at Nigerian airports but directed that the process be improved before full implementation.
Kuku gave the clarification on Thursday during a press conference at the Murtala Muhammed International Airport (MMIA), Lagos, barely 24 hours after the Minister of Aviation and Aerospace Development, Festus Keyamo, told State House correspondents that the President had directed the immediate suspension of the cashless initiative.
The directive followed public outcry and heavy traffic gridlock around the toll gates leading to the Lagos airport, which worsened after FAAN began enforcing the cashless payment system for access fees.
Explaining the situation, Kuku said the President only asked the agency to revert temporarily to the previous system while improving the rollout process.
According to her, the cashless initiative itself remains a Federal Government policy approved by the Federal Executive Council and was introduced after months of public awareness campaigns.
“We started a lot of enlightenment; even the National Orientation Agency had publicised it as far back as October last year. We were implementing a Federal Government directive approved at the Federal Executive Council,” she said.
Kuku explained that FAAN had earlier proposed a hybrid system that would allow both cashless and cash payments during the transition period but was working against a deadline.
She described the President’s intervention as a welcome development that would allow the agency to refine the process and expand user adoption.
“For me and the agency, we thank Mr. President for this laudable initiative. The fact is that the President is not just talking about policy rollouts but also understands the nature of each operating environment,” she said.
According to the FAAN boss, Tinubu noticed the gridlock caused by the cashless rollout at the Lagos airport and directed the agency to temporarily revert to the hybrid system.
“That is what we are doing now. So this is a win for the industry,” she said.
Kuku disclosed that the President had given FAAN additional time to fine-tune the technology and ensure wider adoption of the system.
She said more than 100,000 users had enrolled in the system between October and early March, with about 60,000 registrations recorded in the last three days before enforcement began.
“For me, that is a major win,” she said.
She added that despite extensive public sensitisation, many commuters were unaware FAAN would strictly enforce the March 1 deadline, which contributed to the confusion and traffic congestion.
Kuku noted that although the agency recorded about 99 per cent success with the cashless cards deployed, the enforcement created serious gridlock around the Lagos airport.
She explained that the toll gate location also contributes to the congestion because the route is used not only by airport passengers but also by other commuters within the Lagos metropolis.
“It’s not just airport users. Within the Lagos environment, you have people who work around the airport or are commuting to other areas,” she said.
She, however, noted that the situation in Abuja improved quickly, with traffic congestion reducing significantly by the third day of implementation.
Kuku said FAAN would now reassess the process and adopt the hybrid system that allows motorists to either use cashless cards, e-tags, or pay cash temporarily while the agency expands enrolment.
“As we continue the process, people should understand that the policy has not been halted completely. It is simply an instruction to revert to the status quo while improvements are made,” she explained.
She added that the initiative is aimed at blocking revenue leakages and improving transparency in the collection of airport access fees.