FAAN: Uber’s exit from Nigeria is unrelated to airport restrictions
The Federal Airports Authority of Nigeria (FAAN) stated that Uber’s cessation of operations in the country is unrelated to restrictions on ride-hailing services at airports. FAAN Managing Director Olubunmi Kuku told journalists at Murtala Muhammed Airport in Lagos that the company’s decision was business-related.
As Premium Times Nigeria reports, Uber announced on September 2 that it was ceasing operations in Nigeria after 12 years in the country. The company explained this by reviewing its business priorities and investment focus in Africa. According to Kuku, airports account for only a small part of Uber’s operations in Nigeria, and the company had been considering leaving the market for some time.
Restrictions on Uber and Bolt
On July 30, FAAN instructed airport managers to halt the commercial operations of Uber and Bolt at airports managed by the authority until licensing agreements with the companies were finalized and signed. The restrictions prompted passenger complaints about difficulties accessing familiar services and higher fares for alternative transport.
Bolt subsequently concluded an operating agreement with FAAN and received permission to resume operations at airports managed by the authority. FAAN noted that the directive was not a complete ban on ride-hailing services. The authority explained that it seeks to control commercial transportation at airports in view of passenger safety, driver identification, their accountability, and cases of imposed services.
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Complaints and driver accountability
Kuku stated that FAAN had received complaints about certain ride-hailing and car-hire services. According to her, passengers reported intimidation and cases in which they were taken to places other than their intended destinations. She also claimed that some Uber and Bolt drivers allegedly joined car-hire operators and charged passengers higher fees.
According to Kuku, one of the points of disagreement with the platforms concerned accountability for drivers using their services. The companies indicated that drivers are independent contractors, while FAAN insisted on greater platform responsibility for driver safety and conduct within airports.
FAAN also denied that its Airport Car Hire Rank Management System (ACHRAMS) is intended to replace Uber or Bolt. According to the authority, the system is designed to identify companies and drivers, track and supervise commercial car-hire services at airports. FAAN stated that it does not operate such transportation services or collect payments on behalf of drivers.