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Home Business Traveller/Hospitality

FAAN to adopt hybrid payment system at Airport toll gates after Tinubu suspends cashless rollout

by Onome Amuge
March 5, 2026
in Business Traveller/Hospitality, Frontpage, The business traveller & hospitality
All federal airports fully insured , says Kuku

Olubunmii Kuku,the managing director of the Federal Airports Authority of Nigeria (FAAN), has said the agency will introduce a hybrid payment system at airport toll gates while it reviews the recently introduced cashless payment initiative to address operational challenges.

The development follows the decision by President Bola Ahmed Tinubu to suspend the cashless toll payment system at Nigeria’s airports after gridlock was reported at major terminals during the early phase of implementation.

The president’s directive came after commuters and passengers experienced delays linked to technical and operational hitches at airport toll plazas, particularly in Lagos.

Speaking to journalists at the Lagos airport on Thursday, Kuku said the temporary suspension would allow the authority more time to test and refine the system before a full rollout.

According to her, Festus Keyamo, the minister of Aviation and Aerospace Development, has also directed the agency to strengthen the system and ensure improved efficiency before implementation resumes nationwide.

Kuku described the president’s intervention as a pragmatic move that reflects an understanding of the operational realities within Nigeria’s aviation environment.

She noted that the directive allows FAAN to refine the payment infrastructure, expand user registration, and address operational bottlenecks that contributed to congestion at the toll gates.

Under the revised plan, the authority will operate a hybrid model that combines both cashless and cash payment options. The arrangement will allow motorists and airport users to continue using digital payment methods such as cards and electronic tags while still accommodating cash payments during the transition phase.

The FAAN chief explained that the cashless policy was introduced in response to a directive of the federal government aimed at modernising payment systems across public facilities.

She said awareness campaigns had begun months earlier, including public sensitisation efforts supported by the National Orientation Agency through its digital platforms.

According to Kuku, the authority began preparations for the policy rollout as far back as October last year following approval at the Federal Executive Council. However, the agency was required to meet a specific implementation deadline, which resulted in the March rollout.

Despite the challenges encountered during the initial deployment, she noted that the programme achieved significant progress in terms of user adoption.

Kuku disclosed that more than 100,000 users had registered for the electronic payment system between October and early March, with about 60,000 registrations recorded within the final three days before enforcement.

She added that the technology behind the payment infrastructure functioned largely as intended, with the deployed cashless cards recording an operational success rate of about 99 per cent.

However, she acknowledged that the location of the toll gates and the large volume of traffic within the airport corridors contributed significantly to congestion.

The FAAN boss explained that the airport toll gates serve not only passengers but also workers, service providers, and commuters passing through the airport vicinity to other parts of the city, which intensified the traffic pressure.

She said the authority would now focus on expanding awareness, increasing user onboarding, and strengthening collaboration with private sector partners to improve the efficiency of the system.

According to Kuku, once the operational adjustments are completed and user adoption increases, the improved system will be rolled out again in a manner that ensures smoother traffic flow and a better travel experience for airport users.

 

Onome Amuge

Onome Amuge serves as online editor of Business A.M, bringing over a decade of journalism experience as a content writer and business news reporter specialising in analytical and engaging reporting. You can reach him via Facebook and X

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