Railway: FG Sets November Target for Ground-breaking Ceremony in Ogun

The federal government on Monday in Lagos set November 8 as the date for the groundbreaking ceremony of the proposed rail manufacturing company at Kajola, Ogun State.

The move, the government stated, was to ensure that rail wagons, coaches and locomotives are manufactured in Nigeria.

The Minister of Transportation, Mr. Chibuike Ameachi, gave the hint during the October stakeholders’ inspection tour of the ongoing Lagos-Ibadan rail project.

Amaechi disclosed that Vice President Yemi Osinbajo, is expected to flag off the project.

 The minister explained that in signing the agreement between Nigeria and the Chinese Civil Engineering Construction Company (CCECC), the Nigerian Government agreed with them that they should produce most of the materials they need locally; however, they said it would be a bit difficult for them.

 

According to him, "So we reached an agreement that they should start assembling wagons here. Five years after that, they should start producing wagons and assembling coaches and locomotives and ten years later, they should start producing locomotives and coaches here."

Amaechi stated that their argument is that if they produce here, Nigeria will have to buy from them instead of buying from outside, and "I told them that we will enter into agreement to buy from them. That way, we will be able to pay in naira and save the scarce dollars that we have."

He explained that the country was not contributing anything to the establishment of the factory, noting that it is their investment, but that the Transport University in Daura, Katsina State is their corporate social responsibility.

 

The minister revealed that the implication is for them to look at the benefit, adding that: "The assembling company it belongs to the Chinese. The most important thing is that it will create employment and improve our economy which is our target at the end of the day."

Speaking further, Amaechi observed that the government, having studied the problem of increasing gridlock along the Lagos-Ibadan expressway, proposed a December free train ride for passengers on the rail corridor to reduce gridlock currently witnessed by motorists due to the ongoing construction work on the road.

The test-run free train ride, according to him, will begin by November 30 and end in January 2020.

"On November 30, we will commence the test running of the train, but the issue is that we want to start from Ebute Meta, and they have informed us that Iju would be ready. As far as Lagosians are concerned, Iju is in Ogun State. I just want them to get to Ebute Meta,” he said.

When asked the date to expect the commercial train on the Lagos-Ibadan route, the minister revealed that the ministry would embark on inspection tour in November and December, and "in our next inspection, the other coaches would have arrived. So you will have more coaches and we will have about 10 coaches on this track.

“But once we get the next 10 coaches,  we will send them to Kaduna, and the situation where passengers stand inside our coaches will be reduced. Although it will not solve the problem of addressing the 3,700 passengers but at least it will reduce the number of those who stand on the train.

The actual number of passengers which that service can take or the sitting capacity is about 1,000 plus, but we are carrying 3,700 daily. So if you add 10 84-passenger coaches, and we make it more regular, the pressure will be reduced.

On whether the country won't be running at a loss, Amaechi said: "You don't make money in railway, it is the economy that grows. The reason for this is to move and grow the economy. So you don't focus on how much you will make but how much impact you will have on the economy."