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REHABILITATION AND CONCESSION OF THE WESTERN EASTERN RAIL LINES

Sector

Transport

Location

Abia, Rivers, Lagos, Oyo, Kwara, Niger, Kaduna, Yobe, Enugu, Bauchi, Gombe, Plateau, Borno, Kano

Indicative value

NGN 225927 million (US$ 1378.16 million)

Phase

Development

Sponsoring Agency

Nigerian Railway Corporation (NRC)

Last update

12-06-2018 15:10:26

REHABILITATION AND CONCESSION OF THE WESTERN EASTERN RAIL LINES

Sector

Transport

State

Abia , Rivers , Lagos , Oyo , Kwara , Niger , Kaduna , Yobe , Enugu , Bauchi , Gombe , Plateau , Borno , Kano

Value

NGN 225927 million (US$ 1378.16 million)

Phase

Development

Sponsoring Agency

Nigerian Railway Corporation (NRC)

Last update

12-06-2018 15:10:26

  • Basic project information
  • Announcements
  • Gallery

Basic project information

  • Project need

    Mass transit services could be provided in urban areas, particularly in the major cities. However, these are not likely to be commercially viable on their own and will require a direct government subsidy, or indirect cross-subsidy from other profitable services. The current configuration of the network means that it could only serve a limited number of potential commuter routes and could eventually constrain freight demand at a much higher economic cost given the limited rail corridor available. There is the need for a transformation of the Nigerian railway system to a dynamic and more functional one, to encourage the use of rail to reduce road traffic congestion problems and other negative externalizes; to increase railway capacity and development of national capacity through local sourcing of maintenance and construction materials; and to reduce the burden of the railway sector on the federal budget through private sector investment.

  • Description of asset

    The Rail Lines is across the Western and Eastern regions of Nigeria (Western lines are Lagos-Kano 1,126km, to Nguru 230 km, to Fantua 100km, to Kaura Namoda 121km, Apapa line 6km, Tin Can island 6km; and Eastern lines are Port Harcourt- Kaduna 915km, Maiduguri 706km, Jos 35km, Onne 19km).

  • Description of services

    Provision of passenger and cargo services.

  • Rationale for selection of PPP model

    There is a strong demand for rail freight services for many products in Nigeria because, despite its relatively low direct cost, road haulage has many indirect costs to customers because of congestion and delays caused by the poor condition of the road network. It also results in high environmental and social costs (such as safety). Railways are more efficient at moving bulk loads over long distances in environmental and economic terms. Thus, there is a compelling need to attract private sector technical expertise and financial resources in the provision of rail services in Nigeria.

  • Stakeholder consultations

    An Environmental Audit was carried out as well as stakeholder engagement sessions among key stakeholders, including representative members of rail host communities, regulatory authorities, and workers unions.

  • Project Summary document

    Information will be published as soon as it is available.

Project milestones

2017

1 January

Project proposal received

Project Proposal was received by ICRC

2017

4 April

OBC compliance certificate issued

ICRC issued a conditional OBC Certificate of Compliance

2017

25 May

Selection of preferred bidder

Preferred bidder selected.

Announcements

    Preferred Bidder Thursday 25th of May 2017

    The Federal Government announced General Electric, a global conglomerate, has emerged the preferred bidder for the narrow gauge railway concession in Nigeria.

Gallery

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    About Us

    The ICRC was established to regulate Public Private Partnership (PPP) endeavours of the Federal government aimed at addressing Nigeria’s physical infrastructure deficit which hampers economic development.

    Contact us

    • languagehttp://www.icrc.gov.ng
    • emailinfo@icrc.gov.ng
    • call+234 9 4604900
    • room Plot 1270, Ayangba Street, Near FCDA Headquarters, Area 11, Garki, Abuja.

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