NRC presents permanent rail operating license to Lagos govt

The Nigerian Railway Corporation (NRC) on Tuesday granted a Permanent Operating Licence to the Lagos Metropolitan Area Transport Authority (LAMATA) to commence its Lagos Rail Mass Transit (LRMT) Red Line services in accordance with the Track Sharing Agreement between the Corporation and the Lagos State Government.

Speaking during the signing and presentation of the Permanent Operating Licence, the Managing Director of the NRC, Dr. Kayode Opeifa, said the move does not mean that the Corporation is abdicating its statutory roles and responsibilities, but rather expanding its horizons and embracing the global best practice of encouraging multiple operators within a regulated rail system.

According to the NRC MD:

“For 128 years, since 1898, the Nigerian Railway Corporation (NRC) has remained the sole developer and operator of railway services across Nigeria and, until recently, beyond our borders through rail connections with neighbouring countries.

“Today, we formally change that narrative—not by abdicating our statutory roles and responsibilities, but by expanding our horizons and embracing the global best practice of encouraging multiple operators within a regulated rail system.

“Today, we celebrate another significant milestone in the enduring partnership between the NRC and the Lagos State Government, reflecting our shared commitment to modernising rail transportation and improving urban mobility.

“In April 2012, former President Goodluck Ebele Jonathan approved the transfer of two federal rail tracks to the Lagos State Government to facilitate the development and operation of the Lagos Rail Mass Transit (LRMT) Red Line. That visionary decision laid the foundation for one of Nigeria’s most transformative urban rail projects.

ALSO READ: Ford makes U-turn, rehires human engineers after AI fails to match quality checks

“The LRMT Red Line commenced passenger operations on 15 October 2024, with morning and evening peak services, following its inauguration by President Bola Ahmed Tinubu.

“Beyond providing access to the tracks, our collaboration has also included the training and capacity development of the Red Line’s operational personnel, demonstrating the immense value of strong institutional partnerships.

“I recall that a little over a year ago, the NRC granted the Lagos State Government a temporary operational licence to facilitate the implementation of the Track Sharing Agreement, pending the issuance of a permanent operating licence following a satisfactory operational assessment.

“Today, we take another important step in strengthening that partnership by presenting a Permanent Operating Licence to the Lagos State Government through the Lagos Metropolitan Area Transport Authority (LAMATA).

“This licence formally grants LAMATA access to operate services on the shared corridor in accordance with the Track Sharing Agreement, while conferring the rights and obligations contained therein. Besides, it confers on the Lagos State Government the authority to operate other rail systems in accordance with international best practices.

“This achievement is a testament to the mutual trust, cooperation, and shared vision that have continued to define our partnership.

“I sincerely appreciate the Lagos State Government for its confidence in the Nigerian Railway Corporation and for its unwavering commitment to this collaboration. I also commend the Government for its remarkable investment in public transportation, particularly in the rail subsector, including the acquisition of adequate rolling stock to meet the growing mobility needs of Lagosians.

“The development of modern rail infrastructure requires foresight, substantial capital investment, and sustained political will—all of which Lagos State has consistently demonstrated.

“Rail transportation remains the backbone of efficient mass transit in major cities across the world. Continued investment in rail infrastructure is essential to providing safe, reliable, environmentally sustainable, and high-capacity mobility for our growing population, while significantly reducing pressure on our road network.

“I have consistently advocated that states across the Federation should invest in rail infrastructure and services to complement the Federal Government’s efforts to strengthen Nigeria’s railway network. Expanding rail transportation nationwide will ease congestion on our highways, reduce logistics costs, improve passenger mobility, stimulate industrial and commercial activities, and ultimately accelerate national economic growth.

“As we celebrate this milestone, I reaffirm the Nigerian Railway Corporation’s commitment to fostering productive partnerships that will transform Nigeria’s transport landscape. Together, we will continue to build an integrated, efficient, safe, and sustainable railway system that serves the aspirations of all Nigerians.

“I wish to appreciate all the assessment officials whose professionalism, diligence, and rigorous operational evaluations made today’s issuance of this Permanent Operating Licence possible. Your efforts and commitment to ensuring that the LRMT Red Line, on which the NRC shares tracks, meets the required operational standards are deeply appreciated and duly acknowledged.

“On behalf of the Nigerian Railway Corporation, it is my honour and privilege to formally hand over this Permanent Operating Licence to the Lagos State Government.”