The Nigerian Railway Corporation (NRC) has awarded a three-year license to the China Civil Engineering Construction Corporation (CCECC) to operate freight services on the Lagos-Ibadan standard-gauge railway line, effective until October 2027.
This authorization is a landmark achievement for Nigeria’s rail sector, as CCECC becomes the first company to be licensed for standard-gauge rail freight services in the country.
The announcement was made in a tweet by CCECC on Friday, which included a copy of the official license certificate.
“New milestone for the Lagos-Ibadan Railway! CCECC has been officially authorized by the Nigerian Railway Corporation to operate railway services for the public carriage of goods, becoming the first company licensed to operate standard-gauge rail freight in Nigeria,” CCECC’s tweet read in part.
The accompanied document confirms the NRC’s authorization, granting CCECC permission to operate the railway for the public carriage of goods from October 14, 2024, to October 13, 2027.
Here is what the license document reads:
“TRAIN OPERATING LICENSE
“(LAGOS – IBADAN STANDARD GAUGE)
“This is to certify that CCECC
“Having satisfied the conditions laid down by Nigerian Railway Corporation in the exercise of the Powers Vested on it by Nigerian Railway Corporation is hereby authorised to operate a railway for the Public Carriage of Goods from the 14th day of October 2024 to the 13th day of October 2027.”
This move aligns with the NRC’s ongoing efforts to enhance the efficiency and capacity of Nigeria’s railway system, particularly for cargo movement, which is expected to alleviate road congestion and reduce transport costs.
What you should know
The Lagos-Ibadan Railway, built by China Civil Engineering Construction Corporation (CCECC), serves as a critical connection between Nigeria’s economic hub, Lagos, and the industrial city of Ibadan in the southwest.
- Officially launched in June 2021, this 157-kilometer main line, complemented by a 7-kilometer branch line, is designed to modern railway standards and supports speeds of up to 150 kilometers per hour.
- Offering Nigeria a secure and affordable transportation option, the railway enhances both passenger travel and cargo logistics, efficiently linking port and inland areas.
- According to CCECC’s website, the railway had safely operated for 1,000 days by March 5, 2024, moving over 2 million passengers.
- CCECC has provided comprehensive support for the railway’s operation, from technical assistance to training programs for local technical and managerial staff, directly creating job opportunities and developing a skilled workforce.
In a recent development, the Nigerian Railway Corporation (NRC) granted CCECC authorization to operate freight services on the route.
This license aims to maximize the railway’s economic benefits, providing businesses with a reliable, cost-effective logistics option, and stimulating further economic activity along the Lagos-Ibadan corridor.