Nigeria’s Federal Executive Council has approved the sum of $500million for the award of contracts for rolling stocks, coaches, wagons and locomotives for the Lagos-Ibadan Railways and the Itakpe-Warri Railways. Minister of Transportation, Rotimi Amaechi, stated this while briefing State House Correspondents on the outcome of Wednesday’s cabinet meeting presided over by Vice President Yemi Osinbajo.
Amaechi said the coaches, wagons and locomotives would be available on completion of the rail tracks by December 2018.
He said: “We are aiming to complete construction by December 2018. It is a big risk that I’m taking in insisting that it must be completed by 2018 December. The contract is actually for three years, but we think they should complete it by 2018 December.”
He explained that the contractors complete 1000km per year in China, and said that there was no reason that they should not complete about 180km in one and half years in Nigeria.
He said before the completion of the rail tracks in 2018 there would be coaches, wagons, locomotives and spares to maintain them.
Mr. Amaechi said the cabinet also approved the award of three billion naira contract for the Ikorodu Lighter Terminal in Lagos, South West Nigeria.
He said the contract was for the rehabilitation of the terminal and for the quay wall and the quay apron at the terminal.
The transportation minister said approval was also given for patrol boats to provide security at the ports.
In another development, the Minister of Niger Delta, Usani Uguru Usani, said the council approved the sum of N16billion for completion of the headquarters of the Niger Delta Development Commission, NDDC.
According to him, the rentals for the present occupation have amounted to about N2billion for a period of 12-13 years.
“We find this uneconomical and so it is better and safer to just have the headquarter building completed at once so that the savings from the rentals can accrue to some other services,” he said.
The NNDC headquarters is a twin tower complex, which has one as floor building while the other is 13 floors.
