By Ismail Aniemu & Maria Yusuf
With a rich transportation background, Kayode Opeifa assumes office as Managing Director of Nigerian Railway Corporation, raising Hope for effective multimodal cargo movement within the country
The new Managing Director of Nigerian Railway Corporation, Dr. Kayode Opeifa has pledged total commitment to rail efficiency, workers welfare,deepening national rail system to connect all states of the federation and lifting the fortunes of workers of one of Nigeria’s oldest enterprise
Speaking on his first day at work,Opeifa said his focus would be “efficiency, safety and customer satisfaction, that is driven by passion and excellence.”
Nigeria’s attempt to haul containerised cargoes from the Lagos ports to Kaduna, a very laudable and cost effective scheme was short lived as it’s been suspended for over 5 years, except for a short movement from Lagos to Ibadan
This critical area is expected to receive urgent attention for a permanent solution as haulage costs have been built into the rising inflation that characterised the prices of imported items into the country.
With its multiple economy of scale advantages, JournalNG findings indicate an average of ₦600,000 as cost of moving 40 footer container from Lagos to Kano by rail and as much as 60 containers could be hauled at a go.
Comparatively, same 40 footer container presently requires an average of ₦2,400,000 to move from Lagos to Kano with attendant risks of multiple delays, extortion by some security agencies, bad roads and other inhibiting factors.
The new NRC MD is expected to revisit the memorandum of understanding signed by his predecessor with the Nigerian Shippers Council in August 2024 to achieve seamless movement of cargoes.
At the MoU signing ceremony,the Executive Secretary of the Nigerian Shippers Council, Barr Pius Ukeyima Akutah said that in line with their statutory mandates, the Council and NRC, are desirous of collaborating with the aim of ensuring and facilitating the efficient carriage of cargoes from the seaports to the Inland Dry Ports (IDPs).
He said “The Counal’s initative through closed Inter Agency collaboration, particularly with the Nigenan Ravway Corporation (NRC) is with a view to ensuning:
“Enhanced intermodal connections and connectivity, Fast-track delivery of cargoes to and from Inland Dry Ports (IDPs) in Nigeria, Cheaper and cost-effective means of transportation of goods to the hinterland and specifically, the IDPs located at the hinterlands; Facilitation of the development of critical transport infrastructure in the hinterland of Nigeria, and more.
“We should note that Rail Transportation is efficent, economical, and safe, especially for long distances and carriage of large volumes of goods.It can also reduce greenhouse gas emissions and energy consumption compared with road transportatbon” he said
Opeifa on assumption has pledged deepening national rail system to connect all states of the federation and lifting the fortunes of workers of NRC by paying attention to pending labour matters
Opeifa who spoke at the reception organised for him at the Boardroom of the NRC headquarters, Ebute Meta, said his focus would be “efficiency, safety and customer satisfaction, that is driven by passion and excellence.”
He said: “I am reminded of the critical role the Nigerian Railway Corporation plays in driving economic growth, promoting national integration, and improving the lives of Nigerians. We will, together, work tirelessly to ensure that the corporation achieved its mandate and exceed expectations.”
He said him, the NRC, working through the Ministry of Transportation will prioritize the security of lives and properties, modernise and expand rail infrastructure and introduce new technologies to improve efficiency and safety, and increase rail connectivity.
Other areas of focus of the corporation under his leadership would be improving customer experience, capacity building, deepened relationship, and accelerated project completion. He will also, look towards enhancing private sector participation that would see to boosting railway contribution to the GDP, which he hoped to push to about 6 per cent from the about 3 percent year-on-year.
He urged the two workers unions- the National Union of Railway Workers (NUR) and Senior Staff Association (SESAR) to shelve their proposed protest not only because of his strong commitment as a human rights activist, but also because of his commitment to union relations, but because he is poised to prioritize staff welfare and better living and working condition.
“We will work together to ensure the smooth inter and multimodality of the mobility systems in Nigeria as the rail sector is set to take the centre stage in the mobility sector of the country,” he further stated.
Working with several other agencies of the Federal Government, the Corporation would open up several of its many workshops and training centers for the purpose of job creation and skill acquisition, thereby relieving the government of the worrying rate of unemployment in the country.
In the face of rising costs, extortion, and operational difficulties, logistics experts and Chairman of the Association of Maritime Truck Owners (AMATO) Chief Remi Ogungbemi in an interview with JournalNG has called for a shift to railway transportation as a more economical alternative to moving goods across Nigeria.
According to him, the cost of transporting a 40-foot container from Lagos to Kano by road has become increasingly unpredictable, with truckers citing skyrocketing diesel (AGO) prices, high spare part costs, and rampant extortion as major challenges. He explained that spare parts that was previously sold for ₦100,000 now go for ₦500,000, while maintenance costs have also risen dramatically.
Chief Ogungbemi explained that beyond operational expenses, truckers face incessant harassment including non-state groups, law enforcement, and roadside extortionists while the police often look the other way.
He stated that railway can be used as an alternative with road transport costs escalating, as he argued that revamping and expanding the railway system could provide relief.He said rail transport, by comparison, is less expensive, more secure, and not subject to the same level of extortion as road transport.
The AMATO Chairman emphasised that moving containers by rail also reduces the risk of damage and delay caused by bad roads and multiple illegal checkpoints.
Additionally, he affirmed that railway transport requires less fuel consumption, significantly cutting down logistics costs.
He stressed that If Nigeria fully utilizes its railways, businesses can save millions of naira annually in transportation costs and it will reduce congestion and wear and tear on our roads .
Remi Ogungbemi highlighted the need to change our orientation and mindset as a people . He emphasized on the need to start producing our own trucks and spare parts, and investing in our rail infrastructure because that is the only way we can reduce the cost of transportation and make our economy more competitive.
“Things are getting more expensive and I must say that it is difficult for truckers to operate even this time around, especially with the rate of extortions here and there. There are so many extortion bandits within the country, not only in Lagos. It is just that it is more pronounced in Lagos and the government is not doing anything about it. It is making our work difficult. We are just working to see how to eat. When last did you see a new truck on the road? Nobody can afford to buy it. It is even difficult to maintain the one we are using.
” Prices are skyrocketing everyday.Spare parts and AGO are very expensive.We never expected things to be like this. We need a very serious re-orientation that will change the mindset and mentality of Nigeria. We capitalize on any situation to inflate cost and price of commodities.The spare parts we were buying for about N100,000 before, is now N500,000 and it is giving me concern.
” I think corruption is synonymous to we Nigerians and it is happening because no one can depend on salary. I don’t think the solution is in sight. We can only see how to reduce it. You can imagine a truck will break down and about 15 to 20 people will surround it.We sometimes see police bypassing them and the driver will be a struggling because he cannot overpower them.
“If a truck breaks down, you will see people bombarding the driver. If it is a tyre that goes flat, they will not allow him to change the tyre. They will seize the truck, seize the goods, the wheel spanner,want to carry the tyre, roll it away, and request for like 50,000 or more before the tyre can be repaired. Even if a vehicle breaks down, do you know that Lagos State Traffic Management Authority (LASTMA) pay all those boys before they can even tow vehicles.We are seeing all these things and we want improvement. How can prices be stable, how can the vehicle be standard? Because, the money that is supposed to be used to maintain these trucks that are being collected and is taken away directly or indirectly.
“Some government officials are not left out in all these things and we are all seeing it.It has become unbearable. You see some people carrying sticks, standing on the road and collecting money.Let’s see how we can start doing things in the right way in this country. If a vehicle breaks down, you will see government officials coming directly to it and slamming outrageous bill. They are now making it an offence for vehicles to break down.Is it an offence? Human beings break down how, much more mechanism put together as truck to function. They now see breakdown of truck as an opportunity to enrich themselves.It is now hard for someone to save N10,000 or N20,000 from a trip? There are so many state actors, non-state actors, always, everywhere, waiting to collect the money from them and who do we report to? I don’t think there is any solution yet, except there is a serious and vigorous re-orientation campaign because everybody needs money.
“Salary is no longer enough. How much are they paying? How much is salary? N70,000 or N80,000? How much is a bag of rice? Before you pay your children’s school fees, if you don’t have a building, you’ll pay house rent. Tell me, what such salary can be done with.That’s why you see corruption everywhere. Let’s see how we can do something that will bring relief to the masses.Without this relief, this thing will continue. It is unfortunate that most of these blames are been laid at the doorsteps of the less privileged like truckers.
By now, we ought to have been producing most of these trucks and spare parts, even tyres. You can imagine, going to the market now, how much are they selling tyres and other spare parts. We need a re-orientation that changes the mindset and mentality of the people of Nigeria”
