The Nigerian Railway Corporation (NRC) ranked among the top 10 contributors to Nigeria’s Gross Domestic Product (GDP) in 2025, according to the Managing Director of the Corporation, Dr Kayode Opeifa.
Citing the latest 2025 report by the National Bureau of Statistics (NBS), Opeifa said the NRC emerged as one of the leading revenue-generating federal Ministries, Departments and Agencies (MDAs), making a notable contribution to national economic growth.
Speaking during an interview, the NRC boss identified vandalism, washouts, and inadequate funding as the major challenges confronting the corporation over the past year. He noted that although the Federal Government has consistently provided funding in excess of the corporation’s internally generated revenue, additional financial support remains critical for optimal operations.
Despite these challenges, Opeifa said Nigeria’s rail system remains functional, with both narrow-gauge and standard-gauge lines currently in operation. He disclosed plans for the aggressive recovery and refurbishment of locomotives, wagons, and other rolling stock to further improve operational efficiency.
In a major shift toward cleaner energy, Opeifa revealed that the NRC is preparing to deploy Liquefied Natural Gas (LNG)-powered trains on the Lagos–Ibadan and Warri–Itakpe corridors as gas infrastructure becomes available along the routes.
He said the corporation has successfully completed the LNG concept phase, including a one-month technology demonstration, marking a significant step toward energy transition in the rail sector.
“We have completed the LNG proof of concept and demonstrated it for one month. As soon as gas systems are available along the Lagos–Ibadan and Warri–Itakpe corridors and all regulatory issues are resolved, we will use gas to generate electricity to power the trains,” Opeifa said.
According to him, the adoption of LNG aligns with Nigeria’s gas expansion agenda, offering lower operating costs, improved energy security, and reduced environmental impact.
Beyond energy transition, Opeifa outlined an ambitious plan to expand Nigeria’s rail infrastructure. He disclosed that the NRC is set to unveil a national rail roadmap aimed at expanding the country’s rail network from the current 4,000 kilometres to 10,000 kilometres within the next five years, and to 20,000 kilometres over the next 20 years.
“In the next five years, we hope to double the length of tracks to about 10,000 kilometres. Within another 10 years after that, we aim to reach about 20,000 kilometres nationwide,” he said.
Opeifa stressed that achieving these targets would require significant private-sector participation, noting that government budgets alone cannot fund the scale of investment needed for rail development. He added that the Federal Government is open to concessioning and public-private partnerships, including the provision of sovereign guarantees, in line with global best practices.
Security concerns, he said, have not halted rail operations, commending railway engineers and technical personnel for sustaining services nationwide. However, he called for stronger community ownership of railway assets as a critical deterrent to vandalism.
He lamented persistent vandalism along the Warri–Itakpe corridor, noting that the corporation has had to replace virtually every kilometre of track due to repeated damage.
Looking ahead, Opeifa said the NRC is accelerating digital transformation initiatives and advancing major rail projects, including the completion of the Lagos–Kano line, the Port Harcourt–Maiduguri corridor, and the Ajaokuta–Abuja connection, which will enable seamless rail travel between southern and northern Nigeria.
He added that the corporation is working closely with several state governments, including Lagos, Zamfara, Plateau, Niger, and Ogun States, to maximise the utilisation of rail assets.
Private-sector participation is already gaining traction, Opeifa noted, revealing that about 28 logistics companies, including CCECC Nigeria Limited, have been licensed to operate on NRC tracks, particularly for cargo movement from Apapa Port to destinations such as Oyingbo, Papalanto, Kajola, Omi Adio, Moniya, and Osogbo.
“If you have the resources to bring in locomotives and rolling stock, we will give you access to our tracks at no extra charge. Once the tracks are in use, the economy benefits,” he said.
Reflecting on his first year in office, Opeifa described the NRC he inherited as a system in “intensive care,” noting that improved labour relations and operational reforms have helped stabilise the corporation.
According to him, renewed investor confidence is evident, with several new licences already issued in recent weeks—a development he described as a strong vote of confidence in Nigeria’s evolving rail future.
