By Idu Jude
In no distance time, the Federal Government of Nigeria may Privatise the operations of the Nigerian Railway. This approach is however not alien to Nigerians as this has been seen as the only possible way to sustain the operations of the system.
Recall that the operations were officially unbundled by Olusegun Obasanjo’s administration due to huge debts owed by the cooperation which rendered incapacitated.
To this effect, the Managing Director of Nigerian Railway Corporation (NRC) Engr. Fidet Okhiria has hinted of the unbundling of the Corporation to enhance efficiency through private sector participation in railway operations.
Okhiria, who spoke on the issue on Monday said the unbundling would pave the way for the decentralization of the operations of the railway, which would encourage other players to participate while the Federal Government provides the critical infrastructure for the smooth operations of the transportation mode.
He said a presidential committee headed by the Minister of State for Transportation, Senator Gbemisola Saraki, has been constituted to facilitate the unbundling process.
According to him, the committee’s terms of reference include studying and making recommendations for the success of the exercise.
He further explained the NRC as presently constituted would be unbundled into four major companies which are: Operations, Infrastructure Management, Regulation, and Marketing.
He said the number of components/companies expected to emerge from the unbundling would depend largely in the recommendations of the committee.
Okhiria, who is a member of the committee, said the unbundling would create a level playing ground for all players from any part of the country, to key into the sub-sector of transportation and providing service according to their competencies and scope of operations.
He said: “We are still meeting. The committee among others will recommend what it thinks best suits our terrain. It could be two companies; it could be three companies; it could be the same one company, depending on what the committee decides or thinks is appropriate for the efficiency of the nation’s railway system.
“We want to encourage the private sector to come in. As the railway is present, it is difficult for the private operators to come in, but if we unbundle, private people can bring their rolling stock to come and operate on the tracks provided by the Federal Government as part of our national heritage,” he said.
FG 90% ready to unbundle NIPOST — Minister
Reacting to a trending video showing passengers standing inside coaches on the newly inaugurated Lagos-Ibadan train service, Okhiria said the development has not been brought to his notice, however, attributed such to be as a result of oversubscription or patronage by Nigerians for the service.
The NRC Chief assured that the corporation would soon deploy more coaches and increase the number of train movements on the corridor to prevent such developments.
