Dr Kayode Opeifa, the Managing Director of the Nigerian Railway Corporation (NRC), says the corporation is undergoing major reforms aimed at reducing transportation costs and enhancing logistics efficiency across the country.
Dr Opeifa, while at an interview session with journalists in Lagos, announced that trains in Nigeria would soon begin running on compressed natural gas (CNG) engines, replacing the current diesel-powered systems.
He said the transition follows a recently signed Memorandum of Understanding (MoU) between the NRC and the Presidential Initiative on Compressed Natural Gas.
According to Dr Opeifa, the conversion from diesel to CNG is intended to cut operational costs and improve service delivery.
“This partnership will significantly reduce our diesel dependence and increase efficiency in our rail operations,” he said.
He acknowledged the rising cost of diesel as a major burden on the corporation, citing its use in powering locomotives, stations, and other critical facilities. The shift to CNG, he noted, is part of a broader strategy to modernize the rail system and make it more sustainable.
As part of the initiative, the NRC’s Training School will begin offering programs to train young Nigerians in emerging rail technologies, including CNG engine conversion. The transition is also expected to facilitate the nationwide deployment of CNG stations and infrastructure to support the new system.
Dr. Opeifa highlighted ongoing reforms within the railway sector, noting that more Nigerians are embracing train travel as a reliable means of transportation. He expressed optimism that train services will reach most parts of the country within the next four years.
However, he also pointed to challenges affecting the sector, particularly weather-induced washouts and persistent vandalism, which he described as setbacks to the NRC’s progress.
Despite the obstacles, he said, the railway’s contribution to the nation’s Gross Domestic Product (GDP) was becoming increasingly evident, especially through the reduction in transport costs and its impact on lowering the prices of goods.
“The transport sector currently contributes about 6% to Nigeria’s GDP. It remains a key driver of national development and poverty alleviation through improved logistics and affordable transportation,” he stressed.
Dr Opeifa reiterated the federal government’s commitment to revitalizing the rail system to serve both economic and social integration needs across Nigeria.
SOURCE: Radio Nigeria (FRCN).