How FG Dumped N16 Trillion Railway Projects for N2.6 Trillion Lagos-Calabar Coastal Road

The Federal Government’s recent approval of the N2.6 trillion Lagos-Calabar Coastal road project has raised concerns that it could lead to the abandonment of nearly N16 trillion worth of railway projects. These railway projects were part of a 25-year plan, initiated during the tenure of former President Olusegun Obasanjo, which is set to expire in 2025.

The railway projects in question include the Ibadan-Kano Standard Gauge Railway ($5.3 billion), the $11.17 billion Lagos-Calabar Coastal railway project, the $3.02 billion rehabilitation project for the Eastern Line (Port Harcourt-Maiduguri), and the $1.9 billion Kano-Maradi Railway project. These projects have faced delays due to a lack of funding, leading many stakeholders to question the government’s decision to invest heavily in a coastal road project instead of completing existing railway infrastructure.

A source from the Nigerian Railway Corporation (NRC) expressed concern about the government’s shifting focus. “Before now, what we keep hearing is that there is no funds, but suddenly there is a whole N2.6 trillion for a road that links Lagos to Calabar. It is shocking,” said the source. This shift in priorities has raised questions about the government’s commitment to railway development, which is often seen as a key driver of economic growth.

The incomplete railway infrastructure has led to logistical challenges and increased costs for cargo transportation. Currently, cargo from Apapa Port in Lagos can only travel by rail as far as Ibadan, necessitating the use of trucks for further transportation, which increases costs and security risks.

Meanwhile, the announcement of the Lagos-Calabar Coastal road project has caused concern among property owners facing demolition due to the project’s Right-of-Way. Some affected owners are considering legal action, while others are demanding fair compensation. Mr. Adewunmi Olusola, a developer and estate surveyor, criticized the planned demolition of his N100 million housing development in the Lekki-Epe axis. He urged the government to provide fair compensation before proceeding with the project.

In response to these concerns, the Minister of Works, David Umahi, announced that compensation payments would begin from Wednesday and Thursday. He stressed the importance of compensating property owners before demolition and stated that the government’s aim was to ensure a smooth transition without causing unnecessary hardship.

Despite these assurances, the future of the stalled railway projects remains uncertain. The delay in completing key railway projects could have long-term implications for Nigeria’s economic growth and transportation infrastructure. The government’s apparent shift from railway to road development has left stakeholders questioning the overall strategy for national infrastructure development and whether the emphasis on roads is the best course of action for the country’s future.