Daily Champion (Lagos)

Nigeria: Federal Government Signs N7.6 Billion Contract for Ajaokuta - Warri Rail Line

Lagos — THE Federal Government on Thursday in Abuja signed a N7.6 billion contract with Julius Berger Nigeria Plc for the completion of the Ajaokuta-Warri rail line.

Minister of Transport, Alhaji Isa Bio, who signed on behalf of government, said the contract was for the completion of the remaining 22 km rail line, and would include the "sidings" of the Aladja Delta Steel, Warri.

He said the contract would also include the construction of buildings and other structures at six stations as well as the rehabilitation of the initial 254 km rail line.

Bio said the completion of the Itakpe-Ajakuta-Warri rail line would provide the backbone upon which the East-West lines would be built to enhance an integrated rail and road network that would ensure a seamless transportation system in the country.

He said the project would facilitate the transportation of passengers and cargoes along the designated corridor as well as create a sustainable channel for the supply of materials and evacuation of finished products at Ajaokuta/Aladja Steel Plants.

Bio also said when completed, the project would create job opportunities for Nigerians as well as open the highways for free flow of freight and passenger traffic to the Federal Capital.

He said the contract was a key element of government's 7-Point Agenda on infrastructural development to stimulate economic growth, increase employment generation and improve rapid socio-political integration of the South-South region with other parts of the country.

Sen. Garba Lado, Chairman, Senate Committee on Land and Transport, noted with regret that several failed attempts had been made in the past to restore the loss glory of the Nigerian Railway.

"A lot of resources had been spent without much result, because adequate attention was not given to the sector," he added.

Lado warned both the contractor and consultants against sharp practices and shoddy execution of the project.

Dr. Haliru Mohammed, Chairman, Nigerian Railway Corporation, stressed the importance of the rail system to the nation's economy, especially in the area of transporting heavy steel products from Ajaokuta to Warri.

He noted that before the latest presidential intervention, informed by the project's immense benefits to the nation's economy, the lack of budgetary provision had in the past hindered its early completion.

Mr. Wolfgang Goetsch, the Managing Director of Julius Berger Nigeria Plc, who signed on behalf of the firm, appealed to the communities that would be affected by the rail line, to see the project as part of national development.

"We are very optimistic that no disturbance will occur and the people will take advantage of the project for business opportunities as soon as it is completed," he said.


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