The Ministry of Transport has signed a Memorandum of Understanding with Messrs MPH Rail Development Limited, a company from the United Kingdom, to carry out the Port Harcourt–Enugu–Calabar–Abuja Standard Gauge Rail Line project using a partnership between the public and private sectors.
This was announced in a statement found on the ministry's website on Friday.
In the MoU, the UK firm will oversee the design, construction, commissioning, operation, and eventual transfer of the Port Harcourt–Enugu–Calabar–Abuja Standard Gauge Rail Line.
According to the ministry, the signing of the MoU followed the approval of the Outline Business Case and the issuance of a compliance certificate by the Infrastructure, Concession, and Regulatory Commission.
This approval allows Messrs MPH Rail Development Limited to focus on gathering the necessary documentation for Federal Executive Council approval to move the project forward.
The MoU signing ceremony between the minister and the management of Messrs MPH Rail Development Limited was attended by the Permanent Secretary of the Ministry of Transportation, Olufemi Oloruntola, along with the Director of Rail Development, Zirra Fimbarr; and the Director of Legal Services, Pius Oteh.
The Minister of Transportation, Senator Said Alkali, assured all of the ministry’s support for the successful implementation of the project.
He stressed the importance of thorough preparation and submission of all necessary documents to expedite FEC’s approval.
The statement mentioned, “As part of the initiative to consolidate the ongoing railway modernisation projects consistent with the Renewed Hope Agenda of Presidential Bola Ahmed Tinubu’s administration, the Minister of Transportation, Senator Said Ahmed Alkali, has executed a Memorandum of Understanding on behalf of the Federal Ministry of Transportation with Messrs MPH Rail Development (UK) Limited to enable the company to carry out the design, construction, commissioning, operation and transfer of the Port Harcourt–Enugu–Calabar–Abuja Standard Gauge Rail Line on Public – Private Partnership basis.”
The ministry mentioned that essential documents needed for the project’s progress include a thorough feasibility study report, a complete Business Case Study, an Environmental and Social Impact Assessment, the creation of a Resettlement Action Plan, and the development of a Financial Model to facilitate project implementation.
This guarantees that the project will be handed over to the federal government under a PPP arrangement without taking loans or creating debts for the Nigerian government or its agencies.
