NRC Opens New Era as Lagos Receives Permanent Rail Operating Licence

The Nigerian Railway Corporation (NRC) has granted the Lagos State Government a permanent operating licence, officially authorising it to operate the Lagos Rail Mass Transit (LRMT) Red Line under the existing Track Sharing Agreement.

The approval makes Lagos the first sub-national government in Nigeria to receive a licence to operate the full complement of passenger and freight rail services.

The licence was presented on Tuesday by the Managing Director of the NRC, Kayode Opeifa, during a ceremony attended by officials of the Lagos State Government and the Lagos Metropolitan Area Transport Authority.

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Speaking at the event, Opeifa described the development as a landmark achievement for Nigeria’s railway sector, saying it signalled a transition from the NRC’s long-standing role as the country’s sole railway operator to a regulated multi-operator system.

He explained that the permanent licence authorises LAMATA to continue operating services on the shared rail corridor under the Track Sharing Agreement while also empowering the Lagos State Government to operate other rail systems in line with international best practices.

Opeifa recalled that in April 2012, former President Goodluck Jonathan approved the transfer of two federal rail tracks to the Lagos State Government for the development of the LRMT Red Line, a decision that laid the foundation for one of Nigeria’s most significant urban rail projects.

He noted that the Red Line commenced passenger operations on October 15, 2024, following its inauguration by President Bola Tinubu, adding that the NRC supported the project through technical collaboration and personnel training.

According to Opeifa, the corporation had earlier issued Lagos State a temporary operating licence pending operational assessments, and the successful completion of those evaluations paved the way for the permanent approval.

He commended the Lagos State Government for its sustained investment in rail infrastructure, rolling stock and public transportation, describing the commitment as evidence of strong political will and long-term planning.

The NRC boss also urged other state governments to invest in rail infrastructure to complement the Federal Government’s efforts to expand the national railway network, noting that improved rail services would reduce road congestion, lower logistics costs, enhance passenger mobility and stimulate economic growth.

In her remarks, the Managing Director of LAMATA, Abimbola Akinajo, described the licence as a major milestone, praising the NRC for guiding Lagos through the rigorous process that culminated in becoming the first state to operate the full complement of rail services in Nigeria.

She said LAMATA had benefited immensely from its collaboration with the NRC and would continue to rely on the corporation’s technical guidance in advancing the Lagos State Government’s intermodal transportation agenda under Governor Babajide Sanwo-Olu’s THEMES PLUS Agenda.

Akinajo disclosed that Lagos State has already procured three additional rolling stock trains in anticipation of the permanent licence. She said the acquisition would increase Red Line operations from the current nine daily services to 24.

She added that when fully operational, the Red Line is expected to transport more than 200,000 passengers daily, further strengthening rail transportation as a key component of Lagos’ urban mobility system.