$5.3bn Chinese loan delaying Ibadan-Kano rail project – Amaechi

Minister of Transportation, Rotimi Amaechi, has said construction work will start the Ibadan-Kano rail as soon as the Chinese government approves the sum of $5.3bn loan application for the project.

He stated this as a guest of the Nigerian Television Authority, NTA, Weekend Deal Programme.

The minister also said the FG would expedite action on cargo movement by rail to avert the frequent road accidents occasioned by fuel tanker and dry cargoes on the road.

He said, “We are waiting for the Chinese government and bank to approve the $5.3bn to construct the Ibadan-Kano. What was approved a year ago was the contract.

“The moment I announced that the Federal Government had awarded a contract of $5.3bn to the China Civil Engineering Construction Corporation to construct Ibadan-Kano, they assumed the money had come in; no; up till now, we have not got the money a year after we have applied for the loan; we have almost finished the one of Lagos-Ibadan. If we don’t get the loan now, we can’t commence.”

The minister added that upon completion, the Ibadan-Kano rail would link the Kaduna-Kano-Abuja-Minna-Ilorin-Oshogbo-Ibadan where cargoes could be moved to Kano from Lagos.

On the issue of wet cargoes on the road resulting in vehicular accidents, Amaechi said henceforth, cargoes would be conveyed from Lagos to Ibadan only.

He stated that when the Ibadan to Kano rail project is completed, wet and dry cargoes would be transported from Lagos to Kano.

“Nigeria should be more patient with the Ministry of Transportation over the issue of wet cargoes. Currently, we are trying to construct the railway into the seaports to enable us to transport either wet or dry cargoes to various destinations. The only wet cargoes that can go now will be between Lagos and Ibadan.

“The moment we conclude that we will be able to move wet cargoes all the way to Kano from Lagos. We should also commence the construction of Port Harcourt to Maiduguri and be able to move cargoes from Bonny to Maiduguri,” he said.

On the funding of various rail projects across the country, Amaechi said the Ministry of Finance is in charge of funding and not the Ministry of Transportation, adding however that the ministry had a Presidential seal of approval to seek loans to fund rail projects for the benefit of Nigeria and Nigerians.