By Daniel Oluwatobiloba Popoola
The Nigerian Railway Corporation (NRC) has formally handed the Lagos State Government a Permanent Operating Licence for the Lagos Rail Mass Transit (LRMT) Red Line, marking the end of its 128-year monopoly as Nigeria’s sole rail operator.
The licence was presented by the NRC Managing Director, Kayode Opeifa, to the Lagos Metropolitan Area Transport Authority (LAMATA) during the signing and presentation ceremony on Tuesday, 30 June, 2026.
He said the approval followed a successful operational assessment and empowers Lagos State to operate services on the shared rail corridor under the existing Track Sharing Agreement in line with international best practices.
Describing the development as a watershed in Nigeria’s railway history, Opeifa said the Corporation was embracing a regulated multi-operator rail system rather than relinquishing its statutory responsibilities.
“For 128 years, since 1898, the Nigerian Railway Corporation has remained the sole developer and operator of railway services across Nigeria and, until recently, beyond our borders through rail connections with neighbouring countries,” he said.
“Today, we formally change that narrative not by abdicating our statutory roles and responsibilities, but by expanding our horizons and embracing the global best practice of encouraging multiple operators within a regulated rail system.”
He said the licence represented another milestone in the enduring partnership between the NRC and the Lagos State Government, both of which remain committed to modernising rail transportation and improving urban mobility.
Opeifa recalled that the project took off in April 2012 after former President Goodluck Ebele Jonathan approved the transfer of two Federal Government rail tracks to Lagos State for the development of the Red Line.
He noted that passenger operations on the Red Line began on October 15, 2024, following its inauguration by President Bola Ahmed Tinubu, with services initially running during morning and evening peak periods.
According to him, the collaboration between both institutions extended beyond infrastructure sharing to manpower development, with the NRC training operational personnel for the Red Line.
He added that Lagos State had operated under a temporary licence issued more than a year ago to facilitate the implementation of the Track Sharing Agreement pending the completion of operational assessments.
“Today, we take another important step in strengthening that partnership by presenting a Permanent Operating Licence to the Lagos State Government through LAMATA,” he said.
“This licence formally grants LAMATA access to operate services on the shared corridor in accordance with the Track Sharing Agreement, while conferring the rights and obligations contained therein. Besides, it confers on the Lagos State Government the power to operate other rail systems in accordance with international best practices.”
Opeifa said the issuance of the permanent licence reflected the mutual trust, cooperation and shared vision that have sustained the partnership between both institutions.
He commended the Lagos State Government for its sustained investment in rail transportation, particularly the acquisition of rolling stock to meet the mobility needs of residents.
“I also commend the Government for its remarkable investment in public transportation, particularly in the rail subsector, including the acquisition of adequate rolling stock to meet the growing mobility needs of Lagosians,” he said.
The NRC boss maintained that rail remained the backbone of mass transit in major cities worldwide, stressing that sustained investment in railway infrastructure was critical to providing safe, reliable, environmentally sustainable and high-capacity transportation while easing pressure on the nation’s roads.
He urged other states to invest in rail infrastructure to complement the Federal Government’s efforts to strengthen Nigeria’s railway network.
“I have consistently advocated that states across the Federation should invest in rail infrastructure and services to complement the Federal Government’s efforts to strengthen Nigeria’s railway network,” he said.
According to him, expanding rail services nationwide would reduce traffic congestion, lower logistics costs, improve passenger mobility, stimulate economic activities and accelerate national growth.
Reaffirming the Corporation’s commitment to strategic partnerships, Opeifa pledged continued collaboration to build an integrated, efficient, safe and sustainable railway system.
“Together, we will continue to build an integrated, efficient, safe and sustainable railway system that serves the aspirations of all Nigerians,” he said.
He also commended the assessment team whose professional evaluations paved the way for the approval.
“I wish to appreciate all the assessment officials whose professionalism, diligence and rigorous operational evaluations made today’s issuance of this Permanent Operating Licence possible,” he said.
“Your efforts and commitment to ensuring that the LRMT Red Line, with which the NRC co-share tracks, meets the required operational standards, are deeply appreciated and duly acknowledged.”
Opeifa thereafter formally presented the Permanent Operating Licence to the Lagos State Government on behalf of the Nigerian Railway Corporation.
