The Minister of Transportation, Saidu Alkali, acting on behalf of the Ministry, executed a Memorandum of Understanding (MoU) with Messrs MPH Rail Development (UK) Limited for the Port Harcourt–Enugu–Calabar–Abuja Standard Gauge Rail Line on a public-private partnership basis.
This development was communicated in a statement by Olujimi Oyetomi, the Ministry’s Director of Press and Public Relations, as published on the Ministry’s website.
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The MoU enables Messrs MPH Rail Development (UK) Limited to carry out the design, construction, commissioning, operation, and transfer of the Port Harcourt–Enugu–Calabar–Abuja Standard Gauge Rail Line.
- “As part of the initiative to consolidate the ongoing railway modernization 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 (MoU) on behalf of the Federal Ministry of Transportation with Messrs MPH Rail Development (UK) Limited to enable the Company carry out the design, construction, commissioning, operation and transfer of the PortHarcourt–Enugu–Calabar–Abuja Standard Gauge Rail Line on Public – Private Partnership basis,” the statement read in part.
The signing of the MoU between the Minister and the management of Messrs MPH Rail Development (UK) Limited took place in the presence of the Permanent Secretary of the Ministry of Transportation, Olufemi Oloruntola, the Director of Rail Development, Engr. Zirra Fimbarr, and the Director of Legal Services, Pius Oteh.
More insights
- The statement also revealed that the MoU was executed following the approval of the Outline Business Case and the issuance of a compliance certificate by the Infrastructure, Concession, and Regulatory Commission (ICRC).
- This clearance allows Messrs MPH Rail Development (UK) Limited to focus on assembling the necessary documents for Federal Executive Council (FEC) approval to proceed with the project.
- Essential documents for advancing this initiative include a comprehensive feasibility study report, a full Business Case Study, an Environmental and Social Impact Assessment, the production of a Resettlement Action Plan, and the design of a Financial Model to implement the project, ensuring transfer to the Federal Government under a PPP arrangement without incurring loans or debts for the Nigerian government or its agencies.
- At the MoU signing ceremony, Alkali pledged the Ministry’s support for the successful implementation of the project and emphasized the importance of diligent preparation and submission of all requisite documents to expedite FEC’s approval.
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