Lagos Breaks 128-Year Rail Monopoly as NRC Hands Over Permanent Red Line Licence

The Nigerian Railway Corporation, NRC, has officially handed a Permanent Operating Licence to the Lagos State Government, ending 128 years of its exclusive control over Nigeria’s railways.

The licence was issued through the Lagos Metropolitan Area Transport Authority, LAMATA. It allows Lagos to run train services on the shared federal corridor under a Track Sharing Agreement, and also clears the state to operate other rail systems going forward.

Speaking at the handover, NRC Managing Director Dr. Kayode Opeifa called it a “watershed moment” for Nigeria’s rail sector.

“For 128 years, from 1898 till now, the NRC has been the only body building and running railway services in Nigeria, and even into neighbouring countries,” Opeifa said.

“Today we are changing that story. We are not stepping away from our duties, but opening the space for more players in line with global standards for a regulated, multi-operator rail system,” he added.

He described the move as a major step in the NRC-Lagos partnership to modernise trains and ease urban movement. That partnership began in April 2012, when former President Goodluck Jonathan approved the transfer of two federal rail tracks to Lagos for the Red Line project.

The Red Line started carrying passengers on October 15, 2024, after it was inaugurated by President Bola Tinubu.

Before now, NRC had only given Lagos a temporary licence to test the Track Sharing Agreement on the Red Line while it monitored performance.

“Over a year ago, we issued a temporary licence to LAMATA. Today, after a successful assessment, we are presenting the permanent licence,” Opeifa stated.

“This now gives LAMATA full rights and responsibilities to operate on the shared corridor, and also to run other rail systems to international standards.”

Opeifa also noted that NRC trained LAMATA staff for Red Line operations, calling it proof that collaboration works. He praised Lagos for investing heavily in rail, buying rolling stock, and pushing long-term transport planning.

“I thank Lagos State for trusting the NRC and for its consistent commitment to this partnership,” he said.