Passengers fetch 226.44% more revenue in 2021
By Jeph Ajobaju, Chief Copy Editor
Passengers alone fetched N5.7 billion revenue for the Nigerian Railway Corporation (NRC) in 2021, says the National Bureau of Statistics (NBS) in its latest Transportation Data.
The sum is 226.44 per cent above N1.75 billion generated in 2020.
Rail passenger traffic was 2.7 million in 2021, some 166.03 per cent versus one million in 2020.
Other metrics
A total 168,301 metric tonnes (mt) of goods were transported in 2021 or 92.48 per cent against 87,440 mt in 2020.
Revenue from goods totalled N317.57 million in 2021, greater by 12.87 per cent compared with N281.35 million in 2020.
“Other income receipts in 2021 stood at N66.80 million, higher than the N5.19 million recorded in the preceding year,” the NBS said, per The Nation.
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Abuja eyes N2.2b yearly from Lagos-Ibadan rail
The Lagos-Ibadan rail line alone is expected to generate N2.2 billion for the treasury yearly, but much of the revenue will be used to service loans obtained to build it.
The track was built with loans from China, which supplied the trains, constructed the track, and has the contract for the maintenance of the entire project.
When the line was launched in June 2021, two trains ran on the route. Each did a return trip, making four trips daily, according to data The PUNCH obtained from the NRC at the time.
The first train has one first class coach, two business class coaches, and five standard class coaches. It took off from Ibadan to Lagos and returned to Ibadan the same day.
The second train has three business classes and five standard classes. It took off from Lagos to Ibadan and returned to Lagos the same day.
- First class has 24 seats which cost N6,000 each. At full capacity, a return trip fetches N288,000 per day.
- One compartment in the business class has 56 seats, each priced at N5,000. If filled up per journey, a return trip yields N560,000.
- The second compartment has 68 seats costing N3,500 each. At full capacity, a return trip brings in N467,000.
- Each of the five standard class coaches takes 88 passengers who pay N2,500 each. That generates N2,200,000 daily on return trip.
- Overall, the first train is projected to make N3,515,000 per day.
The second train with three business classes and five standard classes is expected to generate N3,712,000 daily if filled to capacity.
Both trains would fetch N7,227,000 per day operating at full capacity on return trips.
The trains initially operated six days but the NRC said they would later include Sunday service.
Based on six-day operations, the two trains running at full capacity would generate
- N7,227,000 per day
- N43,362,000 per week
- N2,254,824,000 per year