Petroleum haulage uncertain as N1.2bn tank wagons rot in railway yard
When will the Nigerian Railway Corporation (NRC) commence petroleum haulage by rail? This is a poser that has continued to reverberate in the railway sector as the nation returns to the old method of massive cargo haulage following the revival of the railway system.
The railway network which was optimally put to use in the 70s and 80s was in comatose for almost a decade before it was recently revived. The resuscitation of the railway has translated into the ongoing railway modernization with the commencement of the standard gauge service.
Experts say the reinvigorated train revolution would be impactful with massive cargo haulage by rail which would lead to decongestion of the nation’s highways dotted and battered by articulated vehicles.
Though the Nigeria Railway Corporation (NRC) has resuscitated cargo freight operations, the movement of petroleum products which has been in the front burner in the past two years has been trailed by uncertainty.
In 2015, petroleum marketers in the country expressed intent in returning to the old method of moving petroleum products by rail which is adjudged the most effective, safest and cost saving means. Prior to that, the NRC had taken delivery of 40 pressurized tank wagons. The first 20 were delivered in February 2012 at a cost of N600m according to the then Minister of Transportation, Senator Idris Umar while the second batch of another 20 tank wagons were delivered the following year.
Each of the tank wagons has capacity to lift 45,000 litres of petroleum, implying that a train trip from the Apapa Port could lift as much as 1.8m litres of petroleum product. This would translate to taking about 55 trailers off the roads.
As far-reaching as this initiative is, it still remains a dream waiting to become a reality. How soon is this going to be achieved as the tank wagons rot away in the NRC yard at Ebute Metta Junction in Lagos? Our correspondent observed the tank wagons being taken over by weeds as a result of persistent rainfall in Lagos. There is no assurance yet on when the tank wagons which cost N1.2bn of taxpayers’ money would be put to use.
It was learnt that the inability of especially the NRC and major marketers to kick start the project is traceable to issue of trust and faith in the project. For instance, there are issues with the rail tracks in Apapa. Only Mobil and Oando can be accessed by tracks, requiring the NRC to lay tracks to connect other tank farms in Apapa Port.
“Unless these tracks are laid to other tank farms, the project may not commence in earnest”, said a close source.
It is on the condition of the tracks that the major marketers are saying that the NRC is not ready for the project. The Executive Secretary of Major Oil Marketers Association of Nigeria (MOMAN), Mr. Femi Olawore, told Daily Trust that the association was still committed to the project despite the NRC’s seeming unpreparedness.
He said, “I think the Nigerian Railway Corporation is not yet ready. We are having meetings with them, we are talking to their consultants and also the Petroleum Equalisation Fund (PEF). As soon as we agree on some minor issues, we will take off. Everybody knows that it is the easiest, the cOhkehaipreiast and the fastest means of moving products after pipelines. We fully endorse that move but we need to sort out everything before we jump into it.”
He however refused to disclose the issues stalling the project’s commencement.
But he added, “The issues are between us. They are not very serious issues. The serious ones have been dealt with.”
He reiterated that moving petroleum products is the best and most effective.
“There would be faster movement of the products. Any time you have products shortage somewhere, instead of trucks taking three, four days to go, rails can take within 24 hours. There is nothing that would stop the rail. Secondly, once we do that, the roads would have a longer life span. The third one is that the risk on it is cheaper and you can move larger volumes at a go instead