By Folarin Kehinde
The Nigerian Railway Corporation has said it is operating at a loss and has resorted to borrowing to sustain train services across the country due to the high cost of diesel.
This was disclosed by the managing director of the NRC, Dr Kayode Opeifa, during the second town hall meeting with railway workers and labour unions at the corporation’s headquarters in Ebute Metta, Lagos.
According to a statement issued on Friday by the Chief Public Relations Officer of the NRC, Callistus Unyimadu, Opeifa said the rising cost of diesel had become a major challenge to the corporation’s operations.
“The fact is that the cost of diesel alone has almost made it impossible to operate our trains. We are running at a loss, and we had to resort to borrowings to keep our operations,” Opeifa said.
Despite the financial difficulties, the NRC boss assured workers that management would continue to prioritise their welfare and improve the work environment.
He commended railway workers for their dedication and resilience, noting that their efforts had kept the corporation running despite operational and financial challenges.
“Let me assure you that the corporation will continue to prioritise your welfare. Without any doubt, your efforts have kept the corporation going,” he told the workers.
Opeifa, however, said improvements in workers’ welfare would depend on an improvement in the corporation’s financial position and revenue generation.
The managing director also pledged continued engagement with the corporation’s labour unions, assuring that disputes would be resolved through dialogue rather than strike actions.
According to the statement, Opeifa directed the Human Resources Department to immediately address issues affecting workforce efficiency and staff productivity.
On the issue of staff quarters and monetisation, he explained that the federal government had exempted the corporation from the policy because of the strategic importance of railway accommodation for essential operational staff.
“Though the unions won the monetisation case at the High Court, we have filed an appeal, and the intention is to canvass the reason for the provision of the rest houses. We shall continue to engage with all stakeholders regarding this matter in the overall interest of what is best for the corporation. However, as law-abiding citizens, we shall enforce the judgment of the court,” he said.
The NRC boss also disclosed that work would soon commence on a proposed high-speed rail project linking Lagos and Abuja, adding that the development would require additional operational facilities and accommodation for critical staff.
He further announced plans to rehabilitate the Corporate Planning Building as well as the Accounts/Audit and Mechanical buildings within the corporation’s headquarters.
Opeifa also revealed plans for the construction of a new national headquarters for the NRC along Murtala Muhammed Way in Ebute Metta, Lagos.
Earlier, President of the Nigerian Union of Railway Workers, Innocent Ajiji, and his counterpart in the Senior Staff Workers Union, Marcel Okeke, commended the managing director for ongoing reforms in the corporation and urged the federal government to expedite payment of the 95 per cent enhancement benefit owed railway workers.
The meeting featured the presentation of certificates of excellence and cash awards to 13 workers drawn from different operational divisions and directorates in recognition of their outstanding contributions to the corporation in 2025.
