MOFI, Lagos Govt., CHEC sign MoU on 68km Green Rail Line

Ministry of Finance Incorporated (MOFI), Lagos State Government, and China Harbour Engineering Company (CHEC) have signed a Memorandum of Understanding (MoU) for the Green Line Rail Project in Lagos.

The MoU, witnessed by Minister of Finance and Coordinating Minister of the Economy, Mr. Olawale Edun ; Chief Executive Officer, Ministry of Finance Incorporated (MOFI), Mr. Armstrong Takang;  Lagos State Governor, Mr. Babajide Sanwo-Olu; Special Adviser to the Governor on Infrastructure, Engr. Olufemi Daramola; Managing Director of Lagos Metropolitan Area Transport Authority (LAMATA), Engr. Abimbola Akinajo, and top officials of the Federal Government and China Harbour Engineering Company (CHEC), was signed during the ongoing Forum on China-Africa Cooperation (FOCAC) in Beijing, China.

The MOFI and China Harbour Engineering Company will source the funding to design, finance, operate and maintain the project.

The Green Line Rail Project, when completed, will be an addition to the Blue and Red Line rails already in operation in Lagos State, commuting thousands of residents on a daily basis.

Chief Executive Officer, MOFI, Mr. Armstrong Takang in a statement announced that the Ministry has formally entered into a Tripartite MOU agreement with Lagos State Government, represented by the Lagos Metropolitan Area Transport Authority (LAMATA), and the CHEC to explore the development, financing, and construction of a metro rail route running between the Lekki Free Trade Zone and Marina (the Green Line). This agreement was sealed in China on Sunday.

According to him, the development is the culmination of a process initiated by MOFI as part of its strategy to engage state governments towards the development and management of projects with a clear roadmap for economic transformation.

“As part of MOFI’s engagement with the Lagos State Government on a collaboration to facilitate the identification and enumeration of FGN assets in Lagos State, and the optimization of these assets in a structure that would create significant value for all stakeholders, the opportunity to jointly develop a critical infrastructure asset for Lagos State— The Green Line Rail Project— arose, and a proposal was presented and accepted.

“The Green Line is a proposed 68km metro rail route that will run between the Lekki Free Trade Zone and Marina, with a direct link and station at the proposed Lekki International Airport and will have 10 stations. These stations will be located at: Marina, Victoria Island, Lekki 1, Ajah, Lekki 2, Ogombo, Elepetu, Eluju, Lekki Airport, and Lekki Free Trade Zone. The Green Line is a crucial component of the Lagos Rail Mass Transit (LRMT) network, which is part of the Strategic Transport Master Plan (STMP) for Lagos State. It is also part of the Lagos Rail Mass Transit that includes six (6) rail lines and one (1) monorail.

“CHEC’s involvement followed its approach of MOFI with a proposal to collaborate for the development and enhancement of infrastructure, with emphasis on comprehensive urban development powered by modern transportation, given its vast experience in infrastructure construction and financing in Nigeria.

“The Green Line contract is proposed to be developed through a PPP Model, with the parties acting as follows: LASG/LAMATA: The LASG as Sponsor provides Right of Way for the project route and its concession to a consortium of MOFI and CHEC through the Federal Ministry of Transportation for the development of the project; MOFI: Represents the Federal Government as Co-Sponsor, and provides financing support. and CHEC to act as  Technical partner, financing facilitator and EPC contractor,” the statement stated.

He appreciated President Bola Tinubu for his determined effort to transform Nigeria’s infrastructure.

“We also commend the LSG, under the leadership Governor Babajide Sanwo-Olu, for its ambitious drive towards making Lagos a true mega city with first-class transport infrastructure.

 “On its part, MOFI will continue to collaborate with key stakeholders, locally and internationally, towards Nigeria’s development,” the statement added. 

Speaking after signing the MoU, Governor Sanwo-Olu said the Green Line Rail will redefine public transportation and transform the Lagos State transport landscape, linking key areas like Victoria Island, Lekki, Ajah, and more.

He said, “Today, we signed a historic Memorandum of Understanding with the Ministry of Finance Incorporated (MOFI) and China Harbour Engineering Company (CHEC) to bring the ambitious Green Line Rail project to life.

“The Green Line is a 68km rail line designed to run from the Lekki Free Zone to Marina, connecting with the Blue Line at Marina. This new line will transform our transport landscape, linking key areas like Victoria Island, Lekki, Ajah, and more.

“This rail line is projected to carry over 500,000 passengers daily at launch, rising to over a million as demand grows. With the Ministry of Finance Incorporated and CHEC leading the design, financing, and operation, the Green Line will redefine public transport in Lagos.

“The Green Line complements our existing rail lines, including the Red Line, which has already begun partial operations. Together, these lines form the backbone of our Strategic Transport Masterplan, designed to create a fast, efficient, and connected Lagos.”

The Governor added: “Just yesterday, we celebrated the one-year anniversary of the Lagos Rail Mass Transit Blue Line, which has served an impressive two million passengers without significant disruptions.

“This success shows that Lagos is ready for more. We are ready for the future. In August 2024, the Blue Line increased daily trips from 54 to 72, reducing travel time between Marina and Mile 2 from 30 to 18 minutes.

“The impact of these rail lines goes beyond transportation. They are catalysts for economic growth, connecting communities, reducing travel times, and enhancing the quality of life for millions. We are building a city that works.

“This is Lagos, and we will continue to lead. We would like to extend our heartfelt gratitude to President Bola Tinubu for his unwavering support and complete endorsement of this project. His commitment not only reflects his dedication to our shared vision but also serves as a powerful catalyst for its success.”

The Green Rail Line, which will connect with the Blue Line at Marina, is designed to run from the iconic Marina Station through Victoria Island, Lekki Phase 1, Ajah, Lekki 2, Ogombo, Elepetu, Eluju, Lekki Airport and Lekki Free Trade Zone.