The Director General, Infrastructure Concession Regulatory Commission (ICRC), Engr Chidi Izuwah, on Wednesday, presented the Full Business Scale Certificate for the concession of the train electronic ticketing system to the Minister of Transportation, Hon Chibuike Amaechi.
The Sight News gathered that, with the e-ticketing system, an estimated rise in the sales of train service ticket is expected to hit N16 billion in the next 10 years once the process takes off. Also, the system will help to curtail ticketing racketeering, which has been the order of the day, especially on the Abuja-Kaduna corridor.
The ICRC boss during the presentation, reminded the Minister of his promise to find solutions to the chaos witnessed at train stations as regards ticketing.
He said,” You promised a couple of months that there is a solution to the chaos witnessed at the train stations. We are here today to present the full business certificate for the ticketing solution for the Nigeria Railway Corporation (NRC).
“What is interesting is that this transaction is for ten years and over those ten years, the financial model shows that NRC and the federal government will earn over N16 billion as revenue from the ticketing system. That will provide additional revenue for the government. So basically, we have turned a problem into an opportunity.
“This is a PPP where the Private sector will invest money to develop, deploy and operate and integrated ticketing solution so Nigerians will be able to buy their own tickets the way it is done anywhere in the world.
“The NRC has gone through a procurement process in line with the ICRC ACT, a competitive process and a preferred bidder has been identified—SECURE ID”.
He further revealed that a full business case was developed, due diligence carried out to verify the technical financial and managerial competence of SECURE ID and her partners to execute the project.
“The next stage is in line with the ACT to present this to the Federal Executive Council (FEC) for approval. After FEC’s approval, then you can sign the concession agreement, the project will reach financial close then we can have execution of this project to the benefit of Nigerians.”
On the benefits of the E-Ticketing system, he said, “We also want to increase passenger convenience by introducing the fare dual hub. This will also improve service welfare to passengers and create a wider aisle of fare policies through additional added value because those tickets can also carry adverts and become a substantial part of revenue,” he pointed out.
Responding, the Minister thanked the DG ICRC for the timely presentation certificate adding that he would proceed to Council immediately for approval.
He however opined that beyond the e-ticketing system, a holistic approach to solving the problems associated with sales of ticket would be the buying of more coaches and locomotives to meet the increasing passenger traffic.
“I agree that this is a solution to the madness of what we have in Rigasa station down to Idu. But the most important solution is the provision of more coaches and locomotives. This will go a long way to reduce the madness, because if people can buy their tickets from their offices and homes, they will not be coming to the train station to cause that chaos we are seeing there .
“I just had a meeting with the president today and we agreed that we should approach the Chinese and buy more coaches. The moment we get more coaches, then we will completely eradicate the current madness going on in the different stations between Rigasa and Idu,” he ended.