NRC generates N1.4bn IGR, remits N245m to TSA

By Adelola Amihere

Managing Director, Nigerian Railway Corporation (NRC), Engr. Fidets Okhiria has said that the Corporation Internally Generated stood at N1.4 billion as at Sept. 30 as against the N4.4 billion projection for the year, with N245 million being remitted to the TSA as at Oct.31.

Okhiria stated this at the 2021 Budget Defence to the Joint Committee of Land and Marine Transport at the National Assembly in Abuja on Friday.

He said that the Covid-19 pandemic affected it operations because train services were stopped which affected the IGR projection for the year 2020.

“The Joint Committee is invited to also note that for the year 2020, the Corporation presented a separate Internally Generated Revenue & Expenditure Budget. The sum of N1,429,350,895 has been generated as at September 30, 2020 against the projection of N4,449,671,841 from our core activities, representing 32% performance.

“It is necessary to mention that our Train services were stopped and significantly reduced upon resumption due to the impact of COVID-19 Pandemic. The construction work within the Lagos corridor including access to Apapa Port also impacted on our ability to provide train services.

“It is important to mention that during the period under review, the Corporation started making payments from its Internally Generated Revenue (IGR) into the Federal Government dedicated TSA as directed by the Federal Executive Council. A total sum of N245,460,000 has so far been lodged into the account as at October 31, 2020.

“The Railway Property Management Company Limited is a wholly owned subsidiary company of Nigerian Railway Corporation. As at October 31, 2020 the Company has generated N1,372,559,861,98 representing 91.5% of N1,500,000.000 which was the revised approved revenue target for 2020.

“For the year 2021, the Corporation plans to generate a total of N5,356,571,418 as IGR. More coaches are expected to be deployed to Abuja-Kaduna Train Service, full commercial operation has commenced between Warri-Itakpe and the Lagos-Ibadan Train Service is expected to commence soon”.

According to him, the Corporation’s operational expenditure remains very high because most of the stations along Abuja-Kaduna Railway Line are substantially powered by diesel generators. Efforts are, however, being made to ensure that alternative sources through Independent Power Plant (IPP) is explored to service all routes beginning with the Standard gauge lines.

He said that the initial revenue target of N2,000,000,000 was reviewed downwards due to the impact of the COVID-19 Pandemic.

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