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LAGOS SIGNS MOU WITH BRAZILIAN FIRM ON MASS TRANSIT ASSEMBLY PLANT


Plans to ease transportation problem in Lagos State was further boosted recently when the state government signed a memorandum of understanding (MOU) with Comil Larrocerias Onibus Ltd for the establishment of a bus assembly plant.

The establishment of the assembly plant is part of the Lagos State Government plans to phase out rickety sub-urban buses popularly called “Molue” and the plant is billed to begin production in six months time and it is to be located in Ikorodu, Lagos suburb.

Under the agreement, the Lagos State Government through the ministry of works and infrastructure will provide the necessary facilities for the take off of the project while the Brazilian firm is expected to ship into the country, equipment worth $1 million about N140 million).

At least a 90-seater capacity Bus will be produced daily by the company when it begins operation in December, though in the interim the company has imported 100 buses as its commitment to the integrated mass transport scheme of the Govenor Bola Tinubu administration.

Under the people’s oriented plan, the Tinubu administration hopes to introduce 4,000 modern buses to major highways and roads to replace the worn out “Molue” and other rickety intra-city buses.

Already, the Brazilian company, represented in the country by Airton Antonio Dalla Corte has introduced 100 fully-built buses unto the roads.

The state government through its Lagos Metropolitan Transport Authority (LAMATA) has secured a $100 million World Bank facility for the upgrading of some transportation infrastructure across the state.

Governor Bola Ahmed Tinubu with the works and infrastructure commissioner, Engr. Rauf Aregbesola was at the endorsement of the MOU. The Governor, further said “the mass transportation system was a necessity for the state, as such the signing of the MOU marks the fulfillment of a three year dream of his administration.

According to Tinubu, the establishment of the proposed plant as a precondition for the procurement of the buses was to deliberately create jobs for lagosians.

He hoped the citing of the plant in the state would have an exponential effect on the local economy.

The Governor, therefore, directed the ministry of transportation and LAMATA to join hands with the Ministry of Works and infrastructure with a view to ensuring total compliance of assembled buses according to the state’s needs as well as meeting the deadlines of production.

Earlier, Works and Infrastructure Commissioner, Engr Aregbesola described the event as the first step in the administration’s desire to provide Lagos residents with modern buses and noted that the project conceived three years ago was coming to fruition at a time when people would begin to appreciate the role of government in ensuring good things of life for its people.

Comil’s representative in Nigeria, Frank Utomi of Utobras Nigeria Limited said “the plant is expected to produce urban buses with capacity for 50 sitings and 40 standing passengers. According to him, Brazilians rank among the largest manufacturers of buses, saying comil had established similar plants in Mexico and Columbia.

Utomi said the plant is expected to open a floodgate of direct investment from Brazil into Nigeria.

Comil’s promoter in Nigeria, Mr. Ade Adeniran however said that plans were afoot to move to site within a month, while production would begin in about six months.

He noted that the unit cost of the locally produced buses would be cheaper than the imported ones which cost about $10,000 each.

 
LAGOS STATE GOVERNMENT SIGNS MEMORANDA OF UNDERSTANDING FOR PRIVATE SECTOR PARTICIPATION ON ROAD PROJECTS

The Lagos State Government has taken another giant step towards actualizing the dream of Private Sector Participation (P.S.P) in the development of road infrastructure with the signing of memoranda of understanding between Ministry of Works and Infrastructure and three indigenous firms for the commencement of the projects.

The Commissioner for Works and Infrastructure, Engr. Rauf Aregbesola noted that the Private Sector Participation on Road programmes initiated under the present administration was meant to relieve the State Government of the enomours capital requirement of developing and managing roads by transferring some of the responsibilities to private sector investors.

The firms, which are selected through a tender bid process, are Messr. Helena Investment Limited which will handle the construction and management of Ijegun/Isheri-Osun/Isolo Estate-Okota Palace Way, with a total of 6 kilometres with a 100 metres Bridge. A.T.O. Properties Limited will construct the Ajao Estate-Ejigbo Road and Bridge totaling 4.6 kilometres while Dutum Nigeria Limited will handle the Igbo Elerin/Awori/Agboroko Road with a total stretch of 2.8 kilometres.

The Commissioner explained that under the initiative the firms as investors would design the Road/Bridge, employ the necessary fund for the construction and recover the investment through the collection of toll fees, parking fees and advertisement rights among others, over a mutually agreed period of time, under a Build, Own, Operate and Transfer (BOOT) arrangement. At the expiration of the agreed period, the roads under the scheme would be handed over to the government.

Engr. Aregbesola said that a similar arrangement was operatational in some countries in Africa, Asia and the Americas, including South Africa, Malaysia, Brazil and the United States of America, though this initiative is the first major road development programme through Private Sector, Financed in the country.

He added that at the inception of the Asiwaju Bola Ahmed Tinubu’s Administration in 1999, certain electoral promises were made to the good people of Lagos State, amongst which was the need to ensure that rapid road development schemes spring up in every nook and crannies of the state as well as open up rural roads. It is in the fulfillment of these promise that this concept was embarked upon.

The Private Sector Participation on road projects was to ensure even road development throughout the state through tolling and other conventional means. Accourding to him, discussions were at various stages with more investors, stressing that “the desire of the government to expand a rapid network in the state has always been limited by what the budget could allow. So, government cannot but look for other funding avenues for road development.”

The investors assured that actual construction work would kick-off in the next three months. While the CEO for Dutum Nigeria Limited, Mr. Olatunde Runsewe said that the signing of the memorandum of understanding was only a preliminary step, which authorized them to approach institutions both within and outside the country for funding while the second signing of agreements would take place before work would commence within the next three months.

The event was witnessed by traditional leaders from different communities representatives of community development Associations, Businessmen and women etc.

 

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