SWDC secures rail license to drive regional connectivity

The South West Development Commission (SWDC) has secured a provisional rail operating and track access licence from the Nigerian Railway Corporation (NRC), paving the way for SWDC-led passenger and freight rail services across existing rail corridors in Southwest. It also marked a major step toward strengthening regional connectivity and driving economic transformation across the region. […]

The South West Development Commission (SWDC) has secured a provisional rail operating and track access licence from the Nigerian Railway Corporation (NRC), paving the way for SWDC-led passenger and freight rail services across existing rail corridors in Southwest.

It also marked a major step toward strengthening regional connectivity and driving economic transformation across the region.

This license is not for building new rail lines but to operate passenger and freight services on existing rail corridors already connecting communities, businesses, industrial hubs, and economic centres across Southwest.

The license authorized the commission to operate on both narrow and standard gauge rail networks and supports the launch of the South-West Rail, Agro-Industrial & Logistics (SW-RAIL) Platform, a regional initiative aimed at improving logistics competitiveness, unlocking agro-industrial growth, strengthening mobility, and accelerating economic development across Lagos, Ogun, Oyo, Osun, Ondo, and Ekiti States.

Addressing journalists, the Managing Director/CEO of SWDC, Dr. Charles ‘Diji’ Akinola described the development as a major transition from planning to implementation.

“This license is not just a document. It is the green light to rebuild the Southwest’s economic spine on rail.

“We are moving from plans to tracks, from talk to trains. Our partnership with the NRC will put freight on rails, people on trains, and opportunity back into the hands of businesses and communities across the South West,” he added.

The SWDC boss said that the SW-RAIL Platform is being developed as a rail-anchored economic corridor integrating freight systems, agro-logistics, industrial parks, inland logistics hubs, cold-chain infrastructure, port connectivity, passenger mobility systems, and transit-oriented developments.

According to him, Southwest remains Nigeria’s largest economic bloc but continues to face major logistics bottlenecks, rising freight costs, congestion, and supply chain inefficiencies.

He said: “The Southwest has enormous economic potential, but transportation inefficiencies continue to increase the cost of doing business. Rail provides an opportunity to address these challenges in a more integrated, scalable, and sustainable way.

“The initiative is expected to reduce logistics costs, improve freight efficiency, strengthen agricultural market access, boost export competitiveness, expand industrial activity, improve passenger mobility, and create jobs across multiple sectors.

“By operating directly on NRC corridors, the SWDC aims to provide manufacturers, farmers, exporters, FMCG companies, and logistics operators with a more reliable alternative to road haulage, easing pressure on major highways and reducing delays in the movement of goods and people.

He added that the improved rail integration will strengthen connectivity between Apapa and Tin Can ports and key industrial, agricultural, and commercial hubs across the Southwest.

“Agricultural produce and manufactured goods will move more efficiently between production centers, markets, warehouses, and export terminals, while corridor-based economic zones are expected to stimulate investment, warehousing, agro-processing, and SME growth,” he said.

Akinola stated that the implementation model will be partnership-driven, pointing out that it will be open to collaboration with state governments, private investors, logistics operators, and international infrastructure partners.