In a significant move to recover a $112.53 million loan from China for the construction of the Abuja-Keffi expressway and the dualization of the Keffi-Akwanga-Makurdi Road, the federal government has inaugurated a committee tasked with implementing a cashless tolling system (CTS).
During the inauguration at the Ministry of Works headquarters in Abuja, Minister David Umahi emphasized that this initiative aligns with the Renewed Hope administration’s goal of revolutionizing road infrastructure and stimulating economic growth.
“This cashless tolling system is a key component of the Highway Development and Management Initiative, aimed at fostering a robust and sustainable transportation ecosystem,” Umahi stated. He also highlighted that the construction project was largely funded by the China Exim Bank, with the Nigerian government contributing 15 percent as counterpart funding.
Umahi noted, “Part of the agreement is that they will toll the road and recoup the funds to enable the Nigerian Government to pay back the loan.” He expressed optimism that the newly inaugurated committee would develop an effective implementation plan that meets the economic and social objectives of the initiative.
The minister outlined the committee’s responsibilities, which include creating a framework for the cashless tolling system, assessing the potential for relief stations along the routes, and addressing challenges related to cashless toll collection in Nigeria. He stressed the importance of developing relief stations, akin to those found on expressways abroad, which would offer amenities such as supermarkets, clinics, security services, and parks.
Umahi further elaborated on plans for enhanced security on highways, stating, “The idea is to ensure a maximum response time of 10 minutes to any incident along the routes, supported by CCTV cameras and solar lighting throughout the project area.”
In her welcome address, Head of the Public-Private Partnership (PPP) Unit at the Federal Ministry of Works Ugwu-Chima Nnennaya, affirmed that the inauguration aligns with the ministry’s mandate to attract private sector investment for federal road development.
Speaking on behalf of the committee, its chair expressed gratitude for the opportunity to contribute to national development, emphasizing the critical role of transportation in economic growth. The committee is expected to submit its report within two weeks.
