The Federal Government on Tuesday officially launched the commencement of toll operations on the 227.2km Abuja-Akwanga-Lafia-Makurdi Road corridor to repay the loan obtained from the China Exim Bank to rehabilitate and upgrade the road.
Nairametrics, following the live broadcast of the official inauguration held in Abuja, reports that the Minister of Works, David Umahi, officially launched the road.
Umahi, who was represented by the Minister of State for Works, Bello Goronyo, reiterated the government’s commitment to ensuring that Nigeria’s federal roads are properly maintained through sustainable funding mechanisms.
The Abuja-Akwanga-Lafia-Makurdi Road was rehabilitated and upgraded through a preferential credit loan from the China Exim Bank. The last administration secured a $460.8 million loan from China Exim Bank, covering 85% of the project’s $542 million total cost.
As part of the loan agreement, the Federal Government committed to tolling the road upon completion, with revenue collected from operations to be used preferentially for the loan repayment.
“It is with great pride and optimism that I stand before you today on behalf of the Federal Government of Nigeria as we officially launch the commencement of toll operations on our federal roads, beginning with the 227.2km Abuja-Akwanga-Lafia-Makurdi Road corridor,” Umahi stated.
He added, “It is to be recalled that the Federal Government of Nigeria rehabilitated and upgraded the road through the preferential credit loan from the China Exim Bank. The loan agreement provided among other things, that upon completion, the road would be tolled, operated, and maintained by a private party and that revenue collected from the operation shall be preferentially used for the loan repayment to the China Exim Bank.”
According to the Minister, the Ministry of Works, under the previous administration in 2023, executed a 25-year Operate and Maintain concession agreement with Messrs China Harbour Operations and Maintenance Company Limited in partnership with Messrs Catamaran Nigeria Limited.
This agreement falls under the HDMI Phase 1 framework, which seeks to engage private sector participation in the management of key federal road corridors across the country.
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The Minister of Works reiterated that the tolling initiative aligns with global best practices, ensuring sustained road quality while generating revenue for ongoing maintenance and loan repayment.
- Umahi emphasized the strategic importance of the Abuja-Akwanga-Lafia-Makurdi Road, highlighting its potential to enhance economic and social activities across the central and northern regions of Nigeria.
- The concessionaire, Messrs China Harbour Operations and Maintenance Company Limited, in partnership with Catamaran Nigeria Limited, will be responsible for tolling, maintenance, and overall operations throughout the 25-year concession period.
- Revenue collected from tolling will be prioritized for repaying the China Exim Bank loan before being allocated to additional infrastructure projects.
With the commencement of toll operations, the Federal Government plans to extend this model to other federal highways under the Highway Development and Maintenance Initiative (HDMI). The remaining eight corridors will be integrated in phases, aiming to enhance road infrastructure and long-term sustainability nationwide.
Toll order fee schedule for the Abuja-Akwanga-Lafia-Makurdi Road
The Minister of Works also announced the official toll order fee schedule for the Abuja-Akwanga-Lafia-Makurdi Road, as gazetted:
- Saloon cars – N500
- Sport Utility Vehicles (SUVs) and Jeeps – N800
- Minibuses – N1,000
- Multi-axle vehicles – N1,600
He further noted that frequent users, such as commercial light vehicles classified under the Federal Highway Act, would receive a 50% discount.
Additionally, tricycles, pedal vehicles, motorcycles, and other two- or three-wheeled modes of transport primarily used by disadvantaged populations would be exempt from toll charges.
It is important to note that Nairametrics earlier reported that the Federal Government had set up four electronic toll points along the Abuja-Akwanga-Lafia-Makurdi Road for toll collection.
