1

Prospects and Problems of Integrated Transport Development

in Nigeria.

D.E Onwuegbuchunam

Department of Maritime Management Technology,

School of Management Technology,
Federal University of Technology Owerri, Nigeria.
e-mail: donafutow@yahoo.com
Seminar Paper, Department of Transport Management Technology, FUTO
FUTO. November, 2002

Abstract
Funding and coordination problem have become the bane of transport system
integration in developing countries. This paper examines Nigerias transportation
modes and system integration problem within the context of constraining
environment of inadequate funding and lack of framework for transport policy
implementation. Based on anticipated improvements in political, technological and
socio-economic factors, policy intervention measures are proposed for achievement
of integrated transport system development in Nigeria.

Keywords: Transport Policy, Development. Integrated Transport, Transport Modes

1.0 Introduction
Transport in its simplest definition is the movement of persons or freight between
origin and destination. However, its achievement of this purpose only is partly
complete as transport has roles needs it satisfies both of persons using it and the
society at large. For example, transport is the engine of every economic activity in the
economy of any society. In every economic activity, whether in the production of
products or services; transport is required as indirect inputs to move people and
goods in the most cost effective manner. The achievement of cost effective, efficient,
safe and convenient transport requires that various subsystems of the national
transport system be coordinated and integrated. This way, each subsystem will
function optimally in that it specializes on and hence complements other mode
systems.

However, this is not the situation with most developing countries transport especially
Nigeria. There is always the problem of poor planning and funding of the national
transport system. In Nigeria, the bane of transport can be traced to poor planning by
the former colonial administrators. In spite of the governments heavy budgetary
allocation to the transport sector, the achievement of total integration of the various
transport subsystems has remained elusive. Apart from the initial planning problems
and funding gap, there is also the problem of policy formulation and implementation.
Thus, there appears to be no coherent framework for implementing the national
transport policies in Nigeria. In this paper, these issues are addressed and proposals
are proffered on the way to achieve a national transport system that is integrated.
Nigeria cannot afford to continue to alienate itself from the opportunities presented
by the emerging global trends toward economic development of intricately connected
economies.

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2.0 The Concept of Transport/Integrated Transportation System.
Transport can be defined as the movement of goods and people from point of origin
to point of destination. The transport mode for achieving such a movement may be a
vehicle, ship, airplane or train etc. Each of these transport mode units would require
other respective facilities e.g. the roadway, waterway, skyway, seaports etc. (or fixed
facilities) and traffic signal lights, light houses, control towers etc. (or control systems)
for efficient transport operation. Hence, a transport mode unit e.g. a vehicle with its
fixed facilities and control systems can be viewed as a system or sub systems within
an overall transport system encompassing other modes. Therefore, a transportation
system may be defined as consisting of various transport mode systems (with their
fixed and control facilities as defined) that permit people and goods to overcome the
friction of geographic space efficiently in order to participate in a timely manner in
some desired activity (Costas, 1987). Thus, the overall goal of any transportation
system is to achieve efficiency of movement between origin and destination. The
achievement of this goal requires greater understanding of the significance of the
relationship existing among system components and the need to properly co-ordinate
them to achieve integration and total optimality of the entire system.

A transportation system is therefore, said to be integrated if each of the component

mode systems of the entire transport system of a country does what it does best,
and complements each other so that total efficiency of operation and safety are
achieved in the entire transport system. For example, if the railway mode system
which is best suited for long haul movement of bulk cargoes is substituted for
highway mode or the sea mode suitable for long haul movement of cheap bulk
cargoes is substituted for air mode, then the transportations system is not well
coordinated to complement each other and therefore not integrated. In Nigeria, there
is a problem with achieving total integration of the entire transport system. This is
because the system was not properly planned from the beginning, as has been proven
by historical facts.

3.0 Overview of the Present Transportation System in Nigeria

The initial effort in developing adequate transportation to serve the growing
commerce and industry in Nigeria started in the colonial era. There was initial
development of inland waterway for navigation between Rivers Niger and Benue. This
was closely followed by the construction of the major rail line between Lagos and
Ibadan in 1898. It was extended to Jebba in 1909, Minna in 1912, Zaria and Kano in
1912. The Port Harcourt line was constructed in 1913 and it was extended to Enugu in
1916, Makurdi in 1924, Jos in 1927, Nguru in 1930, Kaura Namoda in 1929 and
Maiduguri in 1964. Altogether, there is a railway network of 3,505 km. But the rail
arteries do not link the urban centres properly. They represent a North South traffic
flow network conceived by the colonial masters to facilitate the movement of raw
materials from the hinterlands to the seaports for onward transportation to Western
European Countries. Thus, for a long time, transportation was restricted to these two
modes.

However, in late 60s, the unsurfaced roads initially made by the colonial regime to
link the trading posts (ports) along the coast with the administrative interiors in the
hinterland were modernized into standard highways. The roads were designed to
facilitate the consolidation of local export crops, such as groundnuts, cotton, cocoa
and palm produce from the hinterland to the railway station. These were in turn
shipped by rail to the seaports. The road network began to assume much greater
importance in national transport development. The road transport was initially
designed to complement inland and rail mode but it later assumed much prominence
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FUTO, November, 2002
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over the others. Trucks became more flexible in point to point collection and
distribution of freight to the ports. Again, the tonnage of agricultural products
plummeted with the discovery of oil in Nigeria. The declining traffic led to low
capacity utilization of the railway. Trucks flexibility, in point to point delivery (in short
haul) resulted in low patronage of the railway. By the end of 1960, the road network
had completely superseded the railway system.

However, by 1970, commercial air transport started in Nigeria with about 111,000
passengers. This traffic volume increased at an average of 35 percent per year to 1.2
million in 1978. During the first 10 months of 1980, Nigerian Airways carried 1.8
million passengers of whom 1.6 million were domestic travelers. The dwindling
fortunes of Nigeria government following oil glut of 1980s resulted in its inability to
renew the aging fleet of the government owned airline; the Nigerian Airways
(Matthews, 2001). Consequently, there is absence of modern equipment for aircraft
operation at the Nigerian airports. The aging fleet cannot meet international
standards and operating licenses on foreign routes have been withdrawn from the
national airline.

The situation is not too different with inland waterways transport sector. It has
declined to the point that it is insignificant and there are little short term prospects of
recovery. The picture cut is that the component transport mode systems are not
functioning optimally in spite of the huge investments made on them so far by the
Nigerian government. The entire system leaves much to be desired in terms of
reliability, safety effectiveness and efficiency.

4.0 Problems of Integrated Transport System in Nigeria.

The transport sector has always been accorded much priority by successive
administrations. According to the National Development plan document, one-fifth of
the 1962-1968 capital outlay programme and a third of the 1970-74 public sector
capital programmes were devoted to the transport sector. The federal government
attaches more importance to road transport than other sectors hence the huge
amount allocated to construction of road networks. Of the total amount earmarked
for transport sector during 1962-1968 plan period, 58 percent was spent on
expanding road network. During 1970-74 plan period, road network accounted for 67
percent of transport allocation. The 1981-85 plan period indicated that about 60
percent of the capital investment made in transport sector were for highways (Owen,
2001). Available records (1990s estimates) indicate that the total transport asset in
Nigeria is in excess of 200 billion naira. Yet, in spite of these huge investments,
sustainable integrated transport system remains a mirage. Brief analyses of
quantitative and qualitative data from secondary sources indicate that the following
factors militate against the development of integrated transport system in Nigeria viz;

4.1. Absence of Clear Statement of Steps for Implementation of Transport Policy.

There is absence of clear formulation of specific steps to the followed in realizing the
objectives of Nigerians national transport policy. This is in part the reason why it is
difficult to achieve sustainable and integrated transport system in Nigeria. Nigeria,
contrary, to what is believed in some quarters, has always had a national transport
policy. According to Ogwude (1993), it was enunciated in a governments white paper
released in 1965, but the objectives have usually been stated in every one of the
National Development plans, since 1962. Thus, three principal transport policy
objectives can be identified as follows:
i) To contribute to economic growth and higher national prosperity through
providing an efficient transport service.
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ii) To meet social and political needs by opening and binding together the nation
and by providing transport for those who cannot afford personal transport.
iii) To meet efficiency needs by minimizing the harmful effects of transport, in
loss of life and damage and by avoiding waste.

Realizing the above stated objectives requires the following instruments according to
Ogwude (1993):
i) Avoidance of wasteful competition between rail and road transport in order
to make them provide complementary services.
ii) Resolving the management crises in the transport sector
iii) Commissioning of transport policy studies
iv) Improving executive capacity in the transport sector by training manpower in
the area.
v) Regulation of transport fares by setting fare tariff levels
vi) Capital restructuring of transport agencies so as to provide a basis for
measuring performance.
vii) Cost recovery and commercialization of services
viii) Provision of dynamic reforms in the transport sector

Therefore, what and what to use in achieving the transport policy objectives are spelt
one but the problem lies in the actual realization of the objectives. Thus, the shipping
policy Act, inland waterway Act and all policy statements regarding other transport
mode systems have failed to produce efficient transport system because of a lack of
clear statement of steps to achieve efficient, cost effective and integrated transport
system in Nigeria. The National Maritime Authority (NMA) (shipping policy co-
coordinator) has not realized national transport policy on shipping because it has not
established so far, clear steps, proper administrative framework etc. for policy
implementation. The above scenario is typical in the other transport sub sectors.

4.2 Funding Factor

Achieving a sustainable and integrated transport system in short and medium terms
may not be feasible given the inadequate funds voted to the transport sector. For
purposes of this discussion, the national transportation system consists of the railway,
the road transport system, pipeline, inland waterway and domestic air transportation
used for the movement of passengers and freight between origin and destination in
Nigeria. At present, the level of capital allocation towards the provision of
infrastructures in these sub systems is less than optimal.

4.2.1 Railway System

The problem of Nigerian railway transport system can be traced to the original
planners and builders the colonial administration. It was conceived first as a means
for conveying cheap agricultural products from Northern to southern part of the
country to industrializing countries of Europe. Consequently, due regard to Nigerias
present and future transport needs was not taken into consideration. Also the rate of
future economic development of the country was not assessed and appreciated
hence light weight rail materials were used. The rail network did not adequately
traverse our urban centres, physical features of the country were not studied, and
difficult terrains were avoided. Little funds were provided and so considerable
economy of construction was made.

The system served the needs of the colonial administration at the time but problem
started with discovery and mining of petroleum in Nigeria in 1960s. The volume of
agricultural products which constituted much of the rail traffic plummeted.
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Eventually, the road transport system, being more flexible, took away much of the
remaining traffic. Besides, since the networks were not designed to connect all urban
centres in the country, the railway system could not carry the urban passenger traffic
for either inter or intra state movements. Thus, incentive for the government to fund
the railway has diminished, See table 1.0.

Table 1.0 Transport Sector, Sub Sectoral Allocation (%) (1981-2001)

Plan Period
Mode of 1981-1984 1985-1989 1990-1994 1995-2000 Average
Transport (%) (%) (%) (%) (%)
Highway 78.9 72.6 65 70.2 71.7
Railways 3.9 3.8 14.2 13 8.7
Ports (Sea) 2.8 5.8 7.5 4.6 5.2
Waterways 2.7 3.8 3.3 3 3.2
Airports 4.1 5.6 2.6 2.3 3.6
Others 6.6 8.4 7.4 6.9 7.3
Source: Nigeria Railway Corporation (Finance Department) and National Budgets
(1981-2000)

A brief analysis of the Statistics presented above, shows that there has been a steady
decline in government funding to the Nigerian railway system in comparison
especially with highway transport system. This accounts for the abysmal functioning
of the transport mode.

The Nigerian railway system as a subsystem of the national transport cannot perform
optimally because it lacks the funds to rehabilitate its ageing and obsolete transport
infrastructures. These include locomotives, wagon coaches, track spare parts,
signaling and communication equipment. Infact, 1996 estimates showed that of the
required 80 locatives needed for daily railway operation, only 38 were available (Ade,
2002). Apart from funding needed to upgrade the infrastructure, funds are also
needed to repair and expand the present network linking the following urban centres:
Lagos, Ibadan, Kaduna, Kano, Jos, Port Harcourt, Abuja, Enugu and Maiduguri.
Perhaps, a rail mass transit operation is feasible since the trains run on their exclusive
right-of-way and therefore unaffected by city traffic congestion. Unless the
government funds the railway system adequately or at least privatize the operations
(while it provides or maintains the infrastructure) the system will continue to pose
problem towards our efforts to achieve an integrated transport system in Nigeria.

4.2.2 Road Transport System

Available records show that about 80% of the nations populace and industrial freight
are transported by road. It is the only form of access to rural communities. It has the
potential to open more lands for development. Road transport therefore, is an
important part of the transport sub sector of our economy. There are three levels of
road network in Nigeria viz; the Federal roads, State roads and Local government
roads. These roads further classed as trunk A, B and C roads are in serious state of
disrepair. Some trunk A and B roads record more than 1,450 vehicle carriage daily.
The level of traffic usage imposes serious damage on them, which need rehabilitation
and maintenance. It can be said that the federal government has over the years
provided large funds (in relative terms) to road transport than others, but the level of
funding is below optimum. For instance, the government of president Obasanjo

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through the transport minister claimed that it spent over 300 billion naira on road
construction and maintenance between the year 1999 and 2002.

Existing side by side the funding problem is the lack of road maintenance culture in
Nigeria. Current research carried out on roads shows that when a road is not
maintained and is allowed to deteriorate from good to poor condition each dollar
saved on road maintenance increases vehicle operating costs by $2 to $3 (see Heggie,
1996). Far from saving money, cutting back on road maintenance increases the costs
of road transport and raises the net costs to the economy as a whole (Heggie, 1996).
This accounts for high cost of production (High freight costs) in the Nigeria economy
and high fares paid by intra-city and inter-city transport commuters.

The point remains that poor road maintenance issues are a subset of the wide issues
of management and funding of roads as a whole. Since the Federal Government
cannot continue to fund road construction and maintenance (indefinitely) to a desired
level, there is now need to involve the private sector. If we consider the option of
commercialization put forward by Heggie (1996), it means that roads should be
brought to the market place and put on a fee for service basis. According to Heggie,
since roads are a put on a public monopoly, and ownership of most roads will remain
in government hands for sometime, commercialization would require complimentary
reforms in four other important areas. These are what he calls the four basic building
blocks. They focus on:

i) Creating ownership by involving road users in management of roads to win

public support for more road funding, to control potential monopoly power
and constrain road spending to what is affordable;
ii) Stabilizing road financing by securing an adequate and stable flow of funds.
iii) Clarifying responsibility by clearly establishing who is responsible for what;
and
iv) Strengthening management of roads by providing effective systems and
procedures, and strengthening managerial accountability.
The above model of commercialization can be adopted by all the levels of
government responsible for respective road classes in Nigeria.

4.2.3 Inland Waterways System

Inland waterway is an important sub system of the national transport system. It
provides means of movement along waterways network connecting the creeks, rivers
and economic centres using the river ports as nodal points for intermodal exchange.
This system of transportation became formerly established by decree No. 13 of 1997
and a body known as the National Inland Waterways Authority (NIWA) then became
the custodian of national waterways.

Waterways as water transport routes provide fairly even surface with little resistance
in comparison with other mode ways. Inland waterways provide access from the
coast to the hinterland; the rich agricultural products interior. At present, Nigerias
Inland waterways transport potentials are not fully harnessed. Private Commercial
Transport along waterways is restricted to riverine areas of Niger Delta and Lagos
State. Much of the activities of Inland waterways authority are restricted to providing
ferry services for passenger movement in some parts of Lagos and Rivers State only.
But inland waterway system ideally should provide water transport from one state to
another. It should connect Eastern & Western parts of Nigeria e.g. Warri, Port
Harcourt through Lokoja to middle belt of Benue and Yola. But lack of needed funds
to develop the waterways through dredging and other facilities has been the problem
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of the custodian authority. Available records show that the last dredging exercise
carried out by the waterway authority on national waterway network was done in
1985/86 season.

The benefits of integrated Inland waterway transportation system are very many. It
can enhance sustainable freight transportation from the ports of Burutu, Warri, Koko
and Sapele to Lagos and Port Harcourt ports. On cabotage shipping, Nigeria cannot
realize her dream of ensuring indigenous participation in coastal trading if her Inland
waterway system is not fully developed. The option to build dry ports or Inland
container Depots was borne out the need to bring containers or goods closer to
distribution centres and also to facilitate consolidation of cargoes at points outside
the ports. This capital-intensive project would not have been necessary if our Inland
waterway system was fully developed. Inefficient waterway transport system is also a
reason why intermodal through transport is not yet operational in Nigeria. Thus,
substantial funding is needed to execute massive rehabilitation programmes needed
to upgrade this aspect of our transportation system if its benefits are to be realized.

4.2.4 Pipeline Transport System

Pipeline system is another means of transportation of bulk liquid between origin and
destination. In Nigeria, it is used mainly for the transportation of petroleum products
and natural liquefied gas from refinery to depots etc. Much of energy needs of the
nation are supplied by petroleum and it is estimated that 60 per cent of the total ton
miles of petroleum shipments in Nigeria are transported by pipelines. This shows that
pipeline transport mode is an important part of our national transport system.
However, frequent cases of pipeline vandalization and ruptures due to ageing
equipment have made it impossible to realize the full advantages offered by this
alternative means of moving bulk liquid products. This situation has funding
implications. Lack of funds to rehabilitate pipeline connections between our refineries
and various depots nationwide has made the Nigerian National Petroleum
Corporation NNPC to rely more on coastal vessels for distribution of petroleum
products. The corporation spent an average of 4.07 million US dollars from 1992 to
year 2000 hiring coastal vessels to distribute petroleum products (feasibility study for
cabotage shipping by NMA). Such colossal sum could have been used to upgrade
pipeline facilities and hence achieve a complementary transport mode system.

5.0 Towards a Sustainable Integrated Transport System Development in Nigeria:

Prospects
It has been demonstrated so far that what we built our transport system on was
bequeathed to us by our colonial administrators who did not plan it well in the first
place. Infact, historical accounts by Taafe, Morrill and Gould (1973) point out that
transport development in Nigeria initially was not based on the need to provide
mobility for the populace or serve the need of industrial centres but to serve the
political and economic interests of our colonial masters. After independence, a
national transport policy was put in place but this has failed to produce reliable,
effective (increased mobility) and safe transport to transport users and the economy.
The problem in part can be associated to lack of proper framework for administering
the transport policy, funding and political instability. Nigeria has witnessed
considerable changes in governance since independence. This has often led to policy
shifts, discontinuities and adoption of reactive solution where pro-active measures to
transport issues are necessary. However, certain emerging treads in the present times
hold much prospects for the development of sustainable, integrated transport system
in Nigeria. Consider the following factors viz:

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5.1 Political Trends
Stability in civilian democratic administration will ensure consistency and continuity
of formulation and implementation of favourable transport policies in Nigeria. The
enabling environment so provided by democratic governance will support for
example, proper road maintenance and rehabilitation programmes. The National
assembly has been making relevant legislations in this regard. There is now in place,
the National Road Maintenance Agency to handle road maintenance issues.

At the global level, with the formation of bilateral agreements between Nigeria and
other countries (especially developed nations) cf. New Partnership for Africa
Development (NEPAD) which guarantees inflow of technological know-how, technical
assistance especially to Nigeria e.g. Chinas agreement to assist in rehabilitating
Nigerias railway system, foreign management consultants being proposed for our
national carrier etc, Nigerias transport sector has the potential for sustainable growth
and integration if the opportunities provided are properly utilized.

5.2 Socio-Economic Factors

The trend globally, is a shift from manufacturing to service sectors as dominant part
of national economies. Tourism is a service oriented sub sector which Nigeria has the
potential to harness. It can only do so if it can upgrade her transport system/facilities
to connect tourist centres.

Tour is the movement of people or persons from place to place, from one point of
attraction to another, from one country to another etc for leisure purposes (Simeon,
2002). The act of doing this is to tourism. Therefore transportation and tourism are
mutually indispensable. Transportation is a veritable tool for tourism which can be a
major source of revenue for a nation that has tourism potentials such as Nigeria.
Nigeria has good tourist potentials, examples of which include Yankari Games
reserves in Kano, Nigara falls, great Juju of Arochukwu etc and other rich funa and
fauna. But unfortunately these potentials are not fully harnessed owing to lack of
accessibility. The point is that the demand for transport to tour these places by
foreigners is there. Therefore the resolve by Nigerian government to move to service
oriented economy and diversify her revenue base means that there is need to
revitalize the entire national transport system in order to achieve total integration.
This being done will provide improved accessibility to tourist places and enhance
government revenue from tourism sources.

5.3 Technological Factors

The trend globally centres on three concepts; globalization, privatization and
modernization. Nations are now upgrading their transport systems to become part of
the global transport chain as the world is becoming a global village. Some aspects of
nationalized transport industries are privatized to make them more efficient. U.K. has
privatized some aspects of her railway systems. Private investors now manage rail
tracks for instance.

One form of modernization adopted by developed countries is Intelligent Transport

System (ITS). Intelligent transport system is the pointer towards improved urban
transport system in the nearest future. Many developed and developing countries
which have been using ITS facilities are already reaping the benefits; reduced
pollution, congestion, accidents and greater reduction in travel times.

Thus, Nigeria government through the relevant ministry should consider providing a
national inventory of facilities required, construct a blue print and put in place the
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relevant infra and info-structures necessary for effective implementation of its
programmes in our national transport system. Current global trends should therefore
be an impetus for us to strive and achieve a national transport system that is
integrated.

6.0 Conclusion
It is safe to say that lack of integrated transport in Nigeria is the bane of our national
development. High cost of Nigerian made goods and hence their un-competitiveness
at the international export market is traceable to our high cost of production which
transportation costs are part of. Thus, Nigeria is yet to breakeven and get the needed
revenue from the export market especially in efforts to diversify her revenue base.
The populace is yet to be provided an efficient, safe transport that is also
environmentally friendly. Annual cost of life and property lost in transport related
accidents are better imagined than described. All these result because our transport
system is not properly planned, funded and integrated.

It has therefore become necessary for the government which is the provider of
transport infrastructures in Nigeria to adopt sustainable strategies as proffered in this
paper, in order to achieve an ideal transport system for the nation. Only an integrated
national transport system can guarantee political and economic integration of a plural
society like ours, and sustainable development of the economy.

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