Minister of Finance and Coordinating of the Economy, Taiwo Oyedele, yesterday, announced that the Federal Executive Council (FEC) has approved the award of contracts for three major rail projects aimed at boosting infrastructure, productivity and economic growth across key urban centres.

This was as the Minister of Information and National Orientation, Mohammed Idris, and his Works counterpart, David Umahi, outlined a sweeping set of decisions by the Federal Executive Council (FEC), including the creation of a Presidential Task Force on Power Sector Reform, key federal appointments, and approvals for major road projects nearing completion.

Briefing State House correspondents after the council meeting, Oyedele said the projects, covering Lagos, Kano and Kaduna, were designed to support the Federal Government’s broader development agenda and improve the quality of life for citizens.

“We know that for economic development, you need infrastructure that works, one that enhances productivity and growth, and also improves the quality of life of the people,” he said.

According to the finance minister, the approved projects include Phase 1A of the Lagos Green Line rail, the Kano State Metro City rail project and the Kaduna State light rail system.

Oyedele described the three cities as critical economic hubs where targeted investments could yield an outsized impact.

“You would agree that these three cities are very important and strategic. All cities are important, but these are places where 10 per cent effort can yield up to 90 per cent results,” he stated.

He disclosed that the projects would be financed through the Ministry of Finance Incorporated (MOFI), acting on behalf of the Federal Government, with provisions for counterpart funding arrangements. In total, Oyedele said the three rail projects were valued at approximately $2.99 billion.

BRIEFING State House correspondents after the FEC meeting presided over by President Bola Tinubu, Idris said the council’s decisions were anchored on a renewed push to reposition the power sector and accelerate infrastructure delivery nationwide.

He disclosed that the council approved the appointment of a Special Adviser on Power to the President and endorsed the establishment of a high-level task force to drive comprehensive reforms in the electricity sector.

According to him, the decisions followed the submission of a report by a presidential committee set up on March 4 to review the commercial and institutional framework for the proposed Grid Asset Management Company (GAMCO).

Idris said the President approved the appointment of former Minister of Power, Lanre Babalola, as Special Adviser on Power, to strengthen coordination and policy oversight in the sector.

He added that the newly created Presidential Task Force on Power Sector Reform would be chaired by the President, with Babalola serving as a key member.

Speaking on infrastructure, Umahi defended the cost of ongoing and newly approved road projects, insisting that they reflect value for money despite rising construction costs.

“When people talk about cost, we must look at unit pricing and quality. What we are doing now is cheaper and far more durable than what was done years ago,” Umahi said.

He explained that the administration standardised the use of Continuously Reinforced Concrete Pavement (CRCP) for federal highways, describing it as more durable and cost-effective over time.

According to him, many newly approved projects average about N3.2 billion per kilometre, even amid increases in cement prices.