mapet: Thankss Mr. Koruji, I was about positing the same thing. I wonder how feasible is using world back bench mark in a country where the level of uncertainities and risks are very high. I am not too certain that you just work into international banks and source funds quite easily and they simply tell you is 10% over the top..... We should be aware that a consortium put this together, there are counterpart funding, venture capiltalists etc the dynamics are not that simple, or else it would have been put together long ago.

I'm also curious on your conclusion of average of 4 cars per minute stretch over the 30years, knowing fully well that there were periods of glut, when they throw all the gates wide open and all vehicles pass free of charge and there are periods where the traffic is so scanty. I'll be very careful with numbers except it's authenticated

My take on the issue of pricing is that even left to forces of demand and supply and other factors it will follow the bell curve.... Shebi telecoms started with 50naira per minute, when they needed our monies to rapidly establish their infrastructures. The tolling fees will go up and come down with time. It is only that the government will not sit by the sides and watch LCC milk us.

I was conservative in my estimation because i didnt bother factoring in the other sources of income, like adverts and others. I also made a 10% provision for overhead costs . If you doubt my estimation on the number of vehicles per toll point, you can check it out when next you pass there. I have done this routine check more than 10 times, the actual throughput is about 5 cars per toll point per minute. The weighted average toll rate is also above N100 because there are so many SUVs on that route and they pay N150, saloon cars pay N120. Don't also forget that revenue will be on the increase as the year goes by because the population will be on the increase. Again, I didn't factor that into my estimation.

LCCI is not the one responsible for the construction of the alternative route. also, my throughput estimation is very near accurate because 90% of the time, that toll plaza is congested. It is very uncommon to find the toll plaza idle.

How much counterpart funding and venture capital funding will they need ? None. Projects like this are funded with development funds that you can easily access with government guarantee particularly for third world countries. They come at very low rates because it is invested in low risk and it is government backed. You can investigate this further.

Be that as it may, with all the issues you have raised, discount my estimation further by a factor of 50% as you suggested (sick) , you are still left with a 7 times over return on capital invested. That is still very ridiculous and would not happen under a competitive atmosphere.

dayokanu:

Which part of Irving do you live?

Bros... Na 183 MacArthur I dey for Irving... What about you? You fit leave ur email here na if u wan chat sometimes.. Cheer

Those that visit Ajah and etc know that alternate routes are just a joke if you want to avoid the frustration of standstill traffic, fuel wastage and if you want to get to work on time. All these make using the toll plaza almost unavoidable.

It's simply wickedness that I would pay tax from my salary and still pay 480 naira errday just to pass a road.

120 naira per vehicle for 30 years is just toooooo much. Haba! If it were 50 naira am sure they would still make their money back over 30 years.

mapet: @Kx,

1. The newly constructed Ibeshe road in Ikorodu is probably one of the best road constructed in Nigeria

Kindly stop this exagerration . . . .WTF

This so called alternative route is a joke. We face enough traffic already getting out of our houses in Chevron and they want to add more to that?with all the speed bumps?tiny road?

What's the distance btw the 2 toll gates?10 mins drive apart! I really pity the "struggling families" that are staying in places like sangotedo, ibeju, epe, lakowe etc cos most definitely there'll be a hike in bus fares.

@oadah. You are so on point. This Government go as far as paying agberos to beat up people who want to protest. It is so pathetic. They forget that we all only have one life to leave and one day we will face Judgment.

@Lagabja, your analysis is so on point. I wish we can take your analysis and put it in a paid advert let the world see how this people are milking us silly. The so called alternative road will be so chaotic that you will be forced to join the traffic on the road to pay them the toll. God will send incurable diseases on those people who want us to suffer just because they want to build empires on earth.

Now let me tell you. I am not averse to paying toll. The only thing is that this LCC thing is not toll it is outright exploitation of the masses.

Kai, this thing is so painful. No public schools in Ajah, no health centres, nothing.

I really do not know what to say anymore. I am just so pained.

I have not done the numbers, and I question the basis of you capital cost estimate for starters. I will only rely on credible and certified figures and not what you "drove" there and observed. Putting this into consideration, discouting by 50% will be baseless.

lagbaja:

I was conservative in my estimation because i didnt bother factoring in the other sources of income, like adverts and others. I also made a 10% provision for overhead costs . If you doubt my estimation on the number of vehicles per toll point, you can check it out when next you pass there. I have done this routine check more than 10 times, the actual throughput is about 5 cars per toll point per minute. The weighted average toll rate is also above N100 because there are so many SUVs on that route and they pay N150, saloon cars pay N120. Don't also forget that revenue will be on the increase as the year goes by because the population will be on the increase. Again, I didn't factor that into my estimation.

LCCI is not the one responsible for the construction of the alternative route. also, my throughput estimation is very near accurate because 90% of the time, that toll plaza is congested. It is very uncommon to find the toll plaza idle.

How much counterpart funding and venture capital funding will they need ? None. Projects like this are funded with development funds that you can easily access with government guarantee particularly for third world countries. They come at very low rates because it is invested in low risk and it is government backed. You can investigate this further.

Be that as it may, with all the issues you have raised, discount my estimation further by a factor of 50% as you suggested (sick) , you are still left with a 7 times over return on capital invested. That is still very ridiculous and would not happen under a competitive atmosphere.

I stand by my assertion

jmaine:

Kindly stop this exagerration . . . .WTF

mapet: I have not done the numbers, and I question the basis of you capital cost estimate for starters. I will only rely on credible and certified figures and not what you "drove" there and observed. Putting this into consideration, discouting by 50% will be baseless.

Haba Oga! That analysis was very conservative I must say. Yet you will only rely on credible and certified figures?

And to think I was only recently considering relocating to Ajah and environs. That thought has been perished with immediate effect!
Make I still dey do my traffic-ladden but toll-free third mainland bridge route everyday.

mapet: I stand by my assertion

Your assertion is negative cos am conversant with that axis . . .

olumidazz: @skibochi - biyo shot up your mouth there. U think say I no go no say na you.

Na wa o bros!! i no sabi say i dey famous like that but for the yarn i talk, no be LIE NAAAAA!!

skyfall: To you Fashola sycophants, abeg shut up jare. You cannot love him more than his wife. We all know he's a good administrator. The Lekki road project is seriously fvcked up. He knows this at the back of his mind, he just can't say NO to Tinubu who designed the road project around his personal gain.

The "alternative routes" are a huge joke. If you don't live on the Lekki-Ajah axis, forget it, you can't understand.

Make us understand. It is very uncharitable to think that it is only people living in Lekki-Ajah axis that road serves. Wake up guy! If you say this before LCC's intervention on the PPP model you may be right but today the entire area is opened up for new things. Look into the future see beyond where you live. You will be surprised that lots of people who live on the Mainland use the road daily.

As for BRF being overwhelmed by Tinubu... I wonder where people get this crap from. The guy has consistently said he is no puppet of anybody. He only take him high esteem. Come to think of it... If Tinubu is extremely as bad as you portray him why did he pick a FASHOLA. He'll have picked on lazy brat with little or nothing to offer. BRF has proved that He is independent minded enough to chart a life for himself. Please the guy his deserved credit. Even if he didn't start the LCC project, he is convinced that it is the way to GO.

LCC Road project has a lot of implication. The success of it will send a signal to investors especially considering helping our nation to tackle our Infrastructural development deficit. We need to encourage them to be able to tie down their money on a long term project like road and power. Lets ask ourselves, what was the value of properties in Lekki-Ajah axis before the road construction started, what is the value now? Let's face fact and move on guys... as time goes by i am sure the price regime will be looked into.

Guys

A few things, this forum is to allow for constructive comments on a matter of significant interest, so its senseless abusing each other here. We are all adults (Well I believe) so lets behave like one.

Whilst I didnt like the idea of the toll, I have grown to understand that governments cant provide everything, on the other hand, below are the things I dont agree with.

The cost of the toll is too high, I was thinking N100 max and perhaps something like N200 to cross all the tolls etc.

Secondly, if you read the route of the alternative road, it doesnt make any sense at all. The toll road should have been constructed on both sides, what they have done now is that ajah bound resident have to do a silly U-turn. To me that defeats the purpose, and the idea is to frustrate people and foce them to the toll. Ideally, there should be a dual carriage way (2 lanes each) for Ajah bound residents and also VI bound residents.


The above is what I have a problem with, also when they were planning the road didnt it make sense to them to construct a fly over, so if you dont intend to stop at Ajah, you can get on the fly over to come out after Ajah.

madejibo: the distance between the first and the second toll gate is roughly a distance of 10km

Hello you seems not to have read my post very clearly,I said 3 tolls within 49.4km road,likewise Mr ACN PRO where in the world do u have a 2 toll road within 10km radius? if any please mention.

ifyalways: This so called alternative route is a joke. We face enough traffic already getting out of our houses in Chevron and they want to add more to that?with all the speed bumps?tiny road?

What's the distance btw the 2 toll gates?10 mins drive apart! I really pity the "struggling families" that are staying in places like sangotedo, ibeju, epe, lakowe etc cos most definitely there'll be a hike in bus fares.

The route was not just constructed for motorists who may not want to pass through the toll plaza at all, it going to serve as a bypass for the adjoining communities and their residents along the Lekki-Epe corridor,the route will also open up the communities along the corridor. The alternative road is part of the original design of the 49. 36-kilometre highway.

There is the possibility of upsurge in real estate development along the alternative route.

@cloftec,

You must be living in a dream world. What communities is that footpath called alternative route going to open up. The nearby Ogunjiran community is cut off and fenced off the road, Ikota is not even close by. It is bush all over. The only standing building is the one housing "scintinla" club.

The truth of the matter is that LCC and Lagos Govt are not keeping to the terms of the contract. They are in breach. The original contract provided for an alternate "coastal" road not the patch patch footpaths they are calling roads.

I weep for Nigeria, Lagos in particular.

We should all understand one of the reasons for tolling a road. "maintenance" something many Nigerian roads lack. now this lekki- Ajjah road will not only be free from traffic when completed, but well maintained. Besides the system has been designed in such a manner that discounts are made to people who apply that route often. Its called E-tag. The E-tag enables you to automatically qualify for 10% discount on your toll fare. The discount is different from the frequent user discount/incentive which enables you to enjoy as much as 70% discount that’s like paying less that N50 per trip. So everyone on e-tag pays about N94 automatically.

megastu: @cloftec,

You must be living in a dream world. What communities is that footpath called alternative route going to open up. The nearby Ogunjiran community is cut off and fenced off the road, Ikota is not even close by. It is bush all over. The only standing building is the one housing "scintinla" club.

The truth of the matter is that LCC and Lagos Govt are not keeping to the terms of the contract. They are in breach. The original contract provided for an alternate "coastal" road not the patch patch footpaths they are calling roads.

I weep for Nigeria, Lagos in particular.

You must have forgotten what the entire Lekki - Ajah axis used to be -"Bush PATH". That road built by Jakande was just a link road to the "EPE Town". But today what development are you seeing in that axis? I leave that to your imagination and conscience. A little digression to the Iganmu-Badagry Expressway, you think the land you bought in that area before that road project started will remain same today or tomorrow? Try and price a building in ORILE now and you'll be shocked. Same applies to 'foot-path called Ogunjiran community' where land used to about less than N10m, but today with the alternative route (which i definitely think the LAGOS GOVT can do better) land now goes for over 18 Million. The Road has very good drainage system and even street light. I think we need to be fair to LCC in this area all they need to provide is the expressway, it is LASG's responsibility to do the alternative route.

As for the COASTAL ROAD, you goofed again! The coastal road, has been explained severally IT IS NOT AN ALTERNATIVE TO THE LEKKI-EPE EXPRESSWAY. It is a parallel road meant to be part of the phase 2 of the LCC concession agreement. Come to think of this, were the coastal road to been started, don't you think what happened to APLHA Beach and Kuramo Beach/Waters would have happen to the coastal Road? Until LASG and FGN build a coastal defence wall no meaningful project can happen... as an engineer I know this. You think Eko Atlantic City is just going to happen without the coastal defence wall? why didn't the Kuramo disaster extend to the Eko Atlantic City side? com'on think guys...

I can see the future and New Lagos, unfortunately, LCC is just the guinea pig to ascertain the veracity of the that dream land. hence the pain they are growing through. Like him or hate him Fashola is building on the foundation of his predecessor to build a fantastic Lagos of the future. Lety's see beyond today's pain guys...

goldbearer:
Hello you seems not to have read my post very clearly,I said 3 tolls within 49.4km road,likewise Mr ACN PRO where in the world do u have a 2 toll road within 10km radius? if any please mention.

You surely need to go do some crash programme on Geography to know that the distance between the first Toll Plaza and second is 10km. Stop misinforming the Public bro. why even bring party politics here sef. You must be a PDP agent. Olodo, simply geography U no know...

Here is your answer from just a simple Google search... No sweat at all. "...Vehicles operating in the Gauteng area will be issued with transponders which will facilitate an automatic transaction every time the vehicle passes under a toll gantry. Toll gantries will be situated 10 km apart along the highway and will also be fitted with cameras which will be used to record and bill vehicles that are not fitted with transponders. The new tolls will add approximately 30c per km to motorists’ travelling expenses and the non payment of tolls will become a traffic offence, with fines being collected through the Administrative Adjudication of Road Traffic Offences (AARTO) legislation." and here is the LINK to the stuff ok? next time try google before coming here ok? http://www.aa.co.za/about/press-room/commentary/the-gauteng-freeway-improvement-project.html

People in support of a Public Private Partnership dont have to be ACN supporters, At least the PDP led Govt has seen that PPP is the way to go hence the commencement (SOON) of tolling on all Federal Roads. But don't you think it is not a Joke for LCC to have come this far if Bi-coutney couldn't even do 500 meters on the Lagos Ibadan Expressway despite all the support FGN gave since 2007/2008? Com'on instead of knocks look around you and give some kudos to this guys.

baba_eko: Guys

A few things, this forum is to allow for constructive comments on a matter of significant interest, so its senseless abusing each other here. We are all adults (Well I believe) so lets behave like one.

Whilst I didnt like the idea of the toll, I have grown to understand that governments cant provide everything, on the other hand, below are the things I dont agree with.

The cost of the toll is too high, I was thinking N100 max and perhaps something like N200 to cross all the tolls etc.

Secondly, if you read the route of the alternative road, it doesnt make any sense at all. The toll road should have been constructed on both sides, what they have done now is that ajah bound resident have to do a silly U-turn. To me that defeats the purpose, and the idea is to frustrate people and foce them to the toll. Ideally, there should be a dual carriage way (2 lanes each) for Ajah bound residents and also VI bound residents.


The above is what I have a problem with, also when they were planning the road didnt it make sense to them to construct a fly over, so if you dont intend to stop at Ajah, you can get on the fly over to come out after Ajah.

Very sensible line of thought. I also think we all should impress it upon the Govt to susbidise the cost toll fee, that is how it is done anywhere in the world. Meanwhile, we must know that LCC or any Private Company will not charge an economic fee. it falls on the people to call on the LASG to subsidise the fee to the benefit. Meanwhile, there is no alternative route in the world that is very convenient. You go thru some hardship so you can consider using the toll side although we currently go through this traffic logjam but when the road is completed it will ease off and we'll forget this argument

For those that think Toll Road is Peculiar to the City of Lagos and just Lekki-Ajah town pls read these links...

http://www.tollroadsnews.com/node/2022

http://www.africanliberty.org/content/road-toll-increases-and-its-impact-road-maintenance-ghana

So tolling and PPP is a global phenomenon we all must come to term with. Some people talk about paying tax afterall? What percentage of Nigerians pay tax?
aside that would you say because you pay Tax then govt should give your power free of cost? why pay utility bills? Need we know that Government Globally is meant to provide all the infrastructure but not necessarily free. If a private firm come forward tofay with a proposal of giving me 18hrs power at a cost of 100% higher than what Government is currently charging I will go for it because it"ll take my cost on fuel and generator maintenance. lets see the future together guys

I wrote this in 2012. Fast Forward 2015, it is much worse now.

megastu:
Lets even forget about the toll. The reason for tolling the road has been defeated. The traffic is worse than ever. A roundabout has no business being on Ajah/Badore. Its like telling people from 3rd mainland to stop for people on ikorodu rd to move vice versa. There is nothing like alternative road. They just created a small opening for you to take and come out from Chevron rd, which Chevron built with their hard earned money.

At Lekki, you are diverted to raods which already exist for people living at Oniru. Its like taking short cuts through people's "backyard" Its terrible, i tell you. There is mad traffic at the so called alternative routes as they deliberately mutilate(pardon my grammer) the road so as to render it impassable so that people will use the toll road. Even the toll Road is chaotic. Too much traffic, uncordinated. Infact it is just a mess.