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FG to deploy 11,500 CNG buses in Nigeria

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By Mercy Kelani

There would also be a rollout of 55,000 conversion kits by FG.

The federal government stated that 11,500 gas powered buses would be deployed across the country as a measure to reduce transportation challenges. This was disclosed at the State House by the Presidential Compressed Natural Gas Initiative ( PCNGI). The PCNGI project director, Micheal Oluwagbemi, stated that the indication of investment interest in the CNG buses has been made by the state government. Oluwagbemi stated that, based on the vehicle model and type, the cost varies. However, he declared that the government has ensured that the committee will work on decreasing the price per vehicle.

According to the Project coordinator, Nigerians will be able to convert at a low cost. He revealed that 55,000 conversion kits has been ordered by the federal government, which is line with the urgent palliative to mediate conversion. According to the committee, the roll out of more conversion centers to ensure 55,000 conversions will be established by the PCNGI in the next few weeks. Also, partnership with union, state, cooperative, and private sector will ensure the roll out of more than 11,500 CNG fuelled vehicles.

Value Added Tax (VAT) on CNG purchases will be waived.

Also, the government was commended by the Managing Director of OMAA Motors, Chinedu Oguegbu, for the initiative. Moreover, there will be the provision of job opportunities for thousands of youths. He highlighted that the plan is to build natural gas vehicles which would be exported to many African countries that share the same initiative. The Chairman of the Presidential CNG Initiative Steering Committee, Zacch Adedeji, represented by Farouk Ahmed, the Authority Chief Executive Officer of the Midstream and Downstream Petroleum Regulatory Authority (NMDPRA), said that the handover of CNG buses will serve as vital in Nigeria journey towards a more economically sound, sustainable and cleaner future.

He appreciated and commended the Nigerian President, Bola Ahmed Tinubu, for the encouragement given to the people. Moreover, he announced that the Value Added Tax (VAT) on CNG purchases will be waived, including seeking duty waivers for value-chain. He highlighted that the goal of the initiative is to leverage clean and affordable energy source — gas — and build a sustainable future. He noted that the journey towards the future is the establishment of these buses, which are signs of a new dawn.

First beneficiaries of the buses will be the universities.

AbdulRahman AbdulRazaq, the Governor of Kwara State, said that the transition from Petroleum to gas is new. He mentioned that Olokola Free Trade Zone was established by the former President Obasanjo to ensure that gas solely powers the zone. He urged the private sector to invest in the gas project. He also commended the Nigerian president for the initiation of the programme. In addition, he declared that the first beneficiaries of the buses will be the universities.

Speaking on behalf of his state, he explained that they will massively invest by encouraging businessmen across the state to invest in the transition. The Permanent Secretary of the State House, Olusegun Adebiyi, said that the flag off symbolized a new beginning. In addition, he implored the PCNGI to get ready, stating that all staff buses will be bought from them. With this, there would be discussion and negotiation with PCNGI for consultation on maintenance and purchase. According to him, there would be conversion of State House fuel dumps into CNG.

All the buses are Nigeria-made because they were assembled in Nigeria.

Additionally, the issue of maintenance has been discussed. Also, there would be an agreement with PCNGI because of the new development in the country and the unavailability of spares. Hence, it would be better to have a discussion with the producers. He noted that the buses are Nigeria-made because they were assembled in Nigeria. Also, the availability of the bus will promote the staff speedy delivery of service, and enhancement of the punctuality to work in the whole State House.

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