The Federal Government has donated over 64 Compressed Natural Gas (CNG) buses to the Trade Union Congress (TUC), the Nigerian Labour Congress (NLC), and the National Association of Nigerian Students (NANS) to aid commuter services.
This announcement was made in a statement signed by Bayo Onanuga, the Special Adviser to the President on Information and Strategy, on Sunday, September 29, 2024. The initiative is part of Nigeria’s efforts to reduce transportation costs and improve the public transport system, offering a more affordable and efficient alternative.
The handover of the buses occurred at the State House Conference Centre in Abuja, as part of Nigeria’s 64th independence celebrations. Notable attendees included Wale Edun, the Coordinating Minister of the Economy and Finance Minister; Mohammed Idris, the Minister of Information and National Orientation; Abubakar Bagudu, the Minister of Budget and Economic Planning; and Ayodele Olawande, the Minister of State for Youth Development.
In his address, Edun emphasized that this donation fulfills President Bola Tinubu’s promise to provide efficient transportation for Nigerians following the removal of fuel subsidies under the Presidential Initiative on Compressed Natural Gas (PCNGi). He further noted that the initiative aims to reduce the financial strain on the poor and support economic reforms leading to national stability.
The CNG bus donation marks the beginning of a larger project, with plans to distribute 500 additional CNG buses and 100 electric vehicles nationwide. This initiative also aligns with Nigeria’s commitment to cleaner energy and industrial growth, leveraging the country’s natural gas resources.
Edun explained that motorists could now pay as low as N15,000 to fill a tank with CNG, compared to the previous cost of N50,000 for petrol, reflecting the economic advantages of this transition. Additionally, he mentioned future plans to assist farmers during the planting season with necessary inputs to further stabilize food prices and revitalize the economy.
Representatives from the TUC, NLC, and NANS commended the President for this effort, expressing optimism that more CNG buses would be made available to ease transportation for the Nigerian public. NANS President Comrade Lucky Emonefe called the initiative a significant step in reducing the economic strain on Nigerian workers, while the NLC representative highlighted that broader distribution of the buses would quickly benefit Nigerians.
Michael Oluwagbemi, Programme Director and Chief Executive of PCNGi, reported substantial growth in the sector, including the establishment of over 125 CNG conversion centers and a $175 million investment. He also outlined upcoming plans, such as agreements with the Nigeria Police Trust Fund (NPTF) and the expansion of CNG programmes in Kogi and Ekiti states.
The PCNGi is working to cut transportation costs through its Transport Fare Drop Programme, which includes converting vehicles to CNG, aiming for a 30-40% fare reduction.
