FG Announces Date To Launch 2,700 CNG Buses, Tricycles

President Bola Tinubu’s government plans to introduce 2,700 Compressed Natural Gas (CNG) buses and tricycles before his first anniversary in office.

The initiative includes setting up 100 conversion workshops and 60 refueling sites across 18 states to support the transition to more sustainable transport solutions.

This move follows the removal of petrol subsidies and aims to alleviate transportation costs for the public.

Under the administration of President Bola Tinubu, the Nigerian government is preparing to launch an ambitious Compressed Natural Gas (CNG) initiative aimed at transforming the transportation sector.

VerseNews reports that as President Tinubu approaches his first year in office, his administration has announced the deployment of 2,700 CNG-powered buses and tricycles, supported by the construction of 100 conversion workshops and 60 refueling sites across 18 states by the end of 2024.

The initiative, first introduced in October 2023 following the removal of petrol subsidies, aims to provide more affordable and environmentally friendly transportation options. The Presidential CNG Initiative (PCNGI), designed to alleviate the financial burden caused by higher fuel prices, will see the rollout of 2,500 tricycles and 600 buses in its first phase this year.

The effort is bolstered by a N100 billion allocation from a N500 billion palliative budget, which will fund the acquisition of 5,500 CNG vehicles, including 100 electric buses and over 20,000 conversion kits. The plan also includes the development of both CNG refilling stations and electric vehicle charging stations nationwide.

Special Adviser to the President on Information and Strategy, Mr. Bayo Onanuga, detailed the groundwork laid out for this massive project, noting the collaboration with the private sector to establish necessary infrastructure and services.

This Online News Platform gathered that the initiative also includes setting up new production facilities, such as a plant on the Lagos-Ibadan Expressway for assembling tricycles and partnering with companies like Brilliant EV for electric vehicles.

Significantly, the Tinubu administration has secured tax and duty waivers to encourage private investment, which has already resulted in over $50 million in actual investments into the project. The government also highlighted ongoing efforts to set up additional CNG stations and conversion centers in collaboration with private companies like NIPCO and BOVAS, enhancing the accessibility of CNG vehicles.

This large-scale deployment aligns with the government’s strategy to position Nigeria at the forefront of energy transition in transportation, targeting the operation of one million natural gas-propelled vehicles by 2027. This initiative not only aims to modernize Nigeria’s vehicle fleet but also significantly reduce the environmental impact of the nation’s transport sector.