Federal government has given over 64 compressed natural Gas (CNG) buses to representatives of Trade Union Congress (TUC), the Nigerian Labour Congress (NLC), and National Association of Nigerian Students (NANS).
Gatekeepers News reports that the buses were presented to the unions on Sunday at the state house conference centre, Abuja, as part of activities to mark Nigeria’s 64th independence anniversary.
Minister of Finance and coordinating minister of the economy, Wale Edun led the government delegation to the handover ceremony.
The government delegations included Mohammed Idris, minister of information and national orientation, Abubakar Bagudu, minister of budget and economic planning, and Ayodele Olawande, minister of state for youth development.
Edun while speaking at the event, said when people begin to use the buses, it would significantly reduce transportation costs in the country and bring hope for a more affordable and efficient public transport system.
He said the distribution of the buses is to fulfill President Tinubu’s promise to provide affordable and efficient transportation under Presidential Initiative on Compressed Natural Gas (PCNGi) to support Nigerians after the removal of fuel subsidies.
Edun noted that the initiative is aimed at alleviating the burden on the poor and vulnerable and supporting macroeconomic reforms that would position the country on the path to economic stability.
The minister added that the symbolic handover of 64 buses on the eve of Nigeria’s National Day marked the beginning of a broader national rollout.
Edun further revealed that federal government initially planned to distribute over 500 CNG buses and 100 electric vehicles.
He said, “The CNG initiative aligned with Nigeria’s commitment to cleaner energy while leveraging its energy resources for industrialisation.”
“Today marks another critical milestone in the policies of President Tinubu. It is a transition to cleaner fuel. The emphasis is on mass transit.”
The minister said federal government is focused on intervening on the side of workers to ensure cheaper transport to enable them to cope with rising prices.
According to the minister, the CNG initiative will significantly impact inflation positively.
He said, “We’ve had an initial spike in inflation, now it has peaked, and it is coming down.”
“Mr President and the whole team are determined to ensure that we keep inflation coming down, and this is one of the major ways.”
The minister noted that the fuel cost for CNG-powered vehicles was about one-third of the fuel for petrol-powered vehicles.
Edun said motorists can now pay as low as N15,000 to fill a tank instead of N50,000 or more.
He said, “Today, it is CNG. Tomorrow, it will be helping farmers to cope with the remainder of the wet season planting and then the dry season planting, starting from November, with fertiliser, inputs, seeds, and herbicides.”
“This is all to get prices down and get the economy moving again.”
Programme director and chief executive of PCNGi, Michael Oluwagbemi noted that since its establishment one year ago, over 125 conversion centres have been established, compared to the initial seven.
Oluwagbemi said investment in the sector has exceeded 175 million dollars, with 12 new mother stations commissioned and 75 more under construction.
He said, “Technician training is being ramped up, with 40 new technicians trained weekly. Over 34,000 conversion kits have been ordered, with more than half already distributed.”
The director added that vehicle conversions were taking place at 53 centres in eight states, and the centres would be expanded to all 36 states and FCT.
Nuhu Toro, secretary-general and chief executive of TUC; Lucky Emonefe, NANS president; and Uche Ekwe, head of international desk, NLC, commended Tinubu for the gesture.
The labour union officials asked that more CNG buses be made available to the public.
