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FG Sets Time To Roll Out 2,700 CNG-Powered Vehicles

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CNG-powered vehicles before May 29

The Presidency has announced its readiness to launch approximately 2,700 CNG-powered buses and tricycles before President Bola Tinubu marks one year in office on May 29.

Aiming for the end of 2024, the Federal Government intends to establish 100 conversion workshops and 60 refueling sites spanning 18 states.

This announcement was made in a statement titled ‘Presidential CNG initiative set for rollout,’ signed by Mr. Bayo Onanuga, Special Adviser to the President on Information and Strategy.

Nigeria is set to transition into the use of CNG vehicles alongside other nations as it prepares to roll out the CNG initiative, said the Presidency.

According to the Presidency, all arrangements are in place to deliver the initial assets for deployment and launch of the CNG initiative before the first anniversary of the Tinubu administration on May 29.

Anticipating the readiness of about 2,500 tricycles before May 29, 2024, the Presidency mentioned working towards providing 200 units before the first anniversary of the Tinubu administration.

The first phase aims to produce over 600 buses by the end of 2024.

In October 2023, following the removal of the petrol subsidy, President Tinubu introduced the Presidential CNG Initiative to bring about affordable, safer, and environmentally friendly energy options.

The initiative is primarily focused on delivering compressed natural gas for mass transit purposes.

With a budget allocation of N100 billion from the N500 billion palliative budget, the Federal Government plans to procure 5500 CNG vehicles (buses and tricycles), 100 electric buses, and over 20,000 CNG conversion kits. Additionally, plans include the setup of CNG refilling stations and electric charging stations nationwide.

The initiative is aimed at alleviating the economic pressure of increased fuel prices on the general public.

Emphasizing the commitment to President Tinubu’s vision and promise, Onanuga stated that the committee overseeing the initiative is prepared to move ahead with the plans.

As part of the implementation, a new facility is being established on the Lagos-Ibadan Expressway for tricycle assembly, with Brilliant EV set to assemble electric vehicles using Semi Knocked Down components.

Collaboration with the private sector will see the establishment of 100 conversion workshops and 60 refueling sites across 18 states by the end of the year.

JET, Mikano, Mojo, and Brilliant EV are involved in the assembly of CNG buses using semi-knocked-down components in various locations across the country.

With the vision of achieving one million natural gas-propelled vehicles on the roads by 2027, the deployment of CNG buses and tricycles is expected to represent a significant step in the energy transition within the transportation sector.

Following tax and duty waivers approved in December 2023, the Presidential CNG Initiative committee is collaborating with the private sector to ensure successful implementation.

Private sector engagement has resulted in over $50 million in investments towards refueling stations, conversion centers, and main stations.

In line with safety measures, a safety policy comprising 80 standards and regulations has been developed and enforced to ensure the safe and reliable conversion of vehicles to CNG.

The aim is to sell a substantial number of conversion kits for petrol-powered buses and taxis at subsidized rates, particularly targeting commercial drivers to facilitate the adoption of CNG and reduce public transportation costs.

NIPCO, BOVAS, and other companies are actively involved in offering refueling services for CNG vehicles and serving as conversion centers.

Efforts are underway to set up refueling stations nationwide, with NIPCO and BOVAS leading the initiative in various states.

NNPC Limited, in alignment with previous CNG initiatives, will also announce locations for CNG refilling and conversion centers nationwide.

Working in collaboration with 22 other agency partners, the PCNGI aims to set standards for Natural Gas Vehicle Conversion and Associated Appliances in the country.

A monitoring system, MYCNG.NG App, will be launched by the Presidential CNG Initiative to support monitoring of CNG conversion and refueling sites in the country.

Acknowledging the crucial role of the private sector, including organizations like RTEAN, NARTO, NURTW, and downstream sector players in the transportation chain, the Presidency emphasized the collective effort needed to achieve the vision of one million gas vehicles on the roads.

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