The federal government has said the introduction of Compressed Natural Gas (CNG) buses under the Presidential CNG Initiative (PCNGi) will lead to a substantial reduction in transportation costs, ultimately helping to curb inflation.
The Finance Minister and Coordinating Minister of the Economy, Olawale Edun, stated this during a visit to the JET Motor Company (JET) Assembly Plant in Lagos, where CNG buses are being assembled.
According to a statement yesterday by the Senior Special Assistant to the President on Media and Publicity, Temitope Ajayi, Edun noted he had seen the vehicles being assembled, expressing confidence that the benefits of the initiative would soon be accessible to Nigerians.
“I have come to see the CNG buses that Nigerians are asking about. I have seen them. I have tested them and driven them. I have seen them being assembled. The benefits will soon be available to Nigerians,” Edun said.
Edun highlighted the significant cost saving CNG buses offer, compared to their petrol-powered counterparts.
“Two critical aims will be achieved. Whereas it costs about N55,000 to fill a 15 to 20-seater buses with petrol, it will cost between N12 and N15,000 to fill a CNG bus of the same capacity. This is three times, if not four times less. This is a huge saving that will help reduce transport costs, and at the same time help reduce inflation,” he said.
He said the PCNGi was about affordable mass transit. Edun praised JET’s employment of local talents in the assembly of the vehicles.
The chairman and founder of JET, Chidi Ajaere, took the minister round during the visit.
Also on hand were the chief executive officer of the JET Motor Company, Derek Ewelukwa, an engineer, and other members of the team, such as Sanjay Rupani of the Technical Development Department, and Ebimo Ofongo, the plant manager.
Also present were Tosin Coker, the commercial director PCNGi and Joseph Osanipin, director-general of the National Automotive Development and Design Council.
Ajaere commended President Bola Tinubu for his initiative in promoting local production of the CNG vehicles and the entire PCNGi team’s resolve to make the project a success.