The Federal Government has donated 64 Compressed Natural Gas (CNG) buses to representatives of the Trade Union Congress, Nigerian Labour Congress, and the National Association of Nigerian Students.
The CNG buses were presented to the unions on Sunday at the state house conference centre, Abuja, as part of activities marking Nigeria’s 64th independence anniversary.
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Minister of Finance and Coordinating Minister of the Economy, Wale Edun, led the government delegation to the handover ceremony.
Edun, at the event, said when deployed for commuter service, the buses would significantly reduce transportation costs in the country, bringing hope for a more affordable and efficient public transport system.
He described the distribution of the buses as fulfilling President Bola Ahmed Tinubu’s promise to provide affordable and efficient transportation under the Presidential Initiative on Compressed Natural Gas to support Nigerians after the removal of fuel subsidies.
He said the initiative is aimed at alleviating the burden on the poor and vulnerable and support macroeconomic reforms that would position the country on the path to economic stability.
The Minister further said the symbolic handover of 64 buses on the eve of Nigeria’s National Day marked the beginning of a broader national rollout.
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He said the federal government planned to distribute over 500 CNG buses and 100 electric vehicles in the first instance.
“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.
Edun said the federal government placed emphasis on intervening on the side of workers to ensure cheaper transport to enable them cope with rising prices.
According to Edun, the CNG initiative will significantly impact inflation positively.
“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 also said the fuel cost for CNG-powered vehicles was about one-third of the fuel for petrol-powered vehicles.
According to Edun, motorists can now pay as low as N15,000 to fill a tank instead of N50,000 or more.
“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,” he added.
