Michael Oluwagbemi, Chief Executive Officer and Programme Director of the PCNGi
The Presidential Compressed Natural Gas Initiative (PCNGi) has launched a nationwide program aimed at reducing transport fares by up to 40% through the use of compressed natural gas (CNG). The initiative, which started on Friday in Abuja, is part of a broader effort to promote CNG as a cleaner and more affordable alternative to traditional fuel.
To kick off the program, the PCNGi signed a Memorandum of Understanding (MOU) with the National Union of Road Transport Workers (NURTW). The agreement covers the Abuja-Itakpe Station—Ajaokuta Train Station—Adavi route, where fleet vehicles will be converted to run on CNG. In return, passengers will benefit from a 30-40% reduction in transport fares.
“This program will encourage NURTW members in Abuja to convert their vehicles to CNG in exchange for a fare reduction,” explained Mr. Bayo Onanuga, Special Adviser to the President on Information and Strategy, in a statement released on Friday.
The statement, titled “PCNGi Collaborates with Commercial Transporters to Slash Transport Costs, Empowers 2000 Youth with Tricycles,” outlines the initiative’s goal to increase the adoption of CNG as a more cost-effective and environmentally friendly fuel alternative.
Michael Oluwagbemi, Chief Executive Officer and Programme Director of the PCNGi, emphasized the benefits of the initiative, stating, “On Saturday, September 28, 2024, the PCNGi will continue its nationwide commercial incentive program for commercial car open days, expanding to 38 centres in Kaduna, Abuja, Lagos, Ogun, Oyo, Delta, and Edo states.”
According to Oluwagbemi, the PCNGi will also enter into an agreement with the Nigeria Police Trust Fund on September 30 to operationalize the Nigerian Police CNG Conversion Programme. This partnership aims to train police cadets to manage strategic conversion centres that are being established across the country.
“This initiative will help train the police cadets to manage strategic conversion centres established by the NPTF,” Oluwagbemi added.
As part of the celebrations for Nigeria’s 64th Independence Day on October 1, the PCNGi will launch the CNG Tricycle Empowerment Program in collaboration with the Ministry of Youth. The program will provide over 2,000 young Nigerians with the opportunity to own and operate CNG-powered tricycles, offering them a pathway to economic empowerment.
The initiative will also extend to Kogi State, where the PCNGi will launch the Kogi State Conversion Incentive Programme on October 2. This program will include the handover of CNG buses to the state’s mass transit entity for interstate routes to Abuja. Additionally, three new CNG conversion sites will be inaugurated in the state.
Oluwagbemi highlighted the long-term goals of the initiative, stating, “Our objective is to make CNG a mainstream fuel option in Nigeria, reducing the cost of transportation and creating job opportunities for thousands of Nigerians.”
The Transport Fare Drop program and other related initiatives are expected to significantly reduce the cost of transportation for many Nigerians while also contributing to environmental sustainability by promoting the use of cleaner energy.
The launch of this initiative comes at a crucial time as Nigeria seeks to diversify its energy sources and address the economic challenges faced by many of its citizens. By providing affordable and sustainable transportation options, the PCNGi aims to improve the quality of life for millions across the country.