CNG-powered buses will offer Nigerian commuters affordable mass transit, reduce inflation –Minister

*Olawale Edun, Minister for Finance and Coordinating Minister for the Economy, assures the Nigerian consumers will soon enjoy affordable costs and other benefits of Compressed Natural Gas (CNG) buses being assembled under the Presidential CNG Initiative

Isola Moses | ConsumerConnect

The Federal Government has expressed satisfaction about progress of ongoing work at the JET Motor Company (JET) Assembly Plant, in Lagos, where Compressed Natural Gas (CNG) buses are being assembled under the Presidential CNG Initiative (PCNGi).

Mr. Olawale Edun, Honourable for Finance and Coordinating Minister for the Economy, stated this Friday, May 10, 2024, while on a working visit to the Assembly Plant.

ConsumerConnect reports JET, which is located in Lagos, is one of the four assembly plants picked by the PCNGi to assemble semi-knocked down components of climate-friendly CNG and electric buses and tricycles, expected to be rolled out soon, to slash transportation costs in Nigeria.

Mr. Temitope Ajayi, Senior Special Assistant to the President on Media and Publicity, in a statement Friday, disclosed that JET also has capacity to convert petrol buses to CNG.

The statement noted that after a tour of the JET plant, Edun “expressed satisfaction about the progress of work at the assembly.”

The Minister said though the PCNGi had taken time to be actualised, the benefits would soon be available to Nigerian consumers.

“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 stated.

According to him, the PCNGi is about mass transit that is affordable.

He also explained the two critical aims would be achieved in this regard.

He noted: “Whereas it costs about N55,000 to fill a 15-20 seater buses with petrol, it will cost about N12,000 to 15,000 to fill a CNG bus of the same capacity.

“This is three times, if not four times less. This is a huge savings that will help reduce transport costs and at the same time, help reduce inflation.”

Employment opportunities for Nigerian talents

In terms of the adoption of the local content policy drive of the government, Edun applauded JET’s employment of Nigerians in the assembly of the CNG vehicles.

The statement further noted Chidi Ajaere, Founder and Chairman of JET, conducted the Minister round the assembly plant during his visit.

Also on hand were the CEO of JET Motor Company, Engr. Derek Ewelukwa, and other members of the JET team, such as Sanjay Rupani of the Technical Development Department and Ebimo Ofongo, the Plant Manager.

Present also were Tosin Coker, Commercial Director of PCNGi, and Joseph Osanipin, Director General of the National Automotive Development and Design Council (NADDC).

The Presidential media aide equally said Ajaere commended President Bola Ahmed 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.

The government disclosed JET was established in 2018, to build Electric Vehicles (EV) vans, pickups and CNG/Petrol buses designed to meet Nigeria’s unique transportation needs.

The company aims to transition from Semi Knocked down components to completely knocked Down components in the next three to four years, stated Ajayi.

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