In a move towards promoting clean energy and affordable transportation, the Presidential Compress Natural Gas Initiative (PCNGI), in collaboration with Rolling Energy, has announced the commencement of a nationwide Mass Transit Conversion Program.
The initiative aims to convert mass transit vehicles to cleaner energy sources, significantly reducing emissions and promoting environmental sustainability.
The announcement was made at the launch of the conversion and refueling site in Ilorin on Wednesday. The PCNGI, a flagship program of President Bola Tinubu’s administration, is dedicated to promoting clean energy solutions across Nigeria. Through strategic partnerships and innovative projects, PCNGI aims to reduce the environmental impact and support the transition to sustainable energy for the transport sector.
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The initial phase of the conversion program will be rolled out in Lagos, Kwara, the Federal Capital Territory (FCT), and Rivers States. This phase will be executed in partnership with major transport unions, including the National Union of Road Transport Workers (NURTW), the Road Transport Employers’ Association of Nigeria (RTEAN), and the Nigerian Association of Road Transport Owners (NARTO).
To ensure the success of the program, the rollout will commence in eight of over 120 designated conversion workshop sites. Key union partners will have the opportunity to observe, evaluate the conversion process, and provide valuable feedback as the initiative plans to scale up operations across 15 states over the next 45 days. The rollout will be backed by a 50 percent discount on equipment and kit costs, as well as support for qualified union members for installation costs.
Government Commitment to Clean Energy
The PCNGI and Rolling Energy are committed to driving Nigeria towards a more sustainable future. Establishing the Ilorin site and the nationwide conversion program are pivotal steps in reducing the carbon footprint and enhancing the efficiency of mass transit systems. Interested public members are encouraged to visit Femadec, FixIt45, and Portland in Lagos, NITT, Nipco in Abuja, Total Support and Femadec in Abuja, and Rolling Energy in Ilorin for conversion.
This development comes after the Presidency announced plans to launch 2,700 CNG-powered buses and tricycles before May 29, marking President Tinubu’s first year in office. The federal government aims to deliver 100 conversion workshops and 60 refueling sites spread across 18 states before the end of 2024.
The Back Story: Addressing Fuel Subsidy Removal
The PCNGI initiative is part of the government’s broader efforts to cushion the effects of the recent removal of fuel subsidies. The removal of fuel subsidies in May 2023 has led to a significant increase in fuel prices, impacting transportation costs and the cost of living. The government aims to provide a more affordable and environmentally friendly option for mass transit by promoting the CNG as an alternative fuel.
The removal of fuel subsidies has been a contentious issue in Nigeria, with widespread protests and public outcry. The government argues that subsidies are unsustainable and that the funds can be better utilized for development in other sectors. However, the immediate impact on fuel prices has placed a burden on the populace, particularly in the transportation sector.
The PCNGI initiative aims to mitigate these effects by providing a cleaner and more cost-effective alternative. The transition to CNG is expected to reduce transportation costs and provide long-term economic benefits by decreasing the country’s reliance on imported petroleum products.
However, the success of the PCNGI initiative will depend on effective implementation and collaboration between the government, transport unions, and private sector partners. By providing financial incentives and technical support, the program seeks to ensure a smooth transition and encourage widespread adoption of CNG.
The establishment of conversion workshops and refueling sites across the country is a critical component of this strategy. If successful, the program could serve as a model for other countries in the region, demonstrating the potential of clean energy solutions to address economic and environmental challenges.