The Federal government said an effort has been made to invest N100 billion between now and March 2024 to acquire 3,000 units of 20-seater buses powered by compressed natural gas (CNG).
The president Speaking in a nationwide broadcast on Monday, said his administration places a high priority on enhancing welfare and living conditions.
The national address follows a period of extensive economic challenges that have gripped the country subsequent to the withdrawal of the petrol subsidy. The development quickly shot up petrol prices, making commuting difficult as transportation became almost inaccessible.
Tinubu announced that his administration has granted approval for an infrastructure support fund to aid the states, and they are now intending to allocate N100 billion towards acquiring CNG buses for mass transportation.
“This new infrastructure fund will enable states to intervene and invest in critical areas and bring relief to many of the pain points as well as revamp our decaying healthcare and educational infrastructure,” he said.
“Part of our programme is to roll out buses across the states and local governments for mass transit at a much more affordable rate. We have made provision to invest N100 billion between now and March 2024 to acquire 3,000 units of 20-seater CNG-fuelled buses.”
“The buses will be shared with major transportation companies in the states, using the intensity of travel per capital.
“Participating transport companies will be able to access credit under this facility at 9 percent per annum with 60 months repayment period.
On June 8, 2023, the Depot and Petroleum Marketers Association of Nigeria (DAPPMAN) declared their commitment to donate 100 CNG buses to assist in alleviating the impacts of petrol subsidy removal.
The marketers, led by Winifred Akpani, the managing director (MD) and chief executive officer (CEO), of Northwest Petroleum and Gas Company Limited, made the commitment during a meeting with Tinubu — a week after he announced the removal of petrol subsidy.
Weeks later, Vice-President Kashim Shettima said the federal government would vigorously pursue the mass deployment of CNG vehicles in all states for public transportation.
“The fund will also bring improvements to rural access roads to ease evacuation of farm produce to markets. With the fund, our states will become more competitive and on a stronger financial footing to deliver economic prosperity to Nigerians.
