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Home Economy

FG to spend N36bn to convert 30,000 CNG vehicles

by Editor
July 25, 2024
in Economy, News
Reading Time: 2 mins read
0
Analyst Advocates CNG as Safer, Affordable Substitute for Petrol
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By Femi Akinola

The Federal Government has taken a bold move to covert 30,000 petrol and diesel powered vehicles to run on Compressed Natural Gas (CNG) within the next three months, with estimated expenditure of N36 billion.

The government has also procured 30,000 CNG conversion kits, each valued at N1.2 million for nationwide distribution free of charge.

This move, NatureNews gathered, is part of the Presidential Compressed Natural Gas Initiative (PCNGi), targeted at promoting adoption of CNG as an alternative transportation fuel in the country.

During the Park to Park CNG Mobilisation programme that took place at Ojota motorpark, Ojota, Lagos, the Project Director and Chief Executive Officer PCNGi, Michael Oluwagbemi, outlined the government plan.

According to him, the current administration at the federal level is committed to replacing costly petrol and diesel with CNG to lower transportation cost and, by extension, reduce high cost of food items.

He said: ”The President has instructed us to distribute one million CNG kits to commercial drivers across Nigeria as palliatives. We have already acquired 30,000 kits for immediate distribution over the next three months. This will directly benefit commercial transport workers.”

Oluwagbemi also announced the construction of more CGN stations, where drivers can purchase CNG at less than N250 per kilogram. He emphasised that this initiative marks the end of highly priced fuel, noting that CNG will be available at much lower cost.

Furthermore, he disclosed that 150 drivers in Lagos would be given vouchers for free vehicle conversion at any of the 14 designated workshops in the state, adding that installers of these kits are with them on the CNG sensitization program and will sign agreement with them to ensure seamless conversion.

Oluwagbemi also highlighted environmental and economic benefits saying, ”CNG is good for our pockets, the environment, and the food we eat. It lowers transportation cost which will lead to crashing high cost of food.”

In his remark at the occasion by the Special Adviser to Governor Babajide Sanwo-Olu, Sola Giwa expressed optimism that the CNG conversion initiative would reduce transportation cost by 50%.

He revealed that the Lagos State Transport Management Authority (LASTMA) is now equipped with modern technology to assist in identifying traffic violators.

The new technology that has been deployed recently will make it practically impossible for traffic rules violators to escape particularly when such car owner have pending fines on traffic offences.

The traffic rule offences in Lagos includes driving with expired driving licence, roadworthiness, insurance including driving against traffic (One Way drive), among others.

Checks about the workings of LASTMA App shows that once a vehicle is captured by the App, and register the owner as an offender with unsettled fines as a result of traffic violation, the car owner will simply get a yellow sticker on his or her vehicle as a reminder to settle any understanding fines within a 30 day period.

Failure on the part of the car owner to pay the outstanding fines after the expiration of 30 days ultimatum will result in the car being impounded.

 

 

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