By Abimbola Ogunnaike
The Presidential CNG Initiative has confirmed that Federal Government has concluded plans to roll out 5,000 Compressed Natural Gas-powered tricycles over the next three months.
The Programme Director and Chief Executive of P-CNGi, Michael Oluwagbemi, made this disclosure on Thursday, 30 May, 2024 at the inauguration of the Luojia Tricycle Assembly plant in Ogun State.
Oluwagbemi said the government had introduced several incentives, including Value Added Tax exemptions and Custom duty waivers for CNG-powered tricycles and other vehicles entering the country.
He added that the program would generate at least 60 direct jobs and 6000 indirect jobs in Nigeria.
“The 5,000 tricycles form part of the initial units acquired by the government under the Presidential CNG Initiative, which aims to enhance affordable and eco-friendly transportation across Nigeria and to mitigate the impact of fuel subsidy removal.
“It will generate at least 60 direct jobs and over 6,000 indirect jobs. This collaboration with the private sector in implementing this initiative would boost economic growth and increase tax revenue for the government,” he said.
The development comes as the Government on Thursday, 30 May, 2024 commissioned 5.2 million standard cubic feet per day, mmscfd Compressed Natural Gas, CNG plant in Lagos.
In April 2024, the Nigerian government fixed the price of Compressed Natural Gas at $1.57MMBtu.
President Tinubu had ordered ministries, agencies and parastatals to purchase CNG vehicles.
