The Presidential Compressed Natural Gas Initiative (PCNGi) has launched a nationwide Transport Fare Drop Programme, starting in Abuja. This initiative aims to promote Compressed Natural Gas (CNG) as a cleaner and more affordable alternative to traditional fuels amid rising transportation costs.
Representatives of the PCNGi recently signed a Memorandum of Understanding (MoU) with the National Union of Road Transport Workers (NURTW) to cover the Abuja to Itakpe Station—Ajaokuta Train Station—Adavi route. The agreement will facilitate the conversion of fleet vehicles to CNG, leading to fare reductions of 30-40%.
Michael Oluwagbemi, Programme Director of PCNGi, emphasized the government’s commitment to affordable transportation. “We’re working hard to bring transportation prices down during these challenging times. Mr. President has introduced a great alternative to the petrol problem – Compressed Natural Gas,” he stated.
Under the new fare structure, prices for eight-passenger vehicles will decrease from N12,000 to N7,000, while fares for four-passenger vehicles will drop from N13,000 to N8,000 for trips from Abuja to Ajaokuta. “Passengers will benefit significantly from Mr. President’s intervention,” Oluwagbemi noted.
The programme is designed to encourage NURTW members in Abuja to convert their vehicles to CNG in exchange for lower fares. Oluwagbemi announced the expansion of the nationwide commercial incentive programme to 38 centers across several states, including Kaduna, Lagos, and Ogun.
On September 30, the PCNGi will sign an agreement with the Nigeria Police Trust Fund (NPTF) to implement the Nigerian Police CNG Conversion Programme, which will also provide training for cadets to manage the new conversion centers.
In celebration of Nigeria’s 64th Independence Anniversary on October 1, 2024, the PCNGi will launch the CNG Tricycle Empowerment Program in collaboration with the Ministry of Youths, aiming to enable over 2,000 young Nigerians to operate CNG-powered tricycles.
The Kogi State Conversion Incentive Programme will follow on October 2, including the handover of CNG buses to the state’s mass transit authority for interstate routes to Abuja. The week will conclude with a launch in Ekiti State, where new CNG conversion sites will be inaugurated.
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“This initiative aims to ease the financial burden on passengers while creating a sustainable transportation model,” Oluwagbemi explained. CNG is sold at discounts of up to 60% compared to petrol, making converted vehicles more cost-effective.
Ten CNG fuel conversion centers have already been established across Abuja, Itakpe, and Ajaokuta. “This is a win-win situation, as transport workers will save while providing benefits to the Nigerian public,” Oluwagbemi added.
Adeyemo Teslim, Secretary of the NURTW’s Ajaokuta unit, expressed appreciation for the collaboration. “Joining forces will yield multifaceted benefits, which we’re eager to support,” he said, emphasizing the need for expanded coverage.
The agreement includes enforcement mechanisms to ensure compliance with the new fare structure, with Oluwagbemi confirming that violators will need to reimburse the full installation cost.
