According to the Presidential CNG Initiative, the Nigerian federal government has decided to implement 5,000 tricycles that run on compressed natural gas over the course of the following three months.
The P-CNGi Chief Executive and Programme Director, Michael Oluwagbemi, revealed this information on Thursday during the opening of the Luojia Tricycle Assembly facility in Ogun State.
According to Oluwagbemi, the government has implemented a number of incentives, such as remission of customs duties and exemptions from value-added tax for tricycles and other vehicles that enter the nation running on compressed natural gas.
He continued by saying that the initiative would create 6000 indirect jobs and at least 60 direct jobs in Nigeria.
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“The Presidential CNG Initiative, which aims to improve economical and environmentally friendly transportation throughout Nigeria and to minimise the impact of fuel subsidy reduction, includes the 5,000 tricycles as part of the initial units acquired by the government.
More than 6,000 indirect employment and at least 60 direct ones will be produced by it. He said that the government’s tax revenue would rise and economic growth would be enhanced by their partnership with the private sector in executing this project.
The news comes as the government inaugurated a 5.2 million standard cubic feet per day (mmscfd) compressed natural gas (CNG) plant in Lagos on Thursday.
The Nigerian government set the price of compressed natural gas at $1.57 million BTU in April of 2024.
Ministries, organisations, and parastatals were instructed by President Tinubu to buy CNG vehicles.
