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Federal Government under President Bola Tinubu is targeting over 25,000 job creation and $2.5bn worth of investment from the Compressed Natural Gas (CNG) scheme in the nation’s economy by 2027.
The Programme Director and Chief Executive of the Presidential Compressed Natural Gas Initiatives, Michael Oluwagbemi the announcement on Friday, during the Presidential CNG stakeholders’ engagement workshop, held at BOVAS Auto-Gas filing stations, Ajibode Bus-Stop in Ibadan, Oyo State capital.
According to Oluwagbemi, the initiative, which was part of palliatives on the removal of fuel subsidy, would attract enormous investment and job creation that would impact positively on the lives of Nigerians.
The Mr Oluwagbemi, urged Nigerians to embrace the new initiatives by the Federal Government as part of palliatives to cushion the effect of removal of fuel subsidy in the country.
“Recall that October 1, 2023, when the President gave his speech, he announced that the Presidential CNG initiatives was going to be rolled out as part of palliatives on the removal of fuel subsidy and one of our major concern is to make sure that the transition for the transportation sector is cheaper, safe and more reliable source of energy was under pinned by affordability as well as accessibility.
“In the coming weeks, we are going to be announcing the conversion incentives programme which will enable Nigerians currently using PMS and Diesel fuel vehicles to be able to convert their vehicles at designated places across the country at a discounted price based on certain pre qualification under the palliative program of the Federal Government.” He said.
On the value chain of the initiative, Oluwagbemi explained that the Federal Ministry of Finance was acquiring a number of tricycles and buses that will be assembled and manufactured in Nigeria, with more than five automobile firms been activated.
He said, “The President has said we need to convert one million vehicles by 2027, we need 1,000 conversion shops, and we need over 3,000 filing stations just like this. You can imagine the level of investment required for this.
“In order to sustain one-million-vehicle conversion by 2027, we need 25,000 technicians. So, the job creation potential is there. In addition to our gross domestic product, $2.5bn worth of investment to be mobilised in the next four years and of course more than $25bn added to our GDP.”
The representative of BOVAS filing stations, a private investor in the Presidential CNG Initiatives, Temitope Samson, said, “What we have done is that we have worked with the regulators; we are also working with the Presidential Initiatives on CNG to make sure that standard safety is adhered to.
“We have also worked with the Standard Organization of Nigeria to ensure that we have a standard that is accepted internationally.”
