President Bola Tinubu has announced plans to distribute gas-powered mass transportation buses nationwide.
Tinubu made the announcement in his Monday evening address to alleviate the economic hardships resulting from the removal of fuel subsidy.
According to the President, his administration will introduce 3,000 units of 20-seater buses, which will be distributed across states and local governments for mass transit.
The ambitious project will be supported by an investment of N100 billion, to be completed by March 2024.
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The buses will be powered by Compressed Natural Gas (CNG), a clean and eco-friendly alternative to traditional petrol and diesel fuel.
Subsidy Removal: N1 Trillion Saved in 60 Days – Tinubu
Part of Tinubu’s speech read:
“Part of our programme is to roll out buses across the states and local governments for mass transit at a much more affordable rate. We have made provision to invest N100 billion between now and March 2024 to acquire 3000 units of 20-seater CNG-fuelled buses.
“These buses will be shared to major transportation companies in the states using the intensity of travel per capital. Participating transport companies will be able to access credit under this facility at 9% per annum with 60 months repayment period.”
Tinubu had planned to distribute funds to the poor (8,000 naira per household for six months) instead of taking practical measures with immediate and long-term returns.
The move was widely criticized as financially unwise, prompting him to review the plan for more viable options, some of which he revealed in his speech, including plans to create a new social register to carry out such interventions.
The use of CNG was widely commended for its affordability, cleanliness, and absence of lead and sulphur.
