The Femadec Group, in partnership with the Federal Government, will on May 5, 2022, begin the deployment of compressed natural gas-powered mass transit buses in Abuja, the nation’s capital.
Mr Fola Akinnola, the Chief Executive Officer, Femadec Group, confirmed the development in an interview, in Lagos.
Akinnola said the move was part of the actualisation of the Federal Government’s autogas policy which was launched in December 2020 by President Muhammadu Buhari.
According to him, the mass transit scheme, which will be operated by Femadec Express, a division of the company, is starting with 20 buses manufactured by Hyundai in South Korea.
Akinnola explained that Compressed Natural Gas (CNG) buses were cheaper to operate and also environmentally friendly as the world was moving toward cleaner sources of energy.
Speaking on the company’s expansion plan, he disclosed that the company was planning to acquire a total of 100 CNG buses by the end of the year.
“Our plan this year is to hit 100 buses. Apart from these 20, we are in conclusion of another 10 from the manufacturers, Hyundai in South Korea.
“They will be delivered in the next one month. Then by August or September, we plan to bring in another 30 while we are targeting a total of 100 buses in our fleet by December.
“We are also looking at September to kickstart the scheme in Lagos and we are engaging the Lagos Metropolitan Area Transport Authority.
“By then, the refueling centre would have been in place at our facility in Abijo on the Lekki-Epe Expressway, Lagos.
“We also intend to establish a CNG conversion centre there so that vehicle owners can convert their cars from petrol and diesel to autogas,” Akinnola said.
He noted that the gas penetration policy would create employment opportunities for young Nigerians and boost the nation’s economy.
Akinnola, however, called on the government to create an enabling environment by granting import waivers for those investing in the gas sector as a way of accelerating its development.
Also, Mr Oluwakayode Oyegoke, Head, Gas, Nigerian Midstream and Downstream Petroleum Regulatory Authority (NMDPRA), said the government would continue to create the enabling environment to drive investment in the sector.
Oyegoke said the NMDPRA, as a business enabler, was available to guide investors to ensure that the gas penetration policy of the government and the National Gas Policy was effectively cascaded down to the citizens.