Oyo govt, firm sign MoU on CNG-powered transport system

Oyo State Government and Atlas Core Energy & Logistics have signed a 20-year landmark public-private partnership deal to accelerate the CNG-powered transport system in the state.

Under the partnership with the Oyo State Pacesetter Transport Service (PTS), Atlas Core will deliver and operate a world-class CNG refuelling facility within the Pacesetter premises in Ibadan, support the rollout of CNG-powered buses, and enable large-scale fleet conversion across the state.

Pacesetter Transport Service currently operates with about 50 CNG buses, with clear plans to expand its fleet in the future.

The agreement, backed by a 20-year Memorandum of Understanding (MoU) signed with the Oyo State Government, has positioned Atlas Core as a strategic private-sector partner supporting the Federal Government’s Presidential Initiative on CNG (Pi-CNG) and Nigeria’s long-term net-zero greenhouse gas emissions target for 2060.

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Speaking on the partnership, Chief Executive Officer, Atlas Core Energy & Logistics, Dr. Owoade Emmanuel, said: “The Ibadan CNG facility, our partnership with Pacesetter Transport Service, and the signing of this MoU with the Oyo State Government are practical steps towards reducing commuter costs, lowering carbon emissions, and demonstrating that public-private collaboration can successfully scale the Pi-CNG initiative across Nigeria.”

He further emphasised the company’s vision and mission to build the infrastructure that makes cleaner and more affordable transport systems possible, while reducing reliance on combustion-based transport fuels and lowering per-kilometre operating costs for buses and logistics operators.

“These outcomes are directly aligned with Nigeria’s energy transition objectives and local priorities for accessible mobility,” he said.

He added that the recent inauguration of modern CNG infrastructure in the state further underscores strong acceptability at the sub-national level to promote affordable, sustainable, and efficient public transportation systems, adding that Atlas Core’s intervention directly aligned with the momentum.

Representing the Governor of Oyo State, Seyi Makinde, at the MoU’s signing, Chairman and Sole Administrator of Pacesetter Transport Service, Dikko Salami, emphasised that the expansion of CNG-powered transport reflected the administration’s commitment to sustainability and cost efficiency.

“These 50 new buses and the CNG station represent more than assets; they symbolise a cleaner, smarter, and more dependable future for Oyo State as a whole,” he said.

The company welcomed the government’s endorsement and reaffirms its commitment to working closely with the state authorities, ensuring the partnership delivers measurable economic, environmental, and operational benefits to everyday commuters, businesses, and the wider transport ecosystem.