By Moses Akaigwe
Innoson Vehicle Manufacturing Company (IVM) last Tuesday demonstrated the capacity to provide solutions to the transportation problems faced daily by Nigerians, which have been aggravated by the recent increase in fuel prices.
The IVM plant in Nnewi, Anambra State, has not only mass-produced CNG (compressed natural gas) and liquefied natural gas-powered mass transit vehicles, trucks and passenger cars, but has also shown that it has what it will take to manufacture at least 500 units if tasked with large orders.
This was the observation by the Anambra State Commissioner for Industry, Christian Udechukwu, while on a visit to the IVM plant in Nnewi, where the auto manufacturer displayed hundreds of sundry vehicles, including the much applauded mass transit buses that run on CNG, LNG, diesel, and can also be powered by electric motor.
Udechukwu spoke after being taken on a tour of the factory and inspection of the array of IVM-badged vehicles by the Innoson Group Chairman, Dr. Innocent Chukwuma,
He disclosed that his visit to IVM was at the instance of the Anambra State Governor, Prof. Chukwuma Soludo, who wanted a feedback on how Innoson, like the state, “is getting ready for the solutions to the challenges that are presently facing Nigeria.”
The Commissioner said the Anambra State Government is delighted that Innoson has vehicles that are powered by non-fossil alternative energy, like CNG, LNG, and electric motor.
He, therefore, advised government at various levels to take advantage of the Innoson initiative of manufacturing vehicles with varied alternative energy options, to address the situation in the mass transit which has been made more critical by the upward review of the prices of petroleum products following subsidy termination.
The Anambra Industry Commissioner remarked, “The withdrawal of the fuel subsidy by the federal government has created a shock in the system, where for example, the NNPC Limited has quadrupled by almost 200 percent, the price of fuel.
“That has shocked the transport system. And that is why there is restiveness in the labour congresses (NLC and TUC) and other regular Nigerians. I am a little bit agitated that the cost of transportation has increased substantially and one of the ways by which the government can alleviate that is by introducing mass transportation system that run on alternative energy as well as the ones that run on fuel.
“But the more you have the ones that run on gas, solar powered and liquefied natural gas, the greater you have the pressure for stability in the regular fuel price, because there is an existence of alternative fuel choices. And Innoson offers those alternative choices. That is why we are here.”
Udechukwu was optimistic that the Anambra State Government which has a good number of the IVM vehicles in its official pool of vehicles, is confident that Innoson has what it takes to provide mobility solutions that will contribute to making life easier and transportation more affordable, reliable and more dependable for Nigerians as they move around.
“This is a solution that Nigerians need today. And it is not far-fetched. It is local and the capacity and skill are there. All we need is for the public sector, and government at all levels to look for local solutions, and Innoson is one.”
Commenting on IVM’s installed capacity, Chief Chukwuma explained that the auto plant normally produces vehicles in response to demand swing, disclosing that they proactively commenced the mass production of autogas-powered buses and other vehicles in view of the termination of fuel subsidy.
The Innoson Group Chairman further stated, “Apart from these many vehicles you are looking at, we have materials on ground to manufacture up to 500 units in a very short period. We can produce 20 units daily.
“Innoson Vehicles was set up even before the present challenges came up. We did not set up the factory because of today. We set it up to serve Nigerians from all tribes. I told you that when there was COVID-19 in 2020, most of the ambulances used in this country were produced here.
“Today, it is obvious that it is buses that Nigerians need and we will produce for them and we are assuring them that the materials to be used will not be an issue. We are going to satisfy them. The important thing is for people to place their orders. Let all the states give us orders. We are ready to supply and satisfy them at very good prices.”
Chukwuma said the policy of producing vehicles with various energy sources like CNG, LNG, petrol, diesel and electric, is geared towards enabling Nigerians choose the one with the option that is available in their areas.
“If you want electric, we power it with electric, if you want CNG, LNG or petrol/diesel, we will produce it for you. But I have the space, such that we produce what you want and we have the capacity. If you watch now, we started producing these buses because of the fuel price increase. In our production line, 20 units come out on daily bases,” Chukwuma told journalists.
Both the visiting Industry Commissioner and his host warned against the usual resort to importation of buses to cushion the effects of subsidy removal and the resultant rise in transport fares, insisting that to do so at this point would amount to a deliberate frittering of foreign exchange.
Chief Chukwuma stated, “Anybody who goes to overseas to import buses is wasting foreign exchange for this country. Everybody must work together to move this country forward. How can we go overseas to buy buses while we are here producing and exporting to other countries.. It is very wrong. So I feel that anybody who is thinking of importing buses into the country is wasting our foreign exchange. And we have to hold that person responsible.”
Udechukwu drew attention to the large number of vehicles already manufactured, as well as the the capacity demonstrated to produce more, and said that as assured by the Innoson Chairman, the plant is ready to execute any large order within a short time.
The Commissioner argued, ““It means that, if there is an order that comes through, he will be able to ramp up production. That is really what we need. We are lucky today that we have local industries that have the capacity to manufacture on a mass scale.
“Even though the government orders vehicles {from overseas}, in the time it would take the vehicle orders to be placed and for the procurement process to come through and all of that, Innoson would have been able to solve that problem. The best option that we have is to challenge our local industrialists to expand and grow.
“There is no nation on earth today where the government spends its own procurement funds overseas. America is increasingly domesticating their spending. They have a law that ensures that Americans buy America first. Europe has the same policy and almost all industrial countries in the world buy services and goods from their own people before they look overseas.”