Oando Plc, a leading energy company in Nigeria, has announced plans to introduce 5,000 electric buses in Lagos as part of its effort to promote cleaner energy in public transportation. This initiative is in partnership with the Lagos State Government and aligns with the company’s commitment to a sustainable energy transition.
Wale Tinubu, the Group Chief Executive Officer of Oando Plc, revealed this during an interview with CNBC Africa at the World Economic Forum in Davos, Switzerland. According to Tinubu, this move is part of Oando’s broader strategy to adopt environmentally friendly solutions while addressing the challenges of energy poverty in Africa.
Why Electric Buses?
Tinubu explained that focusing on electric vehicles (EVs) is part of Oando’s commitment to reducing carbon emissions globally. He emphasised the need for a “just energy transition,” which recognises Africa’s unique challenges, including the fact that nearly half of the continent’s population lacks access to reliable electricity.
“We cannot abandon our natural resources like gas entirely,“ Tinubu said. “We must use them as transitional fuels while also introducing cleaner technologies like electric buses to meet our energy needs.”
The Impact of Electric Buses
The introduction of 5,000 electric buses is expected to significantly reduce greenhouse gas emissions. Tinubu noted that transportation accounts for about 10% of global emissions. Switching Lagos’ public transport system from diesel and petrol buses to electric vehicles could cut these emissions by nearly half.
“This initiative is a critical step in reducing Lagos’ carbon footprint,“ he added.
The buses will be powered using electricity generated from natural gas, ensuring a steady energy supply while minimising the environmental impact.
Other Innovations by Oando
In addition to EVs, Oando is exploring the use of artificial intelligence (AI) in its oil and gas operations to enhance efficiency. Tinubu stated that AI could play a major role in optimising drilling activities, cutting costs, and improving decision-making processes.
“AI is a game-changer,” Tinubu said. “It will allow us to make smarter choices in our operations, saving time and resources.”
A Broader Vision
Oando’s efforts to deploy electric buses and integrate AI technologies highlight its commitment to balancing environmental sustainability with economic growth. Tinubu reiterated that Africa’s transition to clean energy must consider the realities of energy poverty and the need for economic development.
“Our focus is on solutions that meet the needs of our people while contributing to global efforts to combat climate change,” he explained.
What You Should Know
- Oando acquired the Nigerian Agip Oil Company (NAOC) in 2024, increasing its oil and gas reserves.
- Earlier this year, Oando was awarded operatorship of Block KON 13 in Angola’s Kwanza Basin.
- This project with Lagos State is part of Oando’s efforts to transition Nigeria’s public transport system to cleaner energy sources.
Oando’s bold steps could pave the way for other cities in Nigeria and across Africa to adopt sustainable public transport systems, reducing environmental impact while improving urban mobility.
