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Independentng.com homepage - Home of Independent Newspapers Nigeria LimitedAbuja taxi project runs into a hitch

Last Updated: Monday, December 13th, 2004 HOME | Previous Page

Abuja taxi project runs into a hitch

 

By Don Bassey

Correspondent, Abuja

The much-awaited Abuja Green Cab taxi project initiated by the Federal Capital Territory (FCT) Minister, Nasir el-Rufai, may have run into a hitch as the London Taxi International (LTI), one of the two car manufacturers selected for the project has cut by half the vehicles required for the take-off of the scheme in January next year.

This comes as Daily Independent investigations revealed that the Abuja project was not listed among LTI’s overseas contracts, which in July this year sent a sample of their car to the FCT Ministry.The British automobile firm named the countries it is doing business with overseas to include the United States, China and Mexico but excludes Nigeria.

In the US, LTI says it has sold 194 taxis to date while it also signed an LOI agreement with Bluestar and Lanzhou Governments in the Peoples Republic of China where project proposal have been submitted and negotiations with Chinese Government are ongoing. Mexico’s license was signed in March 2004 while work is said to be ongoing to establish a production facility. The Abuja project was not listed.

Announcing LTI’s inability to meet the target of 100 cabs for the take-off of the project in January, el-Rufai said the company had informed him it would only provide 50 percent translating to only 50 cabs of the 100 required to start operations in January.

Information posted on LTI’s website also revealed that the company sold 3, 391 of its cabs in 2000, 2,588 in 2001, 2,602 in 2002, 2,320 in 2003 and 2,494 of the cabs so far this year. Its 2004 financial overview shows that the company reduced its losses from N2.5 billion (£10.2 million) to N300m (£1.2 million) with the Vehicles Division posting a N1.07 billion (£4.3m profit). The company also has a Net Debt of N425m (£1.7 million) and a dividend of two Pence.

Peugeot Automobile Nigeria (PAN), the second automobile firm involved in the Abuja Green Cab Project expected to provide another 100 of its 307 models for the scheme Tuesday told our reporter it was ready to meet the number. The company’s Public Relations Manager, Baba Ahmed, told Daily Independent on the phone that the company’s Board Meeting would hold in Kaduna next week to deliberate on the matter.

El-Rufai had, in his Ministerial Press Briefing in April, announced plans to phase out the rickety buses and taxis that ply the FCT roads and replace them with 300 high-capacity buses and 4, 000 uniform taxis from the London Taxi International Company and Peugeot Automobile Nigeria (PAN) respectively.

 

 

 

 

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