In an ambitious move to promote the adoption of Compressed Natural Gas (CNG) as an alternative fuel for transportation, the Federal Government of Nigeria has announced plans to spend an average of N36 billion over the next 90 days. This expenditure will facilitate the conversion of 30,000 petrol and diesel-powered vehicles to CNG.
The government has procured 30,000 CNG conversion kits, which will be distributed nationwide free of charge within this period. Each kit, along with the associated conversion costs, is valued at approximately N1.2 million per vehicle. This initiative underscores the government’s commitment to reducing reliance on more expensive and environmentally harmful fuels.
Michael Oluwagbemi, the Project Director and Chief Executive Officer of the Presidential Compressed Natural Gas Initiative (PCNGi), revealed these details during the Park to Park CNG Mobilisation program held at Ojota Park in Lagos on Saturday. He highlighted President Bola Tinubu’s dedication to this initiative, aiming to replace high-priced petrol and diesel with CNG to lower transportation costs and, consequently, reduce the cost of food items.
Oluwagbemi also mentioned that President Tinubu intends to distribute one million CNG kits to commercial drivers across Nigeria as part of the government’s palliative measures. “Today, we are here with conversion kits. We have bought over 30,000 of these kits, mainly for distribution in the next 90 days. This will ensure that commercial transport workers can benefit directly from the palliative of the Federal Government. For this reason, we are here in Lagos. Ogun, Ekiti, Osun, and Oyo state they are also here with us,” he stated.
The government’s plan does not stop at these 30,000 kits. The ultimate target is to distribute one million kits, ensuring widespread adoption of CNG among commercial transport workers. This initiative is expected to significantly lower fuel costs, with CNG anticipated to be available at below N250 per kilogram, compared to the current fuel prices ranging from N750 to N1,000 per liter.
In addition, the government is constructing more CNG stations to make the commodity easily accessible. Oluwagbemi added that about 150 drivers would receive vouchers to convert their vehicles for free at one of the 14 designated workshops in Lagos. “The installers of these kits are here with us, 14 of them are with us. We will sign an agreement with them. We will still get 1,000 of these CNG converters. Some of you will get the vouchers for the free conversion. We will start gradually and before you know it, everybody will start using CNG,” he explained.
Sola Giwa, the Special Adviser to the Lagos State Governor on Transportation, expressed optimism about the initiative, predicting that the conversion to CNG would reduce transportation costs by 50 percent.
Oluwagbemi emphasized the multiple benefits of CNG, noting that it is cost-effective, environmentally friendly, and would lead to lower food prices due to reduced transportation costs. “CNG is good for our pockets, the environment, and the food we eat. The prices of food will come down when the cost of transportation comes down. This is the promise of the government. This will get to all of you,” he promised.
