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Tag: CNG

  • Taraba customers urge NNPCL to extend CNG vending hours

    Taraba customers urge NNPCL to extend CNG vending hours

    Customers consisting of drivers and park operators have called on the Nigerian National Petroleum Company Limited (NNPCL) to extend the hours of selling the Compressed Natural Gas (CNG) in Taraba state.

    The stakeholders made the appeal as the state-owned oil and gas firm took its ongoing Stakeholders’ Sensitization Programme to the state, where drivers and park operators showed significant interest in usage of CNG.

    The exercise is part of NNPC’s efforts to increase awareness and core understanding of the oil and gas industry’s role in national development while schooling stakeholders on Efficient use of petroleum products. 

    Tagged: NNPC & You, the sensitisation campaign got to a flying start at the popular Taraba State Transport Company (TSTC), Park in  Jalingo with commercial vehicle  drivers and park operators commending NNPCL for the introduction of CNG as a viable alternative to petrol.  

    TSTC Park Manager, Abdullahi Musa while commending the company for the CNG initiative however appealed that the product be made available motorists in the state and called on NNPC Ltd. to extend  hours of operation of Its retail outlets to improve service delivery and eliminate likely queues. 

    At the Jalingo main motor park, Danjuma Hayatu, called on NNPC Ltd. to enforce existing regulations which prohibits the sale of petrol in kegs and jerry cans noting that though “nobody can buy fuel in cans inside NNPC Retail stations” yet we find people hawking fuel on the  streets of Jalingo. 

    At the Pullo Motor Park, Ali Salandy Wukari echoed the CNG request and appealed to the NNPC Ltd. to work out a hire purchase arrangement that would enable drivers and vehicle operators have access to the CNG powered vehicles under a pocket friendly approach.  

    The NNPC Ltd. Team later visited two more  major parks in Taraba namely; The People Choice and NARTO Park where stakeholders’ harped on the need for NNPC Ltd. to sustain the sensitization exercise by making the programme a periodic event and not a one-off activity. 

    Remarkably, the interest shown by drivers and park operators in CNG is a significant development, as CNG  is adjudged  a cleaner and more environmentally friendly fuel option.  

     The sensitization exercise, which was attended by drivers, commuters, and other stakeholders in the community, featured presentations on the safe and efficient use of petroleum products, as well as the importance of adhering to safety protocols at retail stations. 

     Just like the earlier exercise in Maiduguri, Borno state, some lucky stakeholders went home with gift items and freebies following raffle draws at various motor parks.  

  • CNG policy attracts over $1b to Free Trade Zones

    CNG policy attracts over $1b to Free Trade Zones

    •Initiative part of Tinubu’s bold reforms

    Key players in the transport, environmental and oil and gas sectors have identified the Compressed Natural Gas (CNG) initiative of President Bola Tinubu as one of the major drivers of industrialization.

    Speaking at the sensitisation programme on CNG infrastructural development at the Onne, Oil and Gas Free Zones, the Minister of Industry, Trade and Investment, Dr. Jumoke Oduwole, said the initiative remained one of the bold reforms of the President.

    The sensitisation tagged, driving sustainable transportation: accelerating CNG adoption, was organised by the Portland Gas in collaboration with the Oil and Gas Free Zone Authority.

    While addressing the stakeholders, Oduwole said CNG offered a cleaner, cheaper and more sustainable solution for powering vehicles, particularly in the transportation and logistics sectors that underpinned industrial activities.

    Oduwole, who was represented by a Director in the Ministry, Theresa Ogolo, said the event marked a significant milestone in the nation’s collective effort to drive sustainable transportation and transition to cleaner and more efficient energy systems.

     “The adoption of CNG as a viable alternative fuel aligns with the Federal Government’s broader energy transition strategy, she said, adding that “this strategy seeks to diversify our energy mix, reduce carbon emissions, and harness the economic potential of Nigeria’s abundant natural gas reserves.

    “Our presence here today, at Onne Oil and Gas Free Zone is deliberate and strategic. As a hub for innovation, investment, and industrial activity, Onne is ideally positioned to serve as a launching pad for this initiative.”

    She said by developing CNG infrastructure within the zone, the government was setting the stage for widespread adoption across Nigeria and supporting a future where industries and transportation systems thrived sustainably.

    She said the government through the Ministry of Industry, Trade and Investment, was fully committed to fostering partnerships with stakeholders across the public and private sectors.

    “As witnessed today, the strategic collaboration between Oil and Gas Free Zones Authority and Portland Gas limited, on CNG Adoption and development project is an initiative to promote the use of CNG as an alternative cleaner and cheaper energy source tailored towards contributing to the current administration’s transformative agenda”, she said.

    She said to achieve the transformative initiative, emphasis must be placed on engaging stakeholders to a robust and strategic sensitization and capacity building on CNG adoption.

    Read Also: CBN Awards OPay for Financial Inclusion Innovation

    She said transport operators, industrial players and end-users must be educated about the economic and environmental benefits of adopting CNG adding that public awareness, policy alignment and coordinated implementation would ensure seamless and inclusive transition.

    She promised that the Federal Government would continue to provide enabling policies, regulatory support and investment incentives to accelerate CNG adoption.

    The Programme Director/Chief Executive, Pi-CNG, Michael Oluwahbemi appraised the impact of the initiative on the economy describing gas as the fuel for industrialization.

    “Today we are changing the tide through President Bola Ahmed Tinubu”, he said adding that the initiative had so far attracted $459m.

    He said prior to the initiative, there were only seven conversion centers in five states but that the number increased to 153 centres across 23 states.

    The Managing Director, Portland Gas Limited, Folajimi Mohammed, commended President Tinubu for driving the initiative adding that the federal government had demonstrated willingness to subsidise the cost

    He said: “In terms of subsidising the cost, the federal government has identified a few people who they have given the free kits already, so they will make sure the conversation are free of charge.

    “We know that the CNG conversation is pretty expensive but through the Ministry of Finance Incorporated under the Credit Course Scheme, there is a fund call CALM  which is for automatic conversation, light and for solar system”.

    Henceforth, he said the Onne Oil and Gas zone would operate the conversation centre to accelerate CNG adoption for trucks and cars within the zone.

    He said: “The drive for conversation to CNG has been very aggressive by the present administration. The drive has been spreading very fast. As at today, we are not having issues of conversation but refilling, which we believe that the adoption has been very high”.

    On private sector partnership, he said: “Very soon the private stakeholders are tackling the issue of refiling and is going on very well. Basically, if you qualify for that scheme they will give you the funds, almost like a form of a loan, over the time you will pay back”.

    He asked the people not to be skeptical about CNG saying that the initiative had come to stay.

    Already, he said Portland opened about seven stations across Lagos, Abuja and currently in Onne to accelerate the process.

    In his welcome address, the Managing Director/CEO of Oil and Gas Free Zone Authority (OGFZA), Bamanga Jada, commended Tinubu for his bokd and crucial reforms into various sectors of the economy.

    Jada said: “One of His Excellency’s many reform policies, is the Presidential CNG Initiative, an innovative and far-sighted programme introduced by Mr. President as a component of his palliative intervention to provide cheaper and cleaner fueling alternative that will significantly lower the energy cost in the country”.

    He said the free zone authority remained committed to driving and facilitating investments that aligned with Mr. President’s objectives for industrial growth and economic diversification.

    He said: “In this regard, we have specifically designated two of our Free Zones at Liberty Oil and Gas Free Zone, Akwa Ibom State, and the Orashi Energy Free Zone in Imo State for gas and green energy projects, with special focus on gas processing and renewable energy resource development projects.

    “In the last 17 months under the Tinubu-led Administration, OGFZA’s Liberty OGFZ has attracted FDI worth over USD$1bn.

    “More importantly, today’s event reflects the growing confidence that President Bola Ahmed Tinubu’s Reform Agenda is receiving from both domestic & foreign investors alike, and showcases the diligent role that our Honourable Minister is playing in advancing Mr. President’s mandates, especially in promoting the adoption of Compressed Natural Gas (CNG) as a cleaner, efficient and more environmentally friendly energy source”.

    He said Nigeria is acknowledged as Africa’s largest natural gas producer, with over 209 trillion cubic feet (TCF) of proven natural reserves.

    “In recent years, the global energy landscape has undergone tremendous change. Faced with the dual challenges of increasing energy demand and urgent environmental concerns, we must seek solutions that are both efficient and sustainable.

    “CNG stands at the forefront of this endeavor. It is a cleaner, more efficient alternative to conventional fossil fuels, and today, we take a significant step toward embracing its potential”.

  • How CNG is revolutionizing transportation, promoting industrialization, by stakeholders

    How CNG is revolutionizing transportation, promoting industrialization, by stakeholders

    Key players in the transport, environmental and oil and gas sectors have identified the Compressed Natural Gas (CNG) initiative of President Bola Tinubu as one of the major drivers of industrialization.

    Speaking at the sensitisation programme on CNG infrastructural development at the Onne, Oil and Gas Free Zones, the Minister of Industry, Trade and Investment, Dr. Jumoke Oduwole, said the initiative remained one of the bold reforms of the President.

    The sensitisation tagged, driving sustainable transportation: accelerating CNG adoption, was organised by Portland Gas in collaboration with the Oil and Gas Free Zone Authority.

    While addressing the stakeholders, the Minister said CNG offered a cleaner, cheaper and more sustainable solution for powering vehicles, particularly in the transportation and logistics sectors that underpinned industrial activities.

    Oduwole, who was represented by a Director in the Ministry, Theresa Ogolo, said the event marked a significant milestone in the nation’s collective effort to drive sustainable transportation and transition to cleaner and more efficient energy systems.

    The minister said: “The adoption of CNG as a viable alternative fuel aligns with the Federal Government’s broader energy transition strategy. This strategy seeks to diversify our energy mix, reduce carbon emissions, and harness the economic potential of Nigeria’s abundant natural gas reserves.

    “Our presence here today, at Onne Oil and Gas Free Zone is deliberate and strategic. As a hub for innovation, investment, and industrial activity, Onne is ideally positioned to serve as a launching pad for this initiative.”

    She said by developing CNG infrastructure within the zone, the government was setting the stage for widespread adoption across Nigeria and supporting a future where industries and transportation systems thrived sustainably.

    She said the federal government through the Ministry of Industry, Trade and Investment was fully committed to fostering partnerships with stakeholders across the public and private sectors.

    “As witnessed today, the strategic collaboration between Oil and Gas Free Zones Authority and Portland Gas Limited on the CNG Adoption and development project is an initiative to promote the use of CNG as an alternative cleaner and cheaper energy source tailored towards contributing to the current administration’s transformative agenda”, she said.

    She said to achieve the transformative initiative, emphasis must be placed on engaging stakeholders to a robust and strategic sensitization and capacity building on CNG adoption.

    She said transport operators, industrial players and end-users must be educated about the economic and environmental benefits of adopting CNG adding that public awareness, policy alignment and coordinated implementation would ensure a seamless and inclusive transition.

    She promised that the Federal Government would continue to provide enabling policies, regulatory support and investment incentives to accelerate CNG adoption.

    The Programme Director/Chief Executive, Pi-CNG, Michael Oluwahbemi appraised the impact of the initiative on the economy describing gas as the fuel for industrialization.

    “Today we are changing the tide through President Bola Ahmed Tinubu”, he said adding that the initiative had so far attracted $459m.

    He said before the initiative, there were only seven conversion centres in five states but that the number increased to 153 centres across 23 states.

    The Managing Director, of Portland Gas Limited, Folajimi Mohammed, commended President Tinubu for driving the initiative adding that the federal government had demonstrated a willingness to subsidise the cost

    He said: “In terms of subsidising the cost, the federal government has identified a few people who they have given the free kits already, so they will make sure the conversations are free of charge.

    “We know that the CNG conversation is pretty expensive but through the Ministry of Finance Incorporated under the Credit Course Scheme, there is a fund called CALM which is for automatic conversation, light, and solar system”.

    Henceforth, he said the Onne Oil and Gas zone would operate the conversation centre to accelerate CNG adoption for trucks and cars within the zone.

    He said: “The drive for conversation to CNG has been very aggressive by the present administration. The drive has been spreading very fast. As of today, we are not having issues of conversation but refilling, which we believe that the adoption has been very high”.

    On private sector partnership, he said: “Very soon the private stakeholders are tackling the issue of refiling and is going on very well. Basically, if you qualify for that scheme they will give you the funds, almost like a form of a loan, over the time you will pay back”.

    He asked the people not to be skeptical about CNG saying that the initiative had come to stay.

    Already, he said Portland opened about seven stations across Lagos, Abuja and is currently in Onne to accelerate the process.

    In his welcome address, the Managing Director/CEO of the Oil and Gas Free Zone Authority (OGFZA), Bamanga Jada, commended Tinubu for his bold and crucial reforms into various sectors of the economy.

    Jada said: “One of His Excellency’s many reform policies, is the Presidential CNG Initiative, an innovative and far-sighted programme introduced by Mr. President as a component of his palliative intervention to provide cheaper and cleaner fueling alternative that will significantly lower the energy cost in the country.”

    He said the free zone authority remained committed to driving and facilitating investments that aligned with Mr. President’s objectives for industrial growth and economic diversification.

    He said: “In this regard, we have specifically designated two of our Free Zones at Liberty Oil and Gas Free Zone, Akwa Ibom State, and the Orashi Energy Free Zone in Imo State for gas and green energy projects, with a special focus on gas processing and renewable energy resource development projects.

    “In the last 17 months under the Tinubu-led Administration, OGFZA’s Liberty OGFZ has attracted FDI worth over USD$1bn.

    Read Also: Lagos Govt. boosts CNG initiative for sustainable energy

    “More importantly, today’s event reflects the growing confidence that President Bola Ahmed Tinubu’s Reform Agenda is receiving from both domestic & foreign investors alike, and showcases the diligent role that our Honourable Minister is playing in advancing Mr. President’s mandates, especially in promoting the adoption of Compressed Natural Gas (CNG) as a cleaner, efficient and more environmentally friendly energy source”.

    He said Nigeria is acknowledged as Africa’s largest natural gas producer, with over 209 trillion cubic feet (TCF) of proven natural reserves.

    “In recent years, the global energy landscape has undergone tremendous change. Faced with the dual challenges of increasing energy demand and urgent environmental concerns, we must seek solutions that are both efficient and sustainable.

    “CNG stands at the forefront of this endeavor. It is a cleaner, more efficient alternative to conventional fossil fuels, and today, we take a significant step toward embracing its potential”.

  • Fed Govt’s $450m boosts CNG solutions

    Fed Govt’s $450m boosts CNG solutions

    The Federal Government has so far invested over $450million in the Compressed Natural Gas (CNG), Minister of Petroleum Resources (Gas), Ekperikpe Ekpo has said.

    He spoke at the ongoing Practical Nigerian Content (PNC) Forum organised by the Nigerian Content Development and Monitoring Board (NCDMB), in Bayelsa State.

    Ekpo said the gas would be the mainstay of Nigeria’s energy shift, and the government was giving local businesses a chance to engage in gas distribution, processing, and power generation.

    He said the probable replacement for petrol had also been determined to be natural gas in the form of CNG, stating that to encourage other solutions and alternatives to the massive payout from the nation.

    The minister noted that the Presidential CNG initiative had greatly advanced the nation’s cause of switching from PMS to CNG-powered engines.

    He listed the CNG mandate of President Bola Tinubu as an incentive for the adoption of CNG for mobility, allowing for deploying and financing CNG vehicles for mass transit, distributing CNG conversion kits at discount and providing conversion incentives including training.

    He noted that the Presidential CNG Initiative’s role was to facilitate investments in the CNG sector to plug the conversion workshop, infrastructure and CNG supply gaps.

    Read Also: Nigerians will enjoy deregulation gains, says Sunmonu

    He said: “The PCNGI is to enable the regulatory process for CNG to ensure zero incidences while allowing rapid adoption. So far, the initiative has achieved the following tremendous metrics worthy of celebration while offering significant public/private partnerships for enterprises that desire to do business in the CNG space.

    “Over $450million has been invested in the CNG sector covering infrastructure, conversion centres and platforms.”

    Ekpo said 65 mother stations were in various stages of development while 88 new daughter stations are undergoing development with 26 per cent completion.

    He added that over 145 new conversion centres were deployed with an additional 90 in construction phases.

    “More than 150,000 kits were acquired nationwide. 34,000 conversions stimulated. 5,808 CNG & EV Platforms were acquired via the Ministry of Finance. Over 1,000 conversion technicians have been trained,” he said.

    The minister said the theme of this year’s conference—‘Defining the Next Frontier for Nigerian Content Implementation’—is a call to action and a reaffirmation of Nigeria’s commitment to leveraging local capabilities to drive energy security, economic growth, and environmental sustainability.

    He posited that under Tinubu, the gas ministry is aligning its policies with the aspirations of Nigerians, ensuring that local content remains a priority in all facets of our energy strategy.

    To deepen domestic gas utilisation, he remarked that in the last 12 months, two critical gas projects with combined volumes of 600 million standard cubic feet per day were completed—SEPLAT Assa North (300 MMSCF/Day) and SPDC Ohaji South – (300 MMSCF/Day)

    He added that final investment decisions that will guarantee an additional 420 MMSCF/day of natural gas to existing production has been taken through SPDC Iseni Project (90 MMSCF/Day) and Total Ubeta Project (330 MMSCF/Day).

    It was added that critical pipeline infrastructure like the OB3 Gas Pipeline that runs from the Obiafu-Obrikom plant to Oben has achieved 97 per cent completion and the AKK pipeline that runs through Ajaokuta-Kaduna-Kano is currently at 77 per cent completion.

    “The OB3 Gas Pipeline and the AKK Gas Pipeline both present enormous prospects for local businesses engaged in construction, maintenance, operations, and security services as well as gas-based sectors like gas-to -power, gas-to-fertiliser and other manufacturing businesses along the lengthy corridors.

    “By 2030, the country’s current gas production is expected to increase by almost 4 billion cubic feet per day, according to the Decade of Gas plans. At this point, we have accomplished 25 per cent of this goal,” he said.

    He revealed that the ministry is working with the NCDMB to ensure that Nigerian companies are prioritised in the manufacture of components for pipelines, refineries, gas facilities, CNG stations, conversion centres, training facilities and instructors.

    Through the Midstream, Downstream, Gas Infrastructure Fund, he stated that the Tinubu administration has empowered six local companies in the gas value chain to the tune of N122bn.

    “These amounts serve as the Federal Government’s equity in these businesses to help derisk the investments and further enhance the speedy completion of the various gas midstream and downstream projects aimed at pushing gas to the end users and thus enhancing the consumption and utilisation of natural gas in the country”, the minister admitted

  • 10 key factors to consider before converting vehicles to CNG

    10 key factors to consider before converting vehicles to CNG

    As petrol and diesel prices soar, many Nigerian vehicle owners are turning to Compressed Natural Gas (CNG) for its cost-effectiveness and environmental benefits.

    However, transitioning to CNG requires thoughtful planning. 

    Here are ten essential factors to consider before making the switch:

    1. Initial Conversion Costs

    Converting a petrol or diesel-powered vehicle to CNG requires significant upfront investment. The cost of conversion kits, installation, and possible engine modifications can be substantial, though long-term savings on fuel might offset this expense.

    2. Availability of CNG Stations

    While CNG is gaining traction in Nigeria, fueling infrastructure is still limited to major cities like Lagos, Abuja, and Port Harcourt. Prospective users should evaluate the proximity of CNG stations to their daily routes.

    3. Engine Compatibility

    Not all vehicle engines are suitable for CNG conversion. Older models or high-performance vehicles may face challenges. Consulting with a certified mechanic is essential to determine compatibility.

    4. Maintenance Costs

    CNG systems typically require specialized maintenance, including periodic checks of cylinders and pipelines. Ensure access to skilled technicians and consider the associated costs.

    5. Safety Considerations

    CNG is generally safe when handled properly, but improper installation or maintenance can lead to safety risks. Choose a licensed professional for installation and adhere to safety guidelines.

    6. Environmental Impact

    CNG emits fewer greenhouse gases compared to petrol and diesel, making it a cleaner energy source. For environmentally conscious drivers, this is a major advantage.

    7. Government Incentives

    The Nigerian government is promoting CNG adoption through incentives such as tax reductions and subsidies. Stay informed about available programs that can ease the financial burden of conversion.

    8. Vehicle Performance

    CNG-powered vehicles may exhibit slight differences in performance compared to petrol engines, particularly in terms of power and acceleration. Conduct a test run post-conversion to ensure the vehicle meets your expectations.

    Read Also: FG hands over 15 CNG buses to transport unions in Abuja

    9. Resale Value

    Converting to CNG could impact your vehicle’s resale value. While some buyers might see it as a cost-saving upgrade, others may view it as a modification that limits flexibility.

    10. Long-Term Fuel Savings

    While CNG is cheaper than petrol or diesel, the actual savings depend on your driving habits, fuel consumption, and local CNG prices. Calculate your potential cost-benefit over time before committing.

  • Tinubu’s CNG initiative a game changer for Nigeria’s transportation sector – University don

    Tinubu’s CNG initiative a game changer for Nigeria’s transportation sector – University don

    A Professor of Political Science and Public Administration at the National Open University of Nigeria (NOUN), Prof. Bello Kamal, has lauded the federal government’s initiative on Compressed Natural Gas (CNG) car conversion, describing it as a transformative step for Nigeria’s transportation sector.  

    Prof. Kamal stated that the initiative, spearheaded by President Bola Ahmed Tinubu’s administration, fosters innovation and reshaping perspectives on transportation and energy consumption in the country.

    He noted that the development has significantly alleviated the transportation challenges faced by Nigerians following the removal of the fuel subsidy.  

    Refuting media reports that misrepresented his stance on CNG conversion, Prof. Kamal emphasized that the initiative demonstrates the progress of Nigeria’s energy transition programme.  

    Some media outlets had claimed that the professor, who also serves as the Dean of the Faculty of Social Sciences at NOUN Abuja, had publicly refused to convert his vehicle to CNG. 

    However, during an interaction with journalists in Keffi, Nasarawa State, Prof. Kamal dismissed the reports, which had generated significant public attention amidst lingering scepticism about CNG adoption in some quarters.  

     The CNG initiative is a clear indication of forward-thinking policies aimed at reducing the burden of transportation costs for Nigerians while advancing our energy transition agenda,” he clarified.

    Kamal, who is also the Chairman Board of Trustees of the Association of Nigeria Public Administrators (ANPA) said: “I am not against the CNG car conversion policy of the President Ahmed Tinubu-led government. In fact, it is a right step in the right direction, putting into consideration the fuel crisis facing our country, and indeed the climate crisis facing the globe. 

    “It is however unfortunate that some mediums have twisted my sincere concern as regards affordability and the provision of more CNG conversion centres across the country, to represent a hardline position of not supporting the CNG car conversion policy.”

    Professor Kamal also alluded to the fact that he feels some of these mediums may have been sponsored to paint him black or contracted by opposition elements to water down the government’s efforts, particularly in the area of CNG conversion. 

    “I should also not forget to add, that I strongly believe they have been contracted to stampede the CNG conversion policy or have been sponsored to paint me black, either way, I have contacted my legal team to request for the retraction of the mischievous publication. We will be forced to sue them in a court of law should they refuse to act honourably.

    “Once again, for clarity, I, Professor Kamal Bello, a Professor of Politics and Administration fully support the CNG car conversion policy of the Federal Government. I also urge the FG to expedite action on its promise of providing more conversion centres and its plan on making it more affordable for Nigerians”, he said

  • Presidency allays fear over CNG phase-out plan in Malaysia

    Presidency allays fear over CNG phase-out plan in Malaysia

    The Presidency has allayed fears over the safety of Compressed Natural Gas-powered vehicles recently introduced in Nigeria as an alternative to petrol-powered cars.

    The Special Adviser to President Bola Tinubu on Information and Strategy, Bayo Onanuga, dismissed these fears in a post on X on Thursday while responding to reports on Malaysia’s plan to phase out CNG-powered vehicles by 2025.

    The Malaysian government announced plans to phase out CNG vehicles and end the sale of natural gas vehicles by July 2025.

    According to local media source Free Malaysia Today, Malaysia’s Minister of Transport, Anthony Loke, made this announcement at a press conference on Monday. 

    He explained that the decision was intended to protect road users and the public from the potential hazards posed by ageing CNG tanks.

    Loke was quoted as saying: “These NGV tanks have a safe usage lifespan of approximately 15 years, and if they are not replaced, they become unsafe to use and may fail at any time.” 

    From July 1, 2025, CNG-powered vehicles will no longer be registered or allowed to operate in Malaysia.

    However, Onanuga clarified that Malaysia’s policy was focused on the safety of Liquefied Petroleum Gas (LPG) not CNG.

    Read Also: FG ramps up deployment of CNG infrastructure – Official

    He added that Nigeria chose CNG specifically for its safety and cost-effectiveness, with plans underway to develop domestic tank manufacturing capacity.

    Onanuga wrote: “Some clarification on Malaysia’s plan to phase out CNG-powered vehicles:

    “The Malaysian issue relates to the safety of LPG, NOT CNG. In the original report, Transport Minister Anthony Loke stated, ‘There are also some car owners who have modified their vehicles using liquefied petroleum gas (LPG) cylinders, which are very dangerous.’

    “NGV covers both CNG and LPG. Nigeria, in its transition, has adopted CNG ONLY, not both, due to valid safety and cost concerns regarding LPG.”

    Onanuga further noted: “Malaysia’s programme for CNG-powered vehicles struggled, achieving only a 0.2% conversion rate over 15 years. By contrast, nations like India, China, Iran, and Egypt have seen considerable success.”

    He added that Malaysia faced difficulties in replacing 15-year-old tanks due to limited manufacturing capacity, while Nigeria, in its first year of adopting CNG, is already addressing this.

  • ‘100,000 vehicles converted to CNG’

    ‘100,000 vehicles converted to CNG’

    More than 100,000 vehicles have been converted to be powered by Compressed Natural Gas (CNG), the Presidential Initiative on Compressed Natural Gas (PiCNG) said yesterday.

    He said the CNG or bi-fuel configurations will save the owners of such vehicles over 60 per cent in fuel costs.

    According to the PCNGI Project Director/Chief Executive Officer (CEO), Michael Oluwagbemi, about $200 million has been invested in CNG infrastructure development, thus creating thousands of jobs.

    He said that additional conversion centers are being established to meet growing demand, even as he expressed concern over “misinformation” about the initiative in some quarters.

    In a statement,  Oluwagbemi said some reports “did not give a rational and fair assessment” of the initiative, suggesting that the claims were misleading.

    Countering allegations of insufficient conversion centers, he clarified that the number has grown from seven in 2023 to over 140.

    Read Also: Lagos gets seven Police commissioners in seven years

    Dismissing claims that that CNG conversion was financially burdensome for commercial drivers, Oluwagbemi affirmed that under the President’s Conversion Incentive Programme, conversions for commercial vehicles are free.

    The programme, he noted, aims to convert one million commercial vehicles to CNG or bi-fuel within three years, citing support from the National Union of Road Transport Workers (NURTW), which has endorsed the initiative publicly.

    On the safety CNG following the explosion of a cylinder at a filling station in Edo State, the PiCNG statement said it was due to a substandard, uncertified CNG cylinder that failed during refilling.

    Emphasizing the safety of CNG, the administration highlighted that it is “eight times less explosive than diesel and eighteen times less explosive than petrol” and is cleaner and more sustainable for Nigeria’s energy security.

    Oluwagbemi also refuted claims that the government has not demonstrated commitment to the CNG initiative, pointing out that various government agencies, including the Nigerian Army, the Nigeria Police, and the Federal Road Maintenance Agency, have begun the conversion of their fleets.

    He also said that a federal directive mandates all government-purchased vehicles must be CNG-enabled.

    In a bid to make CNG conversions accessible to more Nigerians, the administration is collaborating with banks through the Credit Corp Credit Access for Light and Mobility (CALM) programme.

    The initiative will allow civil servants and private-sector employees to obtain loans for CNG conversions, further expanding access to the initiative’s benefits.

  • Arewa Think Tank lauds Sani on CNG bus launch, wage increase

    Arewa Think Tank lauds Sani on CNG bus launch, wage increase

    The Arewa Think Tank (ATT) has praised Kaduna State governor, Senator Uba Sani, for launching a fleet of Compressed Natural Gas (CNG) buses to provide free transportation for state civil servants, calling it a commendable initiative.

    ATT also welcomed the governor’s approval of a new minimum wage of N72,000 for state workers, which took effect this month.

    In a statement by the ATT Convener, Muhammad Alhaji Yakubu, he noted that “Governor Uba Sani’s approval of a new minimum wage and introduction of free transport for civil servants is highly commendable, reflecting his commitment to workers’ welfare and the betterment of the vulnerable in Kaduna State.”

    Read Also: Gov Sani swears in council chairmen, urges accountability, equity

    Yakubu applauded the launch of the free transport scheme, which includes 100 CNG buses to ease commuting for civil servants, adding that this initiative would help alleviate workers’ burdens and boost productivity.

    He encouraged cooperation between the organised labor and the state government to ensure effective management of the scheme.

    The ATT, however, urged Governor Sani to continue advancing policies that uplift the underserved, and called on the people of Kaduna State to support these efforts to make the state a model of social welfare.

  • CNG investors express concerns over ‘monopoly’

    CNG investors express concerns over ‘monopoly’

    Some marketers have expressed concerns  over  what they  described as  unbridled rights being ceded to a firm, NIPCO by the government.

    They said  that the development  may lead to monopoly.

    Their concerns followed the explosion  at NIPCO CNG gas station in Benin City  a couple of days ago

    They expressed doubts about the competence of NIPCO to solely handle the enormous task being laid in its hands as dispensers of CNG and converter of PMS powered vehicles to CNG.

    A major CNG conversion centre owner in Ibadan, Oyo State, Atolagbe Adeyemo, noted that  Federal Government’s efforts  to bequeath a soft landing for Nigerians in the wake of lingering financial impediments, may be eroded by the preference for NIPCO .

    Adeyemo said preference is being given NIPCO by some  people  so it can dominate the CNG business and then cripple other competitors.

    Government moved in to harp on the usage of CNG as a cheaper and more environmental-friendly means of transportation, as truce to the effects of hike in pump price, occasioned by the removal of fuel subsidy at the twilight of present administration.

    Read Also: Tinubu meets NIPCO executives, commends investments in CNG sector

    Other pundits in the energy sector have also raised eyebrows over the seemingly unbridled rights being ceded to NIPCO at the gas sector, with opinion that such could lead to “unwarranted monopoly” that may create another lacuna in the government’s intention to alleviate poverty through the CNG initiative.

    Clement Craig, an energy expert and ex-official  of ExxonMobil, notified with fear that giving preference to NIPCO Plc by government may spell undue dominance of the CNG initiative and culminate into a monopoly, such that is presently affecting the Nigeria oil sector.

    The recent explosion at NIPCO refilling station, Benin, has caused a lull in patronage to CNG conversions in no small measure, as morales were dampened, particularly around Benin City, many of who were stone-stunned at the sight of the inferno that erupted, ostensibly as a result of laxities on the part of station management.

    Another expert in the sector who spoke on condition of anonymity, said government ought to limit the grant of NIPCO to managing gas station alone. He  described the concession right given to the Indian company on conversion as unjustifiable.

    NIPCO Plc has been enjoying unfettered relationship with the Federal Government  since March 2007, when it made presentation of its CNG project to the Inter-ministerial team of government.