The Presidential Initiative on Compressed Natural Gas and Electric Vehicles (Pi-CNG & EV) has welcomed moves by President Bola Tinubu and state governors to ensure that the lower cost of Compressed Natural Gas (CNG) translates into cheaper transportation for Nigerians.
Tinubu, following discussions with the Nigeria Governors’ Forum (NGF) announced that the governors had resolved to take measures to reduce transportation costs in their states, with a focus on leveraging the cost advantages of CNG and electric vehicles.
According to the president, the federal government had already made significant investments in the transition, with more than 120,000 vehicles converted to CNG nationwide and over 100,000 additional conversion kits in the pipeline. He also highlighted the continued expansion of conversion centres and refuelling infrastructure across the country.
A statement by the Pi-CNG office noted that through the Midstream and Downstream Gas Infrastructure Fund (MDGIF), more than 100 gas projects are currently being financed, including 15 CNG mother stations and 86 daughter stations.
Tinubu also directed the rollout of an additional 500 CNG refuelling stations, bringing the planned nationwide programme to 1,000 stations.
Reacting to the development, Executive Chairman/Chief Executive of Pi-CNG & EV, Ismaeel Ahmed, described the position of the governors’ forum as an important step towards ensuring that investments in the CNG ecosystem deliver direct benefits to citizens.
He said: “I am particularly pleased with the position taken by the Nigeria Governors’ Forum on the proposed CNG transit programme. We have spent the last few years building the ecosystem, expanding conversions, infrastructure and private sector participation.
“What we need to move the impact further is deeper collaboration among the federal government, states, the private sector, transport unions and operators, financial institutions, development partners and other critical stakeholders to take the benefits directly to the people.”