The Federal Government says the next phase of its compressed natural gas (CNG) programme will focus on ensuring that passengers benefit directly from savings made by commercial transport operators using CNG.
Executive Chairman of the Presidential Initiative on Compressed Natural Gas and Electric Vehicles, Ismaeel Ahmed, said operators could save between 60 and 70 per cent on fuel costs by switching from petrol to CNG, but such savings should translate into lower fares for commuters.
Ahmed, who spoke in an interview on Arise News on Monday, said the government was engaging state governments and CNG operators to ensure that cheaper fuel costs were reflected in public transport fares.
“In 2.0, our drive is to say that the final destination is the passenger,” he said.
“If the operator of the vehicle is saving 60 to 70 per cent from gas as opposed to what he would have spent on petrol, and he’s not transferring it, then the purpose of having a cheaper fuel for transportation has been defeated.”
Ahmed said the CNG programme had expanded significantly since 2023, with 96 refuelling stations, more than 400 conversion centres and about 120,000 vehicles converted nationwide.
He said the figures represented a sharp increase from fewer than 10 CNG refuelling stations and about five conversion centres in 2023, when only slightly more than 100 vehicles had been converted.
According to him, the government has now moved beyond proving that CNG can work in Nigeria to scaling up its adoption across the country.
“Our focus right now is scale. The proof of concept has already been proven. People are moving in droves and converting in droves,” Ahmed said.
He noted that Nigeria had about 12 million vehicles, with commercial vehicles accounting for between 55 and 60 per cent, making the sector critical to the success of the transition from petrol and diesel.
Ahmed said the government initially supported free vehicle conversions to stimulate demand, while private-sector investment had helped expand the refuelling network.
He, however, acknowledged that CNG infrastructure could not be expanded as quickly as conventional petrol stations because each facility requires gas sources, pipelines and compression infrastructure.
The official said the number of CNG refuelling stations had risen to 96 from about three or four in 2023.
Ahmed also urged motorists to use only approved conversion centres and certified kits, warning against roadside conversions and the use of LPG cylinders for CNG vehicles.
He said the government was working with relevant authorities to clamp down on unapproved conversions, stressing that properly converted vehicles were safe when the prescribed standards were followed.
Ahmed also advocated a policy requiring commercial vehicles to switch to natural gas or electric power, arguing that this would reduce transport costs and shield the domestic economy from fluctuations in international oil prices.
“Natural gas should be our fuel of choice. This should have started 10 years ago,” he said.
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