CNG Pump Price Increase Not On FG’s Directive – PICNG

The Presidential Initiative on Compressed Natural Gas (PiCNG) has clarified that the federal government did not authorise or direct the recent increase in compressed natural gas (CNG) pump prices.

This clarification comes amid growing concerns from consumers and stakeholders over the sudden hike in the costs of CNG from N230 to N380 per standard cubic metre (SCM) for commercial transport vehicles and N450/SCM for trucks and private users.

The agency’s brands and corporate communications manager, Matilda Johnson, in a statement on Thursday, said that “while pricing matters fall under the purview of the appropriate regulatory agencies, no directive or policy has been issued by the federal government to alter CNG pump prices.”

The PiCNG, however, emphasised that “The recent pump price adjustments announced by certain operators are purely private-sector decisions and not the outcome of any government directive or policy.”

The sector has experienced notable growth supported by the collaborative efforts of government agencies. It has attracted close to one billion dollars in private sector investments, reflecting strong confidence in the market.

“For absolute clarity: while pricing matters fall under the purview of the appropriate regulatory agencies, no directive or policy has been issued by the federal government to alter CNG pump prices,” Johnson noted.

She explained that Picng’s mandate, as directed by President Bola Ahmed Tinubu, is to catalyse the development of the CNG mobility market and ensure the adoption of a cheaper, cleaner, and more sustainable alternative to Premium Motor Spirit (PMS) and diesel across the country.

She affirmed that so far, through the collaboration and commitment of relevant government agencies, the sector has witnessed monumental enthusiasm and growth.

According to her, this progress has already attracted close to one billion dollars in private sector investment, underscoring confidence in the market’s potential.

She emphasised that the recent pump price adjustments announced by certain operators are purely private-sector decisions, not the outcome of any government directive or policy.

“The federal government assures Nigerians that CNG would always remain significantly cheaper, cleaner, and more affordable than PMS and diesel.

“Our focus remains on deepening CNG penetration nationwide and encouraging broader private sector participation to ensure availability and affordability for all,”

PiCNG noted.