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Federal Gov’t Expands Distribution Of CNG Conversion Kits

by Chika Izuora
1 year ago
in Business
CNG
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Federal government, through the Presidential CNG Initiative (P-CNGi), has sustained distribution of Compressed Natural Gas (CNG) conversion kits across the country.

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The kits are to accelerate conversion by commercial and private vehicle owners as the government moves to achieve its target on new automotive fuel transition.

Speaking to the media on Friday, at -NipCo CNG facility in Ogun State, a representative of the P-CNGi, Moses Onate, said about 1,000 kits are being moved to Abuja, Kaduna, Lagos, Oyo states as following interventions by government to make the kits available for vehicles conversation. Onate expressed excitement at the level of enthusiasm by the public since the exercise commenced.

Speaking also, an engineer with NipCo Nwaodu Austin Chinedu, confirmed that the company’s warehouse is consistently stocked and that the distribution has been going on smoothly across the country.

Chinedu said, the partnership between NipCo and the Agency has provided the public the opportunity to facilitate vehicle conversion opportunities.

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Recall that the P-CNGi had earlier signed an MoU with conversion workshop owners to convert one million commercial transport petrol vehicles to CNG by 2027.

The ceremony which was held in Abuja included partners like NIPCO Gas, Portland Gas Ltd., Fix It 45, ABG Oil, and the Nigeria Institute of Transport Technology (NITT).

Michael Oluwagbemi, P-CNGi CEO, stated that the programme aims for the highest global vehicle conversions, identifying 2,000 workshops nationwide, with 123 already selected.

Unionised commercial operators, including RTEAN, NATO, and NURTW, will start conversions at five FCT workshops, expanding nationwide.

Ride-sharing operators like Bolt and Uber will get a 50 per cent discount on conversion equipment and free installation, with the government covering the rest and offering instalment payments.

Equally, NIPCO Gas Limited is partnering with the Nigeria National Petroleum Company Limited to expand the AutoCNG infrastructure nationwide by providing an alternative fuel option for motorists.

The managing director, NIPCO Gas, Nagendra Verma, while giving an update on the company’s efforts in growing use of gas as vehicular fuel across the nation and its pipelines expansion projects  in Lagos said the partnership is supporting government fuel transition efforts.

According to him, the company has been at the forefront of AutoCNG development since its inception in 2009. He noted NIPCO Gas has 15 AutoCNG stations across Nigeria, stretching from Benin City to Ibafo in Ogun State and Kogi State.

Our Correspondent reports that, in a strategic move to reduce fuel costs and provide Nigerians with an affordable alternative to petrol and diesel, President Bola Ahmed Tinubu penultimate week enabled Compressed Natural Gas (CNG) to be available for vehicles at N230 per litre.

This initiative provides a cheaper and cleaner alternative to petrol, which currently sells for over N900 per litre, reflecting the President’s commitment to lowering the cost of living and alleviating the pressures from fuel subsidy removal.

The PCNGi, which was launched under President Tinubu’s directive, is set to deliver wide-reaching benefits to Nigerians by significantly cutting fuel costs. The introduction of CNG as a fuel source aligns with the government’s drive towards energy diversification, and is designed to bring immediate relief to Nigerians, especially those who depend on transport for their livelihood.

As part of this initiative, President Tinubu has ordered 1 million free CNG conversion kits to be distributed to commercial vehicles involved in transporting people, food, and goods. These kits, along with free installation, will be rolled out over the next 18 months, helping the transport sector quickly transition to CNG and take advantage of the significantly lower fuel prices. The distribution of these kits will be carried out in collaboration with key partners, ensuring nationwide accessibility.

In the first phase of the initiative, PCNGi will begin the immediate distribution of 10,000 free conversion kits.

These kits will be provided at no cost to transport operators through key national transport associations, including the National Union of Road Transport Workers (NURTW), Moove, UBER, and the Kaduna State Transport Authority (KSTA).

This will enable commercial drivers to switch their vehicles to run on CNG, thus easing the cost burdens for both transporters and the public.

The distribution process is supported by PCNGi in partnership with NIPCO Gas, which will manage the conversion process through a network of authorised conversion centres across Nigeria. These centres will provide the necessary infrastructure and services to ensure a smooth transition for vehicles switching to CNG.

By switching to CNG, Nigeria is embracing a cleaner, cheaper, and more sustainable fuel alternative that benefits both the economy and the environment. The government’s goal is to distribute the full 1 million conversion kits by the end of 2025, ensuring that Nigeria’s commercial transport sector is fully equipped to adopt CNG and reduce dependence on costly petrol and diesel.

This initiative reflects President Tinubu’s broader vision for a more resilient and economically sound Nigeria, providing citizens with a practical solution to rising fuel costs while promoting sustainable energy practices.

 

 

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