The Federal Authorities has disclosed that over 100,000 petrol-powered automobiles have been transformed to run on Compressed Pure Fuel (CNG) up to now one yr, describing it as a serious step in Nigeria’s transition to cleaner, extra inexpensive power.
Programme Director on the Presidential Compressed Pure Fuel Initiative (P-CNGi), Engr. Michael Oluwagbemi, disclosed this on Thursday throughout a sensitisation workshop in Lagos.
In an announcement issued on Friday, Oluwagbemi stated the surge in CNG adoption mirrored important progress within the authorities’s push to cushion the influence of petrol subsidy removing.
“From fewer than 4,000 CNG-powered automobiles in 2023, we now have almost 100,000. The President’s imaginative and prescient was clear, leverage home gasoline to scale back transportation prices and ease stress on residents,” Oluwagbemi stated.
He added that public consciousness has grown remarkably, with elevated participation from personal companies. He cited the Dangote Group’s rollout of 4,000 CNG vans as a key instance of investor confidence.
“It’s not only a authorities undertaking—companies see the advantages and are investing,” he stated.
Oluwagbemi famous that over $1 billion has been invested within the CNG sector to this point, with contributions together with $280 million from Dangote Group and $28 million from Arita LNG, amongst others like Femadec, Greenview, and Greenville.
The initiative now boasts 265 car conversion centres, up from simply seven final yr. Operational refuelling stations have additionally elevated from 20 to 60, with 175 extra underneath improvement. He stated the programme has created over 10,000 direct jobs.
As for security, Oluwagbemi insisted CNG is safer than petrol or diesel, describing it as “18 instances much less explosive than petrol and eight instances lower than diesel.”
The CNG push, he stated, is a part of a wider nationwide technique to scale back transport and meals costs whereas boosting family revenue.
“In Lagos, the price of meat has dropped in some areas as a result of livestock is now transported with CNG vans. Cheaper transport means cheaper items,” he added.
Transport unions such because the Highway Transport Employers’ Affiliation of Nigeria (RTEAN) and the Nationwide Union of Highway Transport Staff (NURTW) have additionally endorsed the initiative.
“Up to now, 60 stations are operational, and we plan to fee one other 100 inside three months,” he revealed.
Responding to critics of the initiative, he added, “Rome wasn’t inbuilt a day. Those that led Nigeria into the gasoline subsidy disaster shouldn’t criticise the tempo of our options.”
Additionally talking, Babatunde Karim, a senior RTEAN official, stated the CNG programme had slashed operational prices for drivers.
“The place we used to spend N50,000 on petrol for sure routes, we now spend round N12,000 with CNG. It’s an enormous aid,” he stated, whereas urging the federal government to repair recurring gasoline provide and stress points at filling stations.
An govt of the Unbiased Petroleum Entrepreneurs Affiliation of Nigeria (IPMAN), Dele Tajudeen, stated whereas the initiative is promising, regulatory reforms and {financial} help have been important to scale it.
“Most filling stations have been constructed for petrol and diesel. Changing them to CNG amenities requires planning approvals, main infrastructure modifications, and important capital,” Tajudin stated.
He added that lengthy queues and poor entry persist as a result of restricted variety of outfitted stations. “Unbiased entrepreneurs are unfold throughout Nigeria and might drive this transition, however we want financing and technical help,” he careworn.
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