Nigeria’s push to reduce dependence on petrol through the adoption of Compressed Natural Gas (CNG) has recorded substantial growth over the past year, with over 100,000 vehicles now converted to run on the cleaner fuel. The Presidential Compressed Natural Gas Initiative (PCNGI), spearheading this effort, has declared it a significant milestone in advancing alternative energy for transportation nationwide.
Speaking at a sensitisation workshop in Lagos, the Programme Director and Chief Executive Officer of PCNGI, Michael Oluwagbemi, highlighted the progress made since the removal of the petrol subsidy in 2023 prompted an urgent search for cheaper, more sustainable energy options.
“The President’s vision was clear: reduce the pressure on citizens by leveraging domestic energy sources like natural gas to create a more sustainable, cost-effective transportation system,” he said.
From 4,000 to 100,000: A Year of Accelerated Adoption
According to Oluwagbemi, Nigeria’s CNG-powered vehicle count has surged from fewer than 4,000 to almost 100,000 in just over a year. He credited the success to growing public awareness, improved infrastructure, and increasing buy-in from the private sector.
“Public awareness was initially low, but Nigerians are now embracing CNG across the country,” he noted.
Major corporations have also invested heavily in the transition. The Dangote Group, for example, has rolled out 4,000 CNG trucks, signaling confidence in the initiative’s viability. “It’s not just a government project—businesses are investing because they see the benefits,” Oluwagbemi added.
Infrastructure Growth and Private Sector Investment
Oluwagbemi outlined the broader economic impact of the programme. Over $1 billion has been invested in the sector so far, including $280 million from Dangote Group and $28 million from Arita LNG, with other stakeholders such as Femadec, Greenview, and Greenville contributing as well.
Infrastructure for CNG adoption has seen remarkable growth. From just seven vehicle conversion centres a year ago, Nigeria now boasts 265 centres nationwide. Operational refuelling stations have also increased from 20 to 60, with plans to commission an additional 100 stations in the next three months.
The initiative has also generated employment, creating over 10,000 direct jobs across the country.
Safety, Economic Impact, and Future Plans
Addressing safety concerns, Oluwagbemi reassured the public that CNG is significantly safer than petrol or diesel.
“CNG is 18 times less explosive than petrol and eight times less than diesel. Most explosion reports are either exaggerated or involve petrol-powered vehicles, not CNG,” he explained.
He stressed that the broader goal of the programme is to reduce transport costs, which in turn can lower food prices and improve household incomes.
“When transport becomes cheaper, it reflects in food costs. In Lagos, for instance, the cost of meat has dropped in some areas because livestock is now transported using CNG trucks,” he said.
Looking ahead, PCNGI aims to convert 250,000 vehicles in its next phase in collaboration with private operators.
Transporters Praise Programme but Call for Improvements
Commercial transport operators have welcomed the initiative, citing significant reductions in operating costs. Babatunde Karim, an executive official of the Road Transport Employers Association of Nigeria, noted that switching to CNG has cut fuel expenses dramatically.
“Before now, we used to spend about N50,000 on petrol to ply a particular route. Today, with CNG, we spend as little as N12,000. That’s a huge relief. It shows the government is on the right track,“ he said.
Karim confirmed that many commercial drivers, including operators of Lagos’ iconic yellow buses, had started converting their vehicles. However, he highlighted persistent challenges such as low gas pressure and irregular supply at CNG filling stations, urging the government to address these issues urgently.
“There are times when we get to a station and there’s no pressure. Other times, there’s no gas at all. These are issues that need urgent attention,” he said.
Independent Marketers Seek Regulatory Support
Independent marketers also see potential in the CNG programme but warn that scaling up will require significant reforms and funding.
Dele Tajudin, an executive member of the Independent Petroleum Marketers Association of Nigeria (IPMAN), explained that most filling stations were designed for petrol and diesel and cannot simply switch to CNG without extensive upgrades.
“Installing a CNG facility isn’t plug-and-play. It involves structural changes, regulatory compliance, and funding. Without government support, most marketers won’t be able to make the switch,” he said.
He added that the lack of CNG facilities at many stations has led to long queues and limited access for motorists.
“Independent marketers are present in virtually every part of Nigeria, especially where major marketers are not. We are well-positioned to drive this transition, but we need financing and technical support from the government,” Tajudin stressed.
Call for National Support and Patience
Oluwagbemi urged Nigerians to continue supporting the Federal Government’s broader energy transition plan, which includes renewable energy targets alongside the CNG initiative.
Defending the pace of implementation, he said: “Rome wasn’t built in a day. Those who led Nigeria into the fuel subsidy crisis cannot fairly criticise the speed at which we’re solving it.”
With plans underway for expanded infrastructure and new partnerships, the government hopes to build on the momentum of the past year to deliver a more affordable, sustainable transport sector for millions of Nigerians.