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Sunday, July 14, 2024
HomeNewsNigerian govt targets conversion of 1 million vehicles to CNG by 2027

Nigerian govt targets conversion of 1 million vehicles to CNG by 2027

The President Bola Ahmed Tinubu-led Federal Government says it is targeting the conversion of one million vehicles to Compressed Natural Gas (CNG) by 2027.

The Strategic Business Education Adviser, Presidential Initiative on CNG programme Babajide Awolowo disclosed this on Tuesday at a stakeholders forum organized by the Kogi State Government in collaboration with Automotive Gas Nigeria Services Limited, (AUTOGAS Nigeria) with the theme “during sustainable energy: the future of CNG in Kogi State”.

Awolowo noted that, between December 2023 and May 2024, the present administration mobilized $50 million directly to the CNG sector.

His words, “We have set an ambitious target of 1 million vehicle conversions by 2027 for ourselves at the Presidential initiative on CNG (Pi-CNG) because powering our vehicles by using our God-given resource has become imperative.

“We may recall that President Bola Ahmed Tinubu made one of the boldest pronouncements ever made by a government on May 29, 2023, by stating that the subsidy was gone. As you know, subsidy on PMS has been in place in Nigeria since 1977 and has contributed to years of budget deficits, significant leakages, and corruption, while also impacting the effectiveness of our economy.

“This decision was a challenging one as it automatically led to an increase in fuel price. In seeking options for fuelling outside PMS (that we all call Petrol) and gasoil which is known as Diesel, Mr. President believed a cheaper, more cost-efficient,layman’s and cleaner
alternatives should be introduced to Nigerians.

“On the 26th of April 2023, the US Energy Information Administration (EIA) stated that Nigeria has an estimated 206.5 trillion cubic feet (tcf) of proven gas reserves, the 9th largest in the world. In layman’s terms, “That is a lot of gas!”.

“So it makes perfect sense to tap from this readily available resource that we have not fully developed, or are currently being wasted via flaring, to provide Nigerians with a suitable substitute” he stated.

According to him, the Federal Government is partnering with a company to build a CNG Park in Ajaoukta Local Government Area of Kogi State.

“The aim of this is to localize the production of CNG accessories for cars, including conversion kits and cylinders, to keep financial value within the country while creating thousands of direct and indirect jobs in the
process.

” We recognize that everyone may not be able to afford the full cost of conversion, so the Government is stepping in by pre-qualifying commercial drivers. For those that qualify, 50% of the cost of their conversion would be paid by the government.

In his address, Governor Ahmed Usman Ododo reiterated his administration’s readiness to make Kogi State the hub of CNG infrastructures in the country.

Governor Ododo who was represented by the Secretary to the Kogi State Government, Dr Folashade Arike Ayoade said, “Like many regions around the nation and the world, Kogi State is faced with the challenges of reducing carbon emissions and mitigating environmental degradation caused by conventional fossil fuel vehicles

“The adoption of CNG presents an opportunity to significantly reduce greenhouse gas emissions, improve air quality and promote energy efficiency. Today’s gathering is a testimony to our shared commitment to even development and the advancement of key energy solutions in Kogi State and the nation at large”.

CREDIT: DAILY POST

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