By Faridat Salifu
Nigeria’s transition to alternative transportation fuels through the Presidential Compressed Natural Gas Initiative (PCNGI) has attracted over $500 million in investments and converted more than 50,000 vehicles to run on compressed natural gas (CNG) within its first year of operation, the agency said on Monday.
The PCNGI, established by the federal government, officially launched in May 2024 to drive the adoption of CNG and electric vehicles (EVs), promote sustainable transportation, and coordinate regulatory efforts in the sector.
Since inception, the initiative has created over 10,000 direct jobs, established 255 new vehicle conversion centres, and opened 53 new CNG dispensing “daughter” stations across Nigeria.
Programme Director and CEO of PCNGI, Michael Oluwagbemi, dismissed recent media reports alleging a slow rollout of CNG infrastructure as “alarmist” and unreflective of rapid progress made under President Bola Tinubu’s administration.
“The narratives ignore the incredible progress achieved in just seven months,” Oluwagbemi said, highlighting that prior to the initiative, only 11 CNG stations existed nationwide as remnants of a 2017 pilot scheme by the Nigerian National Petroleum Company Limited (NNPCL).
The agency undertook an intensive awareness campaign from May to October 2024 to educate Nigerians on the benefits of CNG, counter misinformation, and stimulate demand.
As a result, the number of CNG vehicles on Nigerian roads surged from around 4,000 to over 50,000, with projections to reach 100,000 soon.
“With over 50,000 vehicles converted and rising, queues at CNG stations are expected to grow due to this unprecedented demand,” Oluwagbemi said. “Nigerians love CNG, and the programme is working.”
Private sector players have played a key role in expanding infrastructure. AY Shafa and Femadec recently inaugurated two new daughter stations in Abuja, with plans to open 30 more stations in the coming year.
Femadec is also developing CNG ecosystems across 20 universities, while Greenville is rolling out 51 liquefied CNG stations in the North and South-East regions, including remote locations such as Yola.
Other planned activations are underway in Port Harcourt, Ado-Ekiti, Lokoja, Aba, Enugu, and Abuja, expected to come online within the next two to four months.
NNPCL is expanding its network from 12 to 20 CNG stations, with an additional 40 stations planned for the next phase. Bovas is launching two modern CNG sites in Ibadan, and NIPCO aims to complete eight new stations, supplementing its current 23 operational outlets.
The Midstream and Downstream Gas Infrastructure Fund has also invested in 10 new projects, including three focused on CNG station development, adding to the N123 billion invested last year.
Oluwagbemi acknowledged the challenges in scaling a national energy transition but urged patience, noting the long history of Nigeria’s dependence on petrol and diesel.
“It took over 70 years for Nigeria to become addicted to petrol and diesel. It will take more than seven months to wean ourselves off it,” he said.
He criticized a recent report for promoting a “negative narrative” and questioned why anyone would switch from bi-fuel vehicles which run on both petrol and CNG back to petrol-only use.
CNG use can reduce fuel costs by as much as 90 percent on some journeys, according to Oluwagbemi.
The PCNGI said it remains fully committed to President Tinubu’s directive to expand CNG adoption nationwide and to fulfil promises of cleaner, affordable, and sustainable transportation for Nigerians.