The Presidential Compressed Natural Gas Initiative (PCNGI) team, led by the Executive Chairman, Barr. Ismael Ahmed, and Programme Director, Engr. Michael Oluwagbemi, on Wednesday, engaged with media executives in Lagos, outlining the nation’s strategic shift towards Compressed Natural Gas (CNG) as a sustainable alternative to petrol.
The initiative, born from President Bola Ahmed Tinubu’s inaugural speech decision to remove fuel subsidy, aims to bring tangible relief to millions of Nigerians.
The team emphasised that Nigeria is fundamentally a gas country, possessing “over 45% of Africa’s proven gas resources, amounting to 208 trillion cubic feet, enough to last 99 years, with unproven estimates reaching 350 trillion cubic feet”. This contrasts with the long-held belief of Nigeria being primarily an oil-rich nation.
According to them, President Bola Tinubu’s vision is not just to be remembered for removing petrol subsidy, but for also providing a sustainable alternative.
Oluwagbemi detailed the PCNGI’s significant strides in just 12 months. The highlights include:
* Over 300 new CNG conversion centres established nationwide, a dramatic increase from just seven previously.
* Expansion from 5 states to 20 states across all six regions benefiting from PCNGI initiatives.
* Distribution of 5,950 EV or CNG platforms, including buses and tricycles, often through labor unions as part of agreements following fuel subsidy removal.
* Training of 5,500 conversion technicians, with plans to train 25,000 roadside mechanics.
* Mobilisation of over $980 million in private sector investment, including a significant N725 billion investment by Dangote Industries, validating the private sector-led approach.
* Initiatives to promote local manufacturing of vehicles and components, working with Nigerian auto manufacturing companies like Innoson, Peugeot, and Nord Motors.
According to him, the PCNGI’s mandate is built on three crucial “As”: Acceptability, Accessibility, and Affordability. He described CNG as being far safer, cleaner, and more sustainable than traditional fuels, with the potential to ‘reduce transportation costs by 80-90%’.
The Programme Director highlighted the story of an Uber driver whose daily earnings significantly increased after converting to CNG, demonstrating the immediate positive impact on livelihoods. The ultimate goal is to convert “one million vehicles by 2027”, which is projected to create “75,000 direct and 300,000 indirect jobs”.
While celebrating significant progress, the Presidential Compressed Natural Gas Initiative (PCNGI) team candidly addressed the challenges hindering wider Compressed Natural Gas (CNG) adoption and called for robust support from media executives. The team emphasised that overcoming these hurdles requires a collaborative approach involving government, the private sector, and informed public engagement.
Oluwagbemi acknowledged that the relief from CNG adoption has not been as instant as the impact of the fuel subsidy removal, primarily due to the inherent difficulty and time required to build extensive infrastructure.
Key challenges identified include:
*Acceptability: Public fears about safety, despite natural gas being significantly safer than petrol or diesel, require intensive awareness campaigns.
*Accessibility: The current limited number of CNG filling stations means convenience is still a barrier for many Nigerians.
*Affordability: The cost of conversion kits, though aimed to be reduced, remains a concern for many.
To mitigate these risks, PCNGi is implementing several measures:
*Safety: Working with regulators to launch a **Nigerian Gas Vehicle Monitoring System to ensure traceability and safety standards. Standards for the industry have been developed and launched, along with national operational standards for training personnel.
*Procurement: Encouraging the development of CNG industrial parks nationwide to build a domestic supply chain and reduce reliance on imports, which currently face logistics delays.
*Disinformation: Battling “disinformation campaigns” by those who do not wish the program to succeed politically or economically.
The PCNGi clarified its role as a **catalyst rather than a replacement for the private sector**, stressing that sustainability hinges on private investment. The government’s role is to set and enforce regulations, facilitate investments, and provide incentives such as VAT and import duty waivers for CNG vehicles and components. It was highlighted that importing CNG vehicles is already more financially favorable due to these waivers.
Both Ahmed and Oluwagbemi appealed to the media for “patriotic journalism,” urging them to educate the public accurately, hold the government accountable on permits and domestic supply obligations, and avoid publishing “wrong articles” that suggest government direct control of prices or building gas stations. They stressed the importance of data-driven policy and avoiding the mistakes of the past fuel subsidy regime, which lacked data and fueled corruption. The Executive Chairman confirmed that all PCNGI office vehicles are 100% CNG-powered, and the President’s own vehicle is being converted as a leading example.
