100,000 Vehicles Converted To CNG In One Year – FG
The Federal Government says over 100,000 petrol-powered vehicles have been converted to Compressed Natural Gas in the past year, stressing that it recorded significant progress in advancing the use of alternative fuel across the country.
The Programme Director and Chief Executive of the Presidential Compressed Natural Gas Initiative, Michael Oluwagbemi, disclosed this at a sensitisation programme workshop in Lagos on Thursday.
In statement on Friday, Oluwagbemi said that as the Federal Government ramped up efforts to cushion the effects of fuel subsidy removal, the initiative had achieved a major success in the last year.
According to him, the number of CNG-powered vehicles in the country had risen from fewer than 4,000 to nearly 100,000 in just over a year.
“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.
“Public awareness was initially low, but Nigerians are now embracing CNG across the country,” he said.
Oluwgbemi highlighted a growing level of private sector participation, citing the Dangote Group’s recent rollout of 4,000 CNG trucks as a testament to industry confidence in the programme.
“It’s not just a government project—businesses are investing because they see the benefits,” he added.
The PCNGI boss revealed that the next phase of the initiative targets 250,000 vehicle conversions in partnership with private operators.
“So far, over $1bn has been invested in the sector, including $280m from Dangote Group, $28m from Arita LNG, and contributions from other stakeholders like Femadec, Greenview, and Greenville.
“From just seven conversion centres last year, we now have 265 centres nationwide. We’ve also created over 10,000 direct jobs and grown from 20 to 60 operational refuelling stations, with 175 more underway,” he said.
On safety concerns, Oluwagbemi clarified that CNG is significantly safer than conventional fuels.
He said, “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.”
The programme, he said, is part of a broader national strategy to reduce transport and food prices while improving 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,” Oluwagbemi said.
He also confirmed strong support from major transport unions, including the Road Transport Employers’ Association of Nigeria and the National Union of Road Transport Workers, as well as private logistics operators.
“So far, we have 60 CNG stations up and running—up from just 20 in late 2023. Over the next three months, we plan to commission an additional 100,” he added.
Defending the pace of implementation, Oluwagbemi stated, “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.”
He urged Nigerians to support President Bola Tinubu’s broader energy transition plan and renewable energy vision.
Also speaking with reporters, an executive official of the Road Transport Employers Association of Nigeria, Babatunde Karim, praised the CNG programme for slashing operational costs for transporters but urged the Federal Government to address challenges with gas supply and equipment shortages.
“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,“ Karim said.
He confirmed that many commercial drivers, including operators of Lagos’ iconic yellow buses, had begun converting their vehicles under the CNG programme.
However, he cited low gas pressure and irregular supply at filling stations as major setbacks.
“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.
Also speaking, one Mr Dele Tajudin, an executive member of the Independent Petroleum Marketers Association of Nigeria, said the initiative had great potential but required significant regulatory reforms and financial support to scale up effectively.
Representing IPMAN’s National President, Alhaji Abubakar Maigandi, Tajudin said most existing filling stations were built for petrol and diesel, not CNG, saying that converting them required planning approvals, infrastructure upgrades, and millions in capital.
“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,” Tajudin said.
He added that the absence of CNG facilities at many stations had 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,” he stressed.