FG targets one million CNG-powered vehicles to reduce transport costs

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The Federal Government has directed the intensification of efforts to promote Compressed Natural Gas (CNG) as an affordable transport fuel and accelerate the rollout of one million CNG-powered vehicles nationwide.

The Minister of State for Petroleum Resources (Gas), Ekperikpe Ekpo, gave the directive in Abuja while receiving progress reports from the Presidential Initiative on CNG and Electric Vehicles (Pi-CNG & EV) and the Decade of Gas Secretariat.

In a statement on Sunday, Ekpo urged both bodies to prioritise interventions, increase investment, expand CNG infrastructure and strengthen nationwide adoption programmes.

He said the government’s Auto CNG policy must deliver tangible benefits, particularly through reduced transport fares, following the removal of the petrol subsidy.

Ekpo added that Nigeria’s abundant natural gas resources offered opportunities to lower transportation costs, increase domestic gas consumption and stimulate economic growth. He stressed the need for sustained investment in refuelling stations, vehicle conversions and other critical infrastructure.

The minister also disclosed that domestic gas supply had exceeded two billion cubic feet per day for the first time in the country’s history.

“Nigeria is a gas nation with a gas reserves index of over 80 years, and that is why we are talking about the Decade of Gas,” he said.

Ekpo reaffirmed the government’s commitment to supporting the initiative in line with President Bola Tinubu’s directive to make transportation more affordable through CNG.

Pi-CNG & EV Chairman, Ismaeel Ahmed, said the initiative would attract more investment, expand infrastructure and increase vehicle conversions nationwide to support wider adoption and reduce transport fares.

Ahmed added that a joint industry market study by the Decade of Gas Secretariat had provided a framework for accelerating implementation, tracking progress and identifying gaps.

The secretariat’s coordinator, Ed Ubong, described CNG as a key component of Nigeria’s energy transition and pledged continued support for increased domestic gas utilisation and exports.

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