CNG adoption: 65 new licences issued for stations, over 100,000 vehicles converted — PCNGi
Project Director/CEO of the Presidential CNG Initiative, Engr. Michael Oluwagbemi jas revealed that the initiative has issued 65 new licences and converted over 100,000 vehicles within the past one year.
In a statement yesterday, the PCNGi CEO said that since the launch of the initiative, the response has been positive as Nigerians are embracing and converting their petrol-powered vehicles to CNG-enabled vehicles — with over 60 percent reduction in the amount of money they spend on fuel.
“To date, over 100,000 vehicles have been converted from petrol to CNG/bi-fuel-powered, and more conversion centres are being established across the country. In addition, investors are ramping up the development and deployment of CNG infrastructure, with over $200 million already invested across the value chain. Thousands of new jobs and economic opportunities are opening up along the line,” he stated.
The CEO went further to state that adoption of CNG will save the country $3 billion while adding $2 billion revenue to the national purse in the next three to four years.
Reacting to the issue of implementation and conversion rate, Oluwagbemi noted that the initiative sees the challenge as an opportunity rather than a challenge.
“We are already deepening the development of CNG infrastructure with our partners. However, the number of conversion centres has risen from seven in 2023 to more than 140 across the country, and certainly not 50 centres as claimed. Facts are sacred.
“In addition, more than 2,000 Nigerians have been employed in these conversion centres, with more jobs in the offing as CNG penetration ratchets up. In the past year, the private sector invested over 2 billion naira to establish these conversion centres, and another 6 to 10 billion naira will go into setting up more centres to meet the targeted 1,000 centres required to transform the nation’s energy dynamics.
“Second, there is no cost of conversion for commercial vehicles in Nigeria. It is FREE under the President’s Conversion Incentive Programme. The programme seeks to convert one million commercial vehicles to CNG/bi-fuel in the next three years
“This is verifiable information as the National Union of Road Transport Workers (NURTW), whose members have benefitted recently issued statements acknowledging this fact,” he stated.
He further added that the distribution channels are increasing with 75 new daughter stations under construction across the country, and additional containerized and mobile refuelling units being set up by the private sector working closely with regulators.
“Mother station investments have totalled over $175 million in the past one year, with 65 new licences issued,” he said.
The PCNGi CEO further noted that the government is taking the lead in the adoption and collaboration by partnering banks and other financial institutions through the Credit Corp Credit Access for Light and Mobility (CALM) programme.
“Through this credit system, civil servants and employees in the organised private sector can access loan to convert their vehicles from PMS to CNG/PMS Bi-Fuel,” he added.
