…How cost effective it is            

…How to go about conversion

Compressed natural gas (CNG) has emerged as a promising alternative to traditional petrol engines in the quest for sustainable and eco-friendly transportation.

CNG stands out as a viable solution that burns cleaner than petrol and offers substantial cost savings for electricity generators and millions of cars on Nigerian roads.

Vehicles powered by CNG offer numerous advantages over their petrol counterparts, ranging from reduced greenhouse gas emissions to lower operating costs and enhanced engine longevity.

To advance and encourage the adoption of autogas as a viable transportation fuel within Nigeria, the Nigerian National Petroleum Company Limited (NNPCL) has declared a collaborative venture with Nipco Gas Limited to establish and operate a network of Compressed Natural Gas Stations across the nation.

Environmental friendliness

One of the most compelling benefits of CNG engines is their significantly lower environmental impact. Compared to petrol engines, CNG engines emit fewer greenhouse gases, such as carbon dioxide (CO2), nitrogen oxides (NOx), and particulate matter.

This reduction in emissions directly contributes to cleaner air quality, mitigates climate change, and helps combat the environmental challenges of global warming.

Cost-effectiveness

CNG engines provide a cost-effective alternative to petrol engines in the long run. Compressed natural gas is generally more affordable than petrol, offering substantial savings on fuel expenses.

Additionally, CNG engines typically have lower maintenance costs due to cleaner combustion and reduced engine wear, translating to more savings over the vehicle’s lifespan.

Abundant and sustainable resource

Natural gas, the primary component of CNG, is found abundantly in many regions across the globe and in Nigeria.

This resource abundance ensures a more stable supply and reduces dependency on foreign oil imports, thereby enhancing energy security.

Extended engine life CNG is a cleaner fuel than petrol, resulting in reduced carbon deposits and lower engine temperatures during combustion. Consequently, CNG engines experience less wear and tear, leading to longer life.

Noise Reduction

CNG engines produce lower noise levels during operation than traditional petrol engines. The smoother combustion process of CNG reduces engine vibrations and noise pollution, contributing to a quieter and more pleasant driving experience for passengers and pedestrians alike. Suffice it to say, the benefits of using compressed natural gas (CNG) engines compared to petrol engines are clear and significant.

According to a statement by the Federal Government, Nigeria currently boasts over 9,000 authorised filling stations suitable for the co-location of infrastructure dedicated to dispensing autogas fuel.

Converting your petrol car to run on CNG is not only going to lessen the burden on your wallet but will also prove a worthy contribution to a more sustainable transportation system.

Before diving into the conversion process, let’s quickly explore the benefits of switching to CNG:

The conversion process can be broken down into the following steps:

1. Research and planning

2. Acquiring the necessary permits and certifications

3. Purchasing a CNG conversion kit

4. Preparing your car for the conversion

5. Installing the CNG conversion kit

6. Testing and fine-tuning

Let’s dive into each step in detail.

Research And Planning

Before you start the conversion process, it’s essential to do thorough research:

Check local regulations: Many cities and countries have specific regulations regarding CNG conversions. Make sure you are aware of all the rules and requirements applicable to Nigeria.

Find a certified CNG installer: While it’s possible to carry out the conversion yourself, it’s highly recommended to work with a certified CNG installer. This ensures that the conversion is done correctly and safely.

Determine the cost and return on investment: Calculate the overall cost of the conversion and compare it with the expected savings on fuel costs. This will help you decide if the conversion is worth the investment after all.

Acquiring Necessary Permits And Certifications

Once you’ve done the research and planning, the next step is to acquire all necessary permits and certifications:

Obtain a permit for CNG installation: In some regions, you may need a permit before starting the conversion process. Check with your local authorities to determine if a permit is required.

Acquire vehicle certification: After the conversion is completed, you may need to have your vehicle inspected and certified by an authorized agency. This will ensure that your car is compliant with all safety and emissions standards.

Purchasing a CNG Conversion Kit

When it comes to choosing a CNG conversion kit, consider the following factors:

Compatibility: Make sure the kit is compatible with your car’s make and model. Consult with a certified CNG installer or the kit manufacturer for guidance.

Quality: Choose a high-quality CNG conversion kit from a reputable manufacturer. This will ensure that the components are durable and perform optimally.

Note that Innoson Vehicle Manufacturing (IVM) provides CNG conversion services for all IVM models.

Type of kit: There are two main types of CNG conversion kits – venturi and sequential injection. Venturi kits are generally cheaper and easier to install, while sequential injection kits offer better performance and efficiency. Consult with a CNG installation expert to determine which type is best suited for your car.

Storage capacity: Consider the storage capacity of the CNG cylinder included in the kit. A larger capacity cylinder will allow you to travel longer distances between refueling, but it will also take up more space in your car.

Once you have selected a suitable CNG conversion kit, purchase it from a reputable dealer or directly from the manufacturer.

Preparing Your Car For The Conversion

Before the installation process begins, you need to prep your car for the process:

Empty the fuel tank: Drain the petrol from your car’s fuel tank, as it will be replaced with CNG.

Clean the engine: Have your engine thoroughly cleaned, as this will help ensure optimal performance of the CNG system.

Make space for the CNG cylinder: Identify a suitable location in your car for the CNG cylinder. This will typically be in the trunk or under the car, depending on the size and shape of the cylinder. You may need to remove or modify some parts of your car to make space for the cylinder.

Installing CNG Conversion Kit

With your car prepared, it’s time to install the CNG conversion kit. It’s highly recommended to have a certified CNG installer carry out the installation, as this will ensure the process is done correctly and safely.

The installation process typically involves the following steps:

Mount the CNG cylinder: Securely mount the CNG cylinder in the designated location, ensuring that it is properly fastened and does not interfere with any other components.

Install the pressure regulator: The pressure regulator reduces the high pressure of the CNG coming from the cylinder to a suitable level for the engine. Mount the regulator in the engine compartment, following the manufacturer’s guidelines.

Connect the fuel lines: Run CNG fuel lines from the cylinder to the pressure regulator, and then to the engine. Make sure the lines are securely fastened and free from leaks.

Install the CNG injectors: Depending on the type of conversion kit, you may need to install CNG-specific injectors. Follow the manufacturer’s instructions for proper installation.

Install the CNG control unit: The control unit manages the CNG system and ensures that the engine receives the appropriate amount of CNG. Mount the control unit in a suitable location, such as under the dashboard, and connect it to the engine control module (ECM) and the CNG injectors.

Install the CNG filler valve: The filler valve is used to refuel your car with CNG. Mount the valve in a convenient and accessible location, such as near the petrol filler cap, and connect it to the CNG cylinder using a high-pressure hose.

Install the CNG level gauge: The level gauge indicates the amount of CNG remaining in the cylinder. Mount the gauge on the dashboard and connect it to the CNG cylinder.

Money

Senate approves four nominees for CBN Board, as South-East candidate declines appointment

By Sodiq Adelakun

The Nigerian Senate has granted approval for the nominees for the Central Bank of Nigeria’s board of directors to resume duty.

The Senate gave the approval during Thursday’s plenary session confirming four nominees.

The confirmed individuals include Robert Agbede, Ado Yakubu Wanka, Murtala Sabo Sagagi, and Muslimat Olanike Aliyu.

However, the confirmation of Urum Kalu Eke was put on hold as he did not present himself before the Committee on Banking Insurance and other Financial Institutions, a mandatory step in the confirmation process.

Senator Adetokumbo Abiru of Lagos East, who chairs the committee, reported that the nominees had been thoroughly screened and met all the requirements as stipulated by Section 6 (1), (2) (d) and 10 of the Central Bank of Nigeria Act, 2007.

The Senate’s approval is a clear endorsement of President Tinubu’s choices for the central bank’s leadership, signaling a new phase of governance and oversight for Nigeria’s banking sector.

Meanwhile, Orji Kalu, the Senator representing Abia North, explained that Eke, the nominee not confirmed, could not appear for screening to take up the role because it will conflict with his current job as consultant to the World Bank.

Orji told lawmakers that Eke already informed the CBN that he will not be able to take the job.

CBN to conduct OMO auction today

The Central Bank of Nigeria (CBN) will today conduct an OMO auction.

The CBN Governor, Mr Olayemi Cardoso made this known on Thursday during a meeting with investors.

OMOs are securities issued by the Central Bank of Nigeria on behalf of the Federal Government of Nigeria. They comprise Nigerian Treasury Bills (NTB), Nigerian Treasury Certificates, Federal Government Development Stocks (FRN DS) and FGN Bonds.

To address the issue of excess liquidity and ongoing inflation within the nation, the central bank utilises Treasury bills.

The CBN plans to increase the size and frequency of OMO, according to Cardoso who added that by raising the Cash Reserve Requirement (CRR) the apex bank plans to mop up some N5 trillion.

Furthermore, the CBN may opt to increase the interest rates on Treasury bills, particularly those with a one-year term, as a strategy to mitigate inflation.

It estimates that inflation will moderate in the medium term to 21.4 percent.

NGX records gain in ASI, market capitalization

The Nigerian Exchange on Thursday recorded gains in the All Share Index (ASI) and the market capitalisation.

The market closed positively, gaining 714.28 points with a positive market breadth.

Now at 33.71 percent, the NGX All-Share Index advanced by 0.72 percent to close at 99,980.30 basis points, compared to the previous day’s loss of 1.31 percent to close at 99,266.02 basis points.

The NGX Market CAP also recorded a gain of N390.43bn in Naira terms.

The total volume traded advanced by 37.03 percent to close at N542.95m, valued at N8.70bn and traded in 9,650 deals. UBA was the most traded stock by volume and value, with N93.71m and N2.07bn units traded.

The Gote Index advanced by 0.32 percent to close at 366.21, while the Toni index advanced by 3.34 percent to close at 557.54 basis points.

At the close of trading, the market recorded 35 gainers, 19 losers, and 63 unchanged. GTCO topped the gainer’s list, while SUNUASSUR topped the list of losers.

Seplat Energy makes fresh boardroom appointments

Seplat Energy has announced the appointment of Mr. Udoma Udo Udoma as the Company’s new Independent Non-Executive Chairman to succeed Mr. Basil Omiyi who will retire on March 31, 2024.

The Energy company also announced the appointment of Mr. Bello Rabiu as the new Senior Independent Non- Executive Director effective April 1, 2024, to succeed Dr. Charles Okeahalam who will be retiring March 31, 2024.

These appointments are in line with the Board Succession Forward Plan announced via Corporate Announcement on April 25, 2023 (RNS: 3575X) and via a subsequent Corporate Announcement on November 1, 2023 (RNS: 0096S) wherein it was announced that Mr. Basil Omiyi and Dr Charles Okeahalam will retire from the Board on March 31, 2024.  

These appointments further demonstrate the commitment of the Board to upholding its strong corporate governance culture and in establishing a truly independent Board.

Mr.Udoma’s appointment was approved after a unanimous vote by Directors of Seplat Energy, in compliance with the Nigerian Companies and Allied Matters Act (CAMA) 2020 and is effective April 1, 2024.

Mr. Udoma is an accomplished lawyer and seasoned board administrator. Mr. Udoma attended St. Catherine’s College, Oxford, England where he obtained a B.A. (Law) degree and a B.C.L. degree in jurisprudence. He was admitted to the Nigerian Bar in 1978. He founded the Law Firm Udo-Udoma & Belo Osagie in 1983 and retired from active legal practice in early 2020. Whilst in practice, Mr. Udoma specialized in advising on Nigerian investment laws and the investment environment, particularly in the petroleum, energy, and natural resources sectors. He advised Nigerian and international companies on company law, corporate restructuring, mergers and acquisitions and the raising of financing in the capital and money markets, as well as on major construction and engineering contracts.

Mr. Udoma has served on a number of large sized company boards. He was Chairman of UAC Nigeria Plc and Union Bank Plc and served on the boards of companies such as Unilever Nigeria Plc., Linkage Assurance Plc and First Hydrocarbon Nigeria Limited. He has also held a number of public sector appointments. He was the first Chairman of the Corporate Affairs Commission (CAC) and has also served as the Chairman of the Nigerian Securities & Exchange Commission (SEC). He was the Special Adviser to the Minister of Petroleum and Natural Resources from September 1993 to March 1994 and served as Minister of Budget & National Planning from 2015 to 2019. He was elected to the Nigerian Senate in 1999 and served for two terms from 1999 to 2007. Mr. Udoma is currently the Pro-Chancellor of Akwa Ibom State University, Ikot Akpaden, Akwa Ibom State, Nigeria.

Meanwhile, Mr. Bello Rabiu holds a Bachelor’s and Master’s Degrees in Mathematical Statistics from Ahmadu Bello University Zaria, Nigeria and another Master’s Degree in Petroleum Engineering from The Imperial College, London, United Kingdom. He attended many career advancements courses in Nigeria and abroad including the prestigious Wharton Executive Development Program from the University of Pennsylvania in Philadelphia, USA and Leading Global Business Program from Harvard Business School, Boston, USA.

Before his new role as the Founder and Chief Executive Officer of Dankiri Farms and Commodities Limited, Mr. Rabiu retired from the services of Nigerian National Petroleum Corporation (NNPC) in July 2019 after 28 years of service. He retired from NNPC as the Chief Operating Officer/Group Executive Director (COO/GED), Upstream Business Unit. Prior to his appointment as COO/GED Upstream, NNPC. Mr. Rabiu held dual positions of Group General Manager, Corporate Planning & Strategy Division and Senior Technical Assistant to Group Managing Director, NNPC. He was also the General Manager, Competitive Analysis Department of the same Division from September 2010 till August 11th, 2015. He was at various times between 1991 and 2005 a planning officer and Pioneer Head, Material Management, Frontier Exploration Services at the National Petroleum Investment Management Services (NAPIMS) Division of NNPC.

As COO/GED Upstream of NNPC, Mr. Rabiu oversaw the activities of the Corporation’s Upstream businesses, including; National Petroleum Investment Management Services (NAPIMS), National Engineering and Technical Company (NETCO), Nigerian Petroleum Development Company (NPDC), Integrated Data Services Limited (IDSL) and NNPC Oil Field Services (NOFS). He has a balanced knowledge of the Exploration & Production industry in Nigeria with unusual capability which combines commercial/fiscal knowledge with operations. This was particularly valuable in the development of the 2016 Nigerian Government approved upstream Joint Venture funding scheme which has restored the confidence of the International Oil Companies (IOCs) and Independent Partners in Nigeria’s Upstream Joint Venture resulting in increased national oil production of 2.3mbpd by 2019. He was responsible for the implementation of the 7 Critical Domestic Gas Development Projects (including AGPC), an offshoot of Nigerian Gas Master Plan aimed at using gas for Nigeria’s industrialisation, economic growth, and development – where significant consideration had to be given to strategic intent, fiscal rules, and commerciality of supply.

Commenting on the appointments, Mr. Basil Omiyi, the Chairman of Seplat Energy, said, “Seplat Energy’s commitment to strong corporate governance remains unwavering and is demonstrated by the recent appointment of Mr. Udoma Udo Udoma and Mr. Bello Rabiu as the new chairman and SINED respectively.”

“We are confident that under their guidance, Seplat Energy will continue to expand and consolidate its position as Nigeria’s leading energy company and the partner of choice to deliver energy transition for Africa’s largest economy and its rapidly growing population.”