NIPCO Plc backs Tinubu’s push for auto CNG adoption, commits to expanding gas infrastructure
In a renewed show of support for President Bola Tinubu’s push to adopt Compressed Natural Gas (CNG) as a cleaner alternative fuel for Nigeria’s transportation sector, NIPCO Plc has expressed optimism that these initiatives will drive economic benefits and contribute to the nation’s environmental sustainability goals.
Mr. Ramesh Kansagra, a senior executive at NIPCO, conveyed the company’s endorsement during a recent delegation visit to the President at Aso Villa, Abuja.
Kansagra emphasized NIPCO’s commitment to supporting Tinubu’s administration and highlighted the company’s alignment with the Federal Government’s economic agenda.
He further lauded the President’s reforms in the oil and gas industry, specifically the deregulation of the downstream sector, which he noted would open up substantial economic opportunities.
“President Tinubu’s vision of gas as a transition fuel aligns perfectly with NIPCO’s longstanding focus on CNG,” Kansagra remarked.
“We identified the potential of CNG 15 years ago and secured government approval to begin developing the necessary infrastructure to help motorists switch from petrol to gas. Today, that early vision resonates with the President’s own efforts to make CNG widely accessible.”
NIPCO has invested in expanding access to CNG, driven by the Presidential Compressed Natural Gas Initiative (PCNGi), which has set the stage for public-private collaboration in gas infrastructure.
Kansagra highlighted that NIPCO is currently constructing a 100-kilometer, 18-inch gas pipeline along the Lagos-Ibadan Expressway, a $100 million project designed to increase CNG availability for motorists and industrial users alike.
“The President’s focus on gas reflects a global shift towards cleaner fuels, and it’s timely for Nigeria to make this change,” Kansagra said, adding that CNG offers a cost-effective choice for consumers.
“Motorists can purchase petrol at N1,000 per liter, while equivalent CNG is available at N230 per standard cubic meter, a price that is four times cheaper. Moreover, CNG is locally produced, while approximately 50% of petrol is imported.
“To facilitate this transition, the Federal Government has rolled out incentives through the PCNGi, including free CNG conversion kits and cylinders for motorists,” he noted.
“Kansagra praised these palliative measures, affirming that they will ease the switch to CNG for many Nigerians.
In a pledge of commitment, Kansagra further stated that NIPCO would continue investing in gas infrastructure, ensuring a broader reach for gas-powered solutions.
The executive stressed that the company is determined to support Tinubu’s energy reform vision, believing that the shift towards CNG would reduce the transportation sector’s dependence on fossil fuels while making significant strides toward Nigeria’s environmental goals.
“This partnership between the government and private sector exemplifies the power of collaboration to drive cleaner energy solutions for the public’s benefit,” Kansagra concluded.
