NNPC to aggressive deploy cheaper CNG amidst subsidy removal, high petrol cost | The Guardian Nigeria News – Nigeria and World News

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As motorists struggle with the high cost of Premium Motor Spirit (PMS) following the removal of subsidy by President Bola Ahmed Tinubu government, Nigerian National Petroleum Company (NNPC) Limited will provide cheaper alternative Compressed Natural Gas (CNG).

The development is coming under a new partnership with NIPCO Gas Limited, NNPC group chief executive officer, Mele Kyari disclosed in Abuja.

He said; “the partnership is part of the company’s commitment to reducing its carbon footprint and providing cheaper alternative fuel to motorists in the country, which will significantly reduce the cost of transportation and breed sustainable national economic growth.

“Under the NNPC-NIPCO strategic partnership, 35 state-of-the-art CNG stations will be constructed nationwide, including three Mother stations,” the statement read.

“Once fully operational, Kyari said the stations could service over 200,000 vehicles daily, thereby significantly reducing carbon emissions and associated impact on climate.

“He explained that the project will be rolled out in phases. The first phase, comprising 21 CNG stations, will support intra-city transportation and be ready by the first quarter of 2024; While the second phase, comprising 35 CNG stations, will support inter-city transformation and will be ready by the first quarter of 2025,”

“This initiative will leverage Nigeria’s abundant natural gas resources to bring multiple benefits to Nigerians, including access to cheaper fuel, reduced cost of transportation, reduced carbon emissions, create new business value chains and streams of job opportunities.

NNPC Limited expects further private sector participation by oil marketing companies to broaden CNG penetration and availability.

The state-owned oil company said it remains committed to reliably delivering energy while continuously creating value for Nigeria’s prosperous future alongside its partners.

He noted that the NNPC is also collaborating with Miju Auto Gas, a leading CNG kit Equipment Manufacturer (OEM) based in India, to set up training and conversion centres to facilitate in-country conversion of vehicles from petrol to CNG.

Kyari said NIPCO Gas Limited is operating 14 CNG stations across Nigeria and has converted over 7,000 vehicles to run on CNG.

Also speaking, Nagendra Verma, the managing director of NIPCO, said partnering with NNPCL would help intensify gas utilisation in the country.

Verma said NIPCO has 12 years of experience in the distribution of auto CNG while noting that it would continuously work with NNPCL towards gas market expansion.



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