President Bola Ahmed Tinubu is projecting a cost of N250 per litre for Compressed Natural Gas (CNG),
Special adviser to the president on media and publicity, Mr Ajuri Ngelale made this known while speaking on Channels Television.
He explained that the president is keen on making the Compressed Natural Gas (CNG) initiative work and has given it a priority.
Ngelale noted that the policy, chaired by Femi Gbajabiamila, chief of staff, will roll out 11,500 new CNG fuel vehicles in the near term, focusing on mass transit systems across all federation states.
His words:
“The CNG initiative is a very important one.”
“We recognize that at a time when energy costs are going up, when our people are hurting from rising food costs and inflation, dealing with the issue of rising energy costs is fundamental. This is why the president put in place this initiative targeting the transportation modes that affect the bulk of our masses.
“Being able to ensure that we can provide CNG-fueled buses and the like that would crash the cost from PMS-fueled buses at about N620 per litre on average, you’re now looking at about N250 per litre on average for CNG.
“That’s going to have a massive impact on the ability of the everyday Nigerian using mass transit across all our states.
“So that’s going to do that in the immediate time.”
Ngelale also said through the initiative, the federal government would also be rolling out 55,000 new CNG conversion kits for existing PMS vehicles to be able to accelerate further the process of conversion and transition from PMS to CNG.
Speaking further on the government’s plan to sustain the supply and demand of CNG, the special adviser said 56 new CNG filling stations will be rolled out across the federation states within the next 16 months.
Ngelale added:
“21 new CNG filling stations within the next nine months and then 35 new filling stations CNG stations between April 2024 and April 2025.
“We’re also going to be rolling out an exemption on customs duties as well as VAT exemptions on all importation of CNG conversion kits to further accelerate and cheapen the process of CNG conversion for families across Nigeria.”
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