Nigeria has activated 125 compressed natural gas (CNG) conversion centers, surpassing the 100 expected. The Presidential Compressed Natural Gas Initiative (P-CNGI) Chief Executive Officer, Michael Oluwagbemi, reported that an additional N80 billion worth of CNG investments were generated in the last week. Oluwagbemi said President Bola Tinubu had directed one million Nigerians with commercial vehicles or Rideshare to be converted to CNG free of charge, as commercial vehicles account for 90% of daily passenger conveyance. The CNG market development has created jobs for over 20,000 people.
However, he claimed that since gas is needed for top-up in order to calibrate, gas availability has been a limitation at the conversion center.
Oluwagbemi stated that in order to develop cutting-edge mobile refueling units, the P-CNGI is collaborating with the business community and the Nigerian Midstream and Downstream Petroleum Regulatory Authority (NMDPRA).
Gas availability is still a challenge, especially at the conversion centers where they need to top up with gas in order to calibrate once they convert,” he stated.
We are collaborating with NMDPRA and the private sector to develop creative solutions, such as the mobile refueling units. He claims that while the CNG has been activated in ten states, the activation of some other states is being delayed due to the lack of gas infrastructure. states.
Nigeria’s Chief National Gas (CNG) Minister, Oluwagbemi, expressed hope that 18 states would activate CNG centres by the end of the year, with three more expected in October. However, the lack of gas pipelines in the north east and north west has hindered the activation of CNG. Plans are being made to engage these states in linking them to the Ajaokuta Kaduna Kano Gas pipeline project.
The main obstacle is the availability of gas infrastructure, particularly in the far north eastern states and the north west. The AKK Summit is being held at the end of this year to discuss how to link up with the pipeline.
If I include that investment, we have increased by N80 billion in the last week,” he stated. You asked what the latest news was. I am adding N80 billion to the $175 million from September, which means an additional $16 million would be added to the $175 million.
Oluwagbemi added that N122 billion was granted for gas development projects last week by the Midstream and Downstream Gas Infrastructure Fund (MDGIF) to four out of the six businesses.
He stated that because of the Israeli and Palestinian conflicts, the initiative, which had originally planned to introduce CNG vehicles in 15 to 18 months, had modified its aim and accelerated the supply time by working with local manufacturers.
