The Federal Government has renewed its plan to deploy one million compressed natural gas powered vehicles across Nigeria as part of efforts to reduce transportation costs and ease the financial pressure on commuters.
The Minister of State for Petroleum Resources (Gas), Ekperikpe Ekpo, gave the directive in Abuja over the weekend during a review of progress made by the Presidential Initiative on Compressed Natural Gas and Electric Vehicles and the Decade of Gas Secretariat. According to a statement issued by the minister’s spokesman, Louis Ibah, Ekpo urged both organisations to speed up investments in refuelling stations, vehicle conversion facilities and other infrastructure required to expand the use of compressed natural gas (CNG).
The statement said, “The Federal Government has pledged to intensify efforts to promote compressed natural gas as a cheaper alternative fuel for transportation, with a renewed focus on accelerating the rollout of one million CNG-powered vehicles across the country.
“To this end, the Minister of State for Petroleum Resources (Gas), Rt. Hon. Ekperikpe Ekpo, has tasked the leadership of the Presidential Initiative on Compressed Natural Gas and Electric Vehicles and the Decade of Gas Secretariat to focus on critical interventions, step up investments, expand CNG infrastructure and strengthen programmes to drive nationwide adoption.”
The renewed push comes as Nigerians continue to face high transportation costs following the removal of the petrol subsidy in 2023. The policy contributed to higher petrol prices, increasing the cost of operating commercial vehicles and placing additional pressure on household budgets. CNG is being promoted as a cheaper alternative to petrol because it can reduce fuel expenses for vehicle owners. However, wider adoption depends on the availability of refuelling stations, reliable gas supply and affordable conversion services for vehicles currently running on petrol.
Ekpo said Nigeria’s large gas reserves presented an opportunity to lower transport costs, increase domestic gas consumption and support economic growth.
“Nigeria is a gas nation with a gas reserves index of over 80 yrs, and that is why we are talking about the Decade(s) of Gas,” he said.
The minister also reaffirmed the government’s commitment to President Bola Tinubu’s directive to make transportation more affordable through CNG.
“It is important that we listen to the directive of Mr President to make transportation cheaper via CNG. We will continue to give you all the backing to provide the necessary assistance to make sure we drive this project to a logical conclusion,” Ekpo said.
He urged the agencies to sustain their efforts to expand refuelling infrastructure and vehicle conversion programmes, noting that these facilities would be essential to increasing the number of gas powered vehicles on Nigerian roads. Ekpo also said domestic gas consumption had exceeded two billion cubic feet per day for the first time in the country’s history. He described the development as an opportunity to increase the use of Nigeria’s gas resources and support the government’s economic objectives.
Ismaeel Ahmed, chairman of the Presidential Initiative on CNG and Electric Vehicles, said the initiative would increa se investments and programmes aimed at expanding refuelling facilities and converting more vehicles to use gas. Ahmed said the effort was intended to improve access to CNG for transport operators and help reduce fares for millions of commuters. He added that a market study conducted jointly with the Decade of Gas Secretariat would guide implementation, identify infrastructure gaps and determine priority areas for investment. Ed Ubong, coordinator of the Decade of Gas Secretariat, described CNG as an important part of Nigeria’s energy transition and pledged continued support for the initiative.
The one million vehicle target will require sustained funding, coordination and infrastructure development. Ultimately, its impact will depend on whether lower fuel costs translate into cheaper fares for passengers.
