Tinubu approves establishment of Presidential Compressed Natural Gas Initiative

Nigeria’s President, Bola Tinubu, has given the green light for the establishment of the Presidential Compressed Natural Gas Initiative (PCNGI). This move aligns with his dedication to alleviating the impact of fuel subsidy removal on Nigerians by minimizing energy expenses.

As outlined in a statement issued on Friday by the presidential spokesperson, Ajuri Ngelale, this groundbreaking initiative is poised to revolutionize the country’s transportation landscape. It aims to introduce over 11,500 new vehicles enabled with Compressed Natural Gas (CNG) and provide 55,000 CNG conversion kits for existing petrol-dependent vehicles. Concurrently, it will bolster local manufacturing, assembly, and create a multitude of jobs in accordance with the presidential directive.

The core elements of this transformative initiative, encompassing a Comprehensive Adoption Strategy, feature a program of Empowering Workshops with a Nationwide Network of Workshops, Local Assembly, and Job Creation. The initial phase will prioritize mass transit systems and student hubs, thus significantly reducing travel expenses for the general population in the short term.

To ensure seamless integration of CNG utility within the existing midstream and downstream energy value chain and to enhance its sustainability, the PCNGI will oversee the establishment of workshops across all geopolitical zones and states. These workshops will provide crucial kits and comprehensive training for newly hired personnel, creating fresh avenues for technical skill development and employment opportunities for Nigerians.

The new nationwide network of workshops, a direct outcome of this initiative, will ensure widespread access and demand-driven utilization of CNG technology and expertise, facilitating smoother transitions for vehicle owners and ultimately benefiting the Nigerian economy as a whole.

Within the framework of the PCNGI, the following strategic goals will be attained:

1. Development of stakeholder-operated Intrastate Mass Transit systems based on CNG.
2. Support for states to incorporate new CNG buses into their Intrastate Mass Transit networks through wholesale conversion, retrofitting, and new purchases.
3. Deployment of CNG buses via existing Private Mass Transit operators, coupled with innovative financing programs to aid operators.
4. Encouragement for investors to invest in CNG processing, distribution, and utilization by providing incentives for increased investment and collaboration.
5. Provision of training and technology transfer to bolster the After-Sales Services and maintenance sub-industry, fostering sustainable employment.

President Tinubu’s emphasis on domestic assembly of CNG-enabled vehicles will stimulate economic growth, create job opportunities, and enhance the nation’s automotive manufacturing capabilities. This initiative’s launch further underscores the administration’s commitment to promoting a cleaner environment by curbing carbon emissions and advancing energy security through the utilization of domestic natural gas resources.