NNPC Commences Massive Natural Gas Deployment As Alternative Fuel

Mele Kyari, Group Chief Executive Officer of Nigerian National Petroleum Company (NNPC) Limited, has announced a collaboration with NIPCO Gas Limited for the deployment of Compressed Natural Gas (CNG) as an alternative to Premium Motor Spirit (PMS), also known as petrol.

Speaking to the media at a press conference in Abuja, the NNPCL chairman said the decision was a marching order from President Ahmed Bola Tinubu, emphasising that the action is part of attempts to mitigate the effects of the elimination of petrol subsidies, which had a substantial influence on fuel prices.

According to Kyari, the initiative is in addition to NNPC Retail’s planned phased deployment of 56 CNG stations across the country, adding that once fully operational, the stations will be able to service over 200,000 vehicles daily, significantly reducing carbon emissions and the associated impact on climate.

He stated that the CNG infrastructure expansion effort will be carried out in stages and that it would service at least 200,000 vehicles on a daily basis.

Kyari said that the CNG would be very economical and that the project will benefit Nigerian motorists.

“As part of the Nigerian National Petroleum Company (NNPC) Limited’s commitment to reducing carbon footprint and providing cheaper alternative fuel to motorists, the company is happy to announce a strategic partnership with NIPCO Gas Limited to develop Compressed Natural Gas (CNG) stations.

“This landmark collaboration aims to expand our CNG infrastructure, improve access to CNG, and accelerate the adoption of cheaper and cleaner alternative fuel for buses, cars and Keke NAPEP, which will significantly reduce the cost of transportation and engender 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.

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

“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. To deepen and sustain this initiative, NNPC Ltd. has floated NNPC Prime LNG.

“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 the in-country conversion of vehicles from petrol to CNG.

“NIPCO Gas Limited is currently operating 14 CNG stations across Nigeria and has converted over 7,000 vehicles to run on CNG. NIPCO’s technical competency and field experience will bolster this initiative’s success and amplify its positive impact on the nation’s economy.

“This forward-thinking 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 emission, create new business value chains and streams of job opportunities.

“NNPCL Limited remains committed to reliably delivering energy while continuously creating value for Nigeria’s prosperous future.

Najendra Verma, the Managing Director of NIPCO expressed optimism the partnership would actualize the expectations of Nigerians with regard to providing economical fuel.

Mr. Verma said working with NNPC Ltd would deepen gas utilisation.

The NIPCO boss while stating that it has 12 years experience in the distribution of auto CNG, added that it would continuously work with NNPC Ltd towards gas market expansion.

He assured that it would meet the expectations of Nigerians in providing economic fuel.