The Nigerian National Petroleum Company Limited (NNPC) announced that using Compressed Natural Gas (CNG) in automobiles is 40% cheaper than Premium Motor Spirit (petrol). On Thursday, NNPC inaugurated 11 CNG stations in Abuja and Lagos and revealed plans to have 100 operational CNG stations nationwide within the next 12 months.
Huub Stokman, Managing Director of NNPC Retail Limited, highlighted that these stations mark a significant step in expanding NNPC’s CNG presence, offering Nigerians a more affordable alternative to petrol. He emphasized that with continued investment, CNG could become a substantial part of Nigeria’s energy mix.
Stokman also mentioned that NNPC is establishing mechanical training and conversion centers in Abuja and Lagos to support the CNG initiative. With Nigeria’s vast gas reserves of approximately 209 trillion standard cubic feet, utilizing CNG is seen as a strategic move to provide affordable energy.
Group Chief Executive Officer of NNPC, Mele Kyari, noted that NNPC and its partners are developing infrastructure to make CNG more accessible to end users. He stated that six CNG mother stations would be constructed nationwide by December, and three Liquefied Natural Gas (LNG) stations would be built in Ajaokuta to facilitate gas transportation and reduce costs.
Shettima Imam, Executive Vice President of Cleanergy Innovation Ltd, commended the initiative, emphasizing that the new CNG filling stations align with global best practices and signify a commitment to diversifying Nigeria’s energy offerings. He highlighted that these stations represent progress toward affordable, sustainable, and locally sourced fuel solutions.
It was also explained that the government’s previous petrol subsidies cost an average car owner about N6m to N9m per year, but using CNG could save an average car owner approximately N12m annually.