In Compliance with the President’s directive, the Nigerian National Petroleum Company Limited, NNPCL on Thursday, 3rd August 2023, announced its partnership with Nipco Gas Limited for the development and deployment of Compressed Natural Gas stations across the country to supplement the high cost fuel.

Group Managing Director of NNPCL, Mele Kyari

This statement is contained in a press release by NNPC and signed by Garba Deen Muhammad, Chief Corporate Communications, Officer, NNPC Ltd, Abuja, on 3rd August 2023

Speaking at the headquarters of the national oil firm in Abuja, the Group Chief Executive Officer, NNPCL, Mele Kyari, said the President, Bola Tinubu, directed the oil company to source for alternative forms of fuel to cushion the effect of PMS subsidy removal.

Kyari said,

As part of NNPCL’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 stations.

Mele Kyari – Group Managing Director of NNPCL

He explained that under the NNPC-Nipco strategic partnership, 35 state-of-the-art CNG stations would be constructed nationwide, including three mother stations.

According to him;

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

Mele Kyari

He also stated that 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.

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.

He emphasized that 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.

Mele Kyari, of NNPCL and Managing Director, Nipco Gas Limited, Nagendra Verma

The Managing Director, Nipco Gas Limited, Nagendra Verma, said the use of gas in automobiles was safe, and promised that his firm would work with the NNPCL to deliver the project.

CNG, popularly called autogas, is another form of fuel that could be used in automobiles, and the push for its adoption had been high since the removal of subsidy on Premium Motor Spirit, popularly called petrol.

Story: Christy Dung