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Firm News > Blog > Energy > FG Intensifies CNG Drive to Cut Transport Costs, Targets One Million Vehicles
Energy

FG Intensifies CNG Drive to Cut Transport Costs, Targets One Million Vehicles

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Last updated: October 18, 2026 4:27 pm
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1 week ago
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…Ekpo Tasks Pi-CNG, Decade of Gas on Faster Nationwide Rollout

 

The Federal Government has renewed its commitment to promoting Compressed Natural Gas (CNG) as an affordable alternative to petrol for transportation, directing relevant agencies to accelerate efforts towards deploying one million CNG-powered vehicles across the country.

 

The Minister of State for Petroleum Resources (Gas), Rt. Hon. Ekperikpe Ekpo, gave the directive in Abuja while receiving progress reports from the Presidential Initiative on Compressed Natural Gas and Electric Vehicles (Pi-CNG & EV) and the Decade of Gas (DoGas) Secretariat.

 

Ekpo tasked the leadership of both bodies with prioritising critical interventions, increasing investments, expanding refuelling infrastructure and strengthening programmes to encourage the nationwide adoption of CNG.

 

He stressed the need to translate the Federal Government’s Auto CNG policy into tangible benefits for Nigerians, particularly through reduced transportation costs.

 

According to the minister, the initiative has become more urgent following the removal of petrol subsidy and the need to provide Nigerians with a cheaper and more environmentally friendly transportation alternative in line with President Bola Ahmed Tinubu’s economic agenda.

 

He noted that Nigeria’s abundant natural gas resources offered significant opportunities to reduce transportation expenses, increase domestic gas utilisation and stimulate economic growth.

 

Ekpo emphasised the importance of sustained investment in CNG refuelling stations, vehicle conversion facilities and other critical infrastructure required to support the transition from petrol-powered vehicles.

 

He commended the leadership of Pi-CNG & EV for the progress recorded under its current management and assured the initiative of the government’s continued support in achieving its objectives.

 

The minister also highlighted improvements in domestic gas supply, noting that Nigeria’s gas consumption had risen above two billion cubic feet per day for the first time in the country’s history.

 

“Nigeria is a gas nation with a gas reserves index of over 80 years, and that is why we are talking about the Decade(s) of Gas.

 

“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,” he said.

 

In his remarks, the Executive Chairman and Chief Executive Officer of Pi-CNG & EV, Mr Ismaeel Ahmed, said the initiative would intensify investments and programmes aimed at expanding CNG infrastructure and increasing vehicle conversions nationwide.

 

Ahmed expressed optimism that the expanded adoption of CNG would help lower transportation costs for millions of Nigerians while promoting the use of locally available energy resources.

 

He explained that a joint industry market study completed by the Decade of Gas Secretariat had provided a framework for accelerating the rollout of CNG infrastructure and vehicles.

 

According to him, the study would also support progress monitoring, identify implementation gaps and strengthen strategies for increasing the adoption of CNG as a transportation fuel.

 

Similarly, the Coordinator of the Decade of Gas Secretariat, Mr Ed Ubong, described CNG as a critical component of Nigeria’s energy transition and reaffirmed the secretariat’s commitment to supporting the presidential initiative.

 

Ubong said the secretariat would continue to promote greater domestic and export utilisation of natural gas to deliver economic benefits to Nigerians and investors.

 

The Federal Government’s renewed push for CNG adoption is aimed at expanding access to more affordable transportation, encouraging domestic utilisation of Nigeria’s gas resources and supporting the country’s broader economic development objectives.

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