PCNGi invested $200m in CNG, converted 100,000 vehicles — CEO

The Presidential Compressed Natural Gas Initiative (PCNGi) has announced that more than $200 million has been invested in the Compressed Natural Gas (CNG) value chain.

Project Director and CEO of PCNGi, Michael Oluwagbemi, noted that the initiative has successfully converted over 100,000 vehicles from petrol to CNG.

In a statement released on Wednesday, Oluwagbemi also noted the establishment of 140 conversion centres across the country.

Oluwagbemi stressed the programme’s achievements, noting that thousands of new jobs and economic opportunities are opening up along the line.

“To date, over 100,000 vehicles have been converted from petrol to CNG/bi-fuel-powered, and more conversion centres are being established across the country. In addition, investors are ramping up the development and deployment of CNG infrastructure, with over $200 million already invested across the value chain,” he said.

The PCNGi responded to what it called a “toxic debate” against the initiative in the media, stressing the importance of CNG in Nigeria’s energy security and the financial savings it could bring.

Oluwagbemi explained that the shift from petrol to CNG could save the nation approximately $3 billion annually while contributing an additional $2 billion in revenue over the next three to four years.

“It is surprising how the choice of petrol, for which Nigeria spends about $10 billion annually on subsidy, and CNG, which has the potential to save the nation $3 billion while adding $2 billion in revenue to the national purse, is an issue of toxic debate,” he stated.

The initiative has also grown, with the number of conversion centres rising from just seven in 2023 to more than 140 nationwide.

Over 2,000 Nigerians have already been employed across these centres, and with further expansion, more job opportunities are expected.

“We see this as an opportunity rather than a challenge, and we are already deepening the development of CNG infrastructure with our partners. However, the number of conversion centres has risen from seven in 2023 to more than 140 across the country,” Oluwagbemi stated.

“More than 2,000 Nigerians have been employed in these conversion centres, with more jobs in the offing as CNG penetration ratchets up.

“In the past year, the private sector invested over N2 billion to establish these conversion centres, and another N6 to N10 billion will go into setting up more centres to meet the targeted 1,000 centres required to transform the nation’s energy dynamics.”