Nigeria launches new Abuja CNG station as private funding hits $2.6 billion

The Presidential Initiative on Compressed Natural Gas and Electric Vehicles (Pi-CNG & EV) launched a new refueling station in Abuja to expand Nigeria's alternative energy infrastructure.

The project involved a partnership between the initiative and Rolling Energy to renovate an abandoned site into a CNG Integrated Refuelling Unit. This facility provides both fuel dispensing and vehicle conversion services for motorists.

Ismaeel Ahmed, the executive chairman of the Pi-CNG & EV secretariat, stated that the private sector has invested $2.6 billion into the compressed natural gas sub-sector. He noted that Nigeria currently operates 106 refueling stations, with another 170 units in development or awaiting licenses from the Nigerian Midstream and Downstream Petroleum Regulatory Authority. The administration of President Bola Ahmed Tinubu directed the deployment of 2,000 additional refueling units in two phases to reach more high-traffic corridors.

The transition to CNG aims to lower transportation costs for Nigerians. Ahmed reported that CNG-powered buses reduced travel costs by 30 to 40 per cent on specific routes, such as the Kano-Katsina route, where fares dropped from 3,000 to 4,000 Naira to approximately 1,500 Naira. While the number of available buses is currently limited, the government plans to increase their deployment to improve public access to affordable fuel.

Temitope Fashedemi, the Permanent Secretary of the State House, explained that the government provided the land for the new facility while the private sector funded the renovation and operations. The State House already uses hybrid vehicles and shuttle buses that run on CNG. The new unit can serve 150 vehicles daily and convert 12 vehicles per day into CNG-powered systems.