Presidential Initiative on Compressed Natural Gas (Pi-CNG) has announced a 50% reduction in the cost of converting petrol-powered vehicles to gas, from N1.2 million to N600,000.
Gatekeepers News reports that this move is part of the Federal Government’s efforts to promote a shift to a more cost-effective and sustainable transportation system.
According to Programme Director Michael Oluwagbemi, “This discount is part of our efforts to encourage a popular shift to CNG, which is a more cost-effective and sustainable transportation system.”
Portland Gas Managing Director, Folajimi Mohammed, highlighted the benefits of CNG-powered vehicles, stating, “We are seeing close to about 76% savings in cost alone. So, without a doubt, we know that adoption of CNG is almost inevitable.”
Mohammed addressed safety concerns, explaining that CNG is lighter than air and has a slim chance of fire outbreak. He also noted that converted vehicles can recover the cost of conversion (N1.2 million) in just a year.
Oluwagbemi announced that over $50 million has been mobilized in the CNG sector since the inception of the Initiative, a feat not achieved in the last 10 years. He added that the government is providing conversion kits to transporters at a 50% discount, along with other incentives and initiatives to ensure a seamless transition to CNG.
The event’s theme, “Driving sustainable transportation: Accelerating CNG adoption in Nigeria,” reflects the government’s commitment to reducing the cost of public transportation by introducing CNG buses and tricycles (Keke).
