…As NNPC Plans to Roll Out Six More CNG Stations Nationwide
In a strategic move to provide alternative fuel sources and alleviate the impact of subsidy removal on petrol, the Federal Government has commissioned a 5.2 million standard cubic feet per day (mmscfd) Compressed Natural Gas (CNG) plant in Lagos. The commissioning took place on Thursday at the Isolo Industrial Area, Ilasamaja, with Minister of State for Petroleum Resources (Gas), Rt. Hon. Ekperikpe Ekpo, leading the ceremony.
The event, themed “From Gas to Prosperity: CNG for All,” marks a significant milestone in the nation’s pursuit of affordable, sustainable, and secure energy sources. Minister Ekpo emphasized that 2024 is a historic year for Nigerians, highlighting President Bola Tinubu’s bold decision to eliminate fuel subsidies and promote Liquefied Petroleum Gas (LPG) as pivotal in bringing about new opportunities and improvements in the lives of citizens.
“Although the elimination of the Premium Motor Spirit (PMS) subsidy has brought difficulties, it has also given us a once-in-a-lifetime chance to invent and adopt more economical, efficient, and sustainable energy alternatives,” Minister Ekpo stated. He pointed out that CNG, a globally recognized mature technology, is the cleanest burning fuel in terms of nitrogen-oxide and soot emissions. CNG passenger vehicles emit 5-10% less CO2 compared to their gasoline-powered counterparts.
GCEO NNPC Limited, Mallam Mele Kyari, underscored the company’s commitment to maintaining energy security and expanding access to CNG. He announced a Final Investment Decision (FID) with Axxela Limited to establish six CNG mother and service station plants, each with a capacity of 5.2mmscfd, across the six geopolitical zones and the FCT.
“NNPC will continue to deliver more strategic projects for the benefit of our country. We shall utilize our gas resources for industrialization, power generation, and economic prosperity for all,” Kyari stated. He also revealed NNPC Retail’s phased deployment of CNG across over 100 stations nationwide, part of the broader initiative to grow domestic gas supply and utilization.
Lagos State Governor, Babajide Sanwo-Olu, praised the establishment of the CNG plant, aligning it with his vision for economic development, job creation, and industrialization in Lagos. He announced the state’s plans to deploy 2,500 conversion kits and over 2,000 new CNG buses, set to commence operations before year-end.
Ogun State Governor, Dapo Abiodun, represented by Environment Commissioner Mr. Ola Oresanya, expressed support for capacity building in CNG conversion to foster economic development within and beyond the state.
In his goodwill message, Engineer Michael Oluwagbemi, Chief Executive of the Presidential CNG Initiative, hailed the plant as a testament to President Tinubu’s commitment to sustainable energy solutions. Axxela CEO, Bolaji Osunsanya, thanked stakeholders for their support, noting the company’s long-term vision to deliver cleaner, cheaper energy to Nigerians.
The NNPC CNG Station in Ilasamaja is designed to serve vehicles and supply gas to industries, featuring dispensing points for cars, buses, trucks, and tricycles. The facility can fill about 3,700 cars or 600 trucks/buses daily, ensuring a steady supply of CNG.
The state-of-the-art plant was developed through a partnership between NNPC Gas Marketing Limited (NGML) and Transit Gas Nigeria Limited (An Axxela Company).
