The Nigerian National Petroleum Company Limited (NNPCL) and its partner, NIPCO Plc, are to establish 56 compressed natural gas (CNG) stations across major cities in Nigeria, in a strategic step towards reducing energy cost and carbon footprints in Nigeria.
Also on the card is the establishment of vehicle conversion kits manufacturing plants in Nigeria.
Speaking at a media briefing in Abuja on Thursday, the Group Chief Executive Officer, NNPCL, Mr Mele Kyari said the move was consistent with the organisation’s commitment to providing cheaper alternative fuel to motorists.
The landmark collaboration, he added, aims to expand the existing CNG infrastructure, improve access to CNG, and accelerate the adoption of cheaper and cleaner alternative fuel for buses, cars and Keke NAPEP, which will significantly reduce the cost of transportation and engender sustainable national economic growth.
“Under the NNPC-NIPCO strategic partnership, 35 state-of-the-art CNG stations will be constructed nationwide, including three mother stations in Lagos, Ogun and Delta States.
“Once fully operational, the stations can service over 200,000 vehicles daily, thereby significantly reducing carbon emissions and associated impact on climate.
“The project will be rolled out in phases. The first phase, comprising 21 CNG stations, will support intra-city transportation and be ready by the first quarter of 2024; While the second phase, comprising 35 CNG stations, will support inter-city transformation and will be ready by the first quarter of 2025.
“To deepen and sustain this initiative, NNPCL has floated NNPC Prime LNG Limited for domestic LNG production and supply. NNPC is also collaborating with Miju Auto Gas, a leading CNG kit Equipment Manufacturer (OEM) based in India, to set up training and conversion centres to facilitate in-country conversion of vehicles from petrol to CNG”, he explained.