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Economic Reform: FG Ramps Up Free CNG Conversion for Commercial Vehicles Nationwide
•Commences negotiation with NMDPRA to sell gas at N300/kg
•Hands over conversion kits to beneficiaries in Abuja, Nasarawa, others
Emmanuel Addeh in Abuja
The federal government yesterday continued the free conversion of petrol and diesel-powered commercial vehicles to Compressed Natural Gas (CNG), in a bid to ameliorate the harsh impact of the ongoing economic reforms nationwide.
The government also said that it was in talks with the leadership of the Nigerian Midstream and Downstream Petroleum Regulatory Authority (NMDPRA) to provide concessionary pricing for gas that will see Nigerians fill their vehicles at between N230 and N300 per kilogramme.
Speaking at the Park to Park CNG Conversion Mobilisation event in Abuja, the Programme Director and Chief Executive of the Presidential CNG Initiative (PCNGI), Michael Oluwagbemi, described the programme as a ‘radical revolution’ that will significantly change vehicle energy consumption in the country.
He stated that it was the plan of President Bola Tinubu that Nigerians should no longer use expensive fuels, noting that CNG remains a cheaper and cleaner source of fuel.
The event which was to sensitise members of the National Union of Road Transport Workers (NURTW) on the critical importance of the programme in Abuja, Niger, Kogi and Nasarawa also witnessed the handing over of conversion kits to the group.
“We are all gathered here to witness a radical revolution in Nigerian transportation. If you recall, many months ago Mr. President promised us that instead of using expensive petrol, he would enable Nigerians to benefit from the gas that God has given us. We are here today not to talk, but to walk the talk.
“We are here today to witness the handing over of the critical equipment, materials, conversion kits, to the people that will convert your vehicles and enable your vehicles to run cheaper, safely, and more reliably. Today, we are witnessing one of many actions that Mr. President has promised us.
“Those actions are meant to allow you, the operators in this transport sector, to be able to benefit from the government’s package, but also to pass on this package to our people. We know that as a result of the overall rise in transportation costs, many of our people are asking for relief.
“The activity we are witnessing here today, which is the handover of these conversion kits and cylinders to various organisations, that will enable you to go and convert your vehicles so that it can run not just on petrol, but it can run on gas, and to do it for free is a big step in that direction,” Oluwagbemi stressed.
The CEO of the PCNGI stressed that it was just one of the many initiatives of the president, which will see the conversion of about 1 million vehicles for free nationwide.
He stated that when the programme started, there were just seven conversion centres, but added that with the support of the president, they have now expanded to over 120 centres across the country.
“When we started this programme last year, we had just seven of them. Across Nigeria today, because of the assistance of Mr. President, because of his support for the sector, we have well over 120, and today you will be witnessing a few of them signing this agreement,” he stressed.
Oluwagbemi pointed out that the presidential initiative was working closely with the Nigerian National Petroleum Company Limited (NNPC), NIPCO, Bovas, and various other organisations to ensure that CNG refuelling systems were made available nationwide.
“In all of this, you will be enjoying cheaper costs of fuel. Mr. President has ensured by working with NMDPRA to keep concessionary pricing for gas for vehicles, which will ensure that you are filling your vehicles at between N230 and N300 per kg.
“This is huge. And when this happens, that means you have more profits, that means you have more passengers, because your customers will be enjoying cheaper costs of transportation, and that will mean a better life for you, your family, and for all Nigerians,” he said.
In his remarks, the National Chairman, NURTW, Yasin Najeem, said with the Memorandum of Agreement (MoA) with the company that will handle the conversion of the vehicles in the zone, the programme will henceforth be seamless.
“I will like to call on our members to support and key into this programme. The aim of Mr. President is to make sure that this is a policy for the transport workers of this region.
“We all know that if there is rise in transport cost, it affects everything in the country because you must use transport. So I want to on this note commend the initiative of Mr. President and all Nigerians,” he said.