The President Bola Ahmed Tinubu-led Federal Government says it is targeting the conversion of one million vehicles to Compressed Natural Gas (CNG) by 2027.
The Strategic Business Education Adviser, Presidential Initiative on CNG program Babajide Awolowo disclosed this on Tuesday at a stakeholders forum organized by the Kogi State Government in collaboration with Automotive Gas Nigeria Services Limited, (AUTOGAS Nigeria) with the theme “During sustainable energy: the future of CNG in Kogi State”.
Awolowo noted that, between December 2023 and May 2024, the present administration mobilized $50 million directly to the CNG sector.
His words, “We have set an ambitious target of 1 million vehicle conversions by 2027 for ourselves at the Presidential initiative on CNG (Pi-CNG) because powering our vehicles by using our God-given resource has become imperative.
“We may recall that President Bola Ahmed Tinubu made one of the boldest pronouncements ever made by a government on May 29, 2023, by stating that the subsidy was gone. As you know, subsidy on PMS has been in place in Nigeria since 1977 and has contributed to years of budget deficits, significant leakages, and corruption, while also impacting the effectiveness of our economy.
“This decision was a challenging one as it automatically led to an increase in fuel price. In seeking options for fuelling outside PMS (that we all call Petrol) and gasoil which is known as Diesel, Mr. President believed a cheaper, more cost-efficient, layman’s and cleaner
alternatives should be introduced to Nigerians.