The Nigerian National Petroleum Company Limited revealed on Thursday that utilising Compressed Natural Gas in automobiles is 40% cheaper than using Premium Motor Spirit, also known as petrol.
The NNPC also announced that 100 CNG stations would be operational countrywide in 12 months, as it opened 11 CNG stations in Abuja and Lagos on Thursday. Speaking at one of the locations in Abuja, Huub Stokman, Managing Director of NNPC Retail Limited, stated that the stations are a significant step towards expanding the national oil firm’s CNG presence in Nigeria, as well as an important milestone in the company’s attempts to diversify Nigeria’s energy mix.
“Adding CNG to NNPC stations gives Nigeria an economical alternative to traditional gasoline products.CNG will be around 40% cheaper than petrol in Nigeria. And with continuous investment, it has the potential to become a big element of our energy mix,” the statement read.
Stokman disclosed that NNPC Retail will launch over 100 CNG sites in the next 12 months, he further stated that NNPC was assisting its implementation partners to establish two mechanical training centres combined with conversion centres in Abuja and Lagos stressing that Nigeria is utilising its own natural resources to bring affordable energy to the people of Nigeria, and NNPC Retail is very proud to be part of.
Mele Kyari, the Group CEO of NNPC, in his remarks stated that the business and its partners were constructing infrastructure to deliver CNG closer to end customers.
Kyari stated, “I can see the positives; people are saying it works for them; it is a cheaper and cleaner fuel, and it is available. We intend to roll it out across all of the federation’s states, and it is already under progress”.
In his words, NNPC will build six CNG mother stations across the country between now and December and also construct three LNG (Liquefied Natural Gas) plants in Ajaokuta, one of which is owned by us and the other two in collaboration.
Shettima Imam, Executive Vice President of Cleanergy Innovation Ltd, NNPC’s partners in the design and installation of the CNG stations, stated that the retail outlets are a significant step forward in Nigeria’s quest for affordable, sustainable, locally sourced, and environmentally friendly fuel solutions.
He reiterated that the CIL team’s competence and dedication, with the full support of the NNPC Retail team and its senior management, after thorough planning and safeguards, have ensured the successful completion and delivery of this first part of the project, in record time from the arrival of the equipments in Nigeria.
It was also revealed at the event that the government has been subsidising an average car owner’s petrol use by between N6 million to N9 million per year.
However, with the distribution and use of CNG, the average automobile owner may save approximately N12 million per year.
