Skip to content
Monday, 19 October 2026
Advertisement
Latest
Business

FG Targets One Million CNG-Powered Vehicles to Cut Transport Costs

ABUJA, October 19, 2026

The Federal Government has intensified efforts to accelerate the adoption of Compressed Natural Gas (CNG), targeting one million CNG-powered vehicles nationwide as part of its strategy to reduce transportation costs, boost domestic gas utilisation and stimulate economic growth.

The Minister of State for Petroleum Resources (Gas), Ekperikpe Ekpo, disclosed this in Abuja while receiving progress reports from the Presidential Initiative on Compressed Natural Gas and Electric Vehicles (Pi-CNG & EV) and the Decade of Gas Secretariat.

Ekpo urged both bodies to accelerate implementation of the government’s CNG programme, emphasising the need for increased investment in refuelling infrastructure, vehicle conversion centres and other critical facilities to support nationwide adoption.

He stressed that the initiative must deliver tangible benefits to Nigerians, particularly through reduced transportation fares following the removal of the petrol subsidy.

According to the minister, Nigeria’s abundant natural gas resources present an opportunity to develop more affordable transportation alternatives, increase domestic gas consumption and drive economic growth.
He reaffirmed the Federal Government’s commitment to the programme, noting that sustained investment in gas infrastructure would be essential to achieving its objectives.

Ekpo also highlighted progress in the domestic gas market, stating that consumption had exceeded two billion cubic feet per day for the first time in the country’s history.

He said Nigeria’s substantial gas reserves provided a strong foundation for the Decade of Gas initiative, which seeks to expand natural gas utilisation across critical sectors of the economy.

The Chairman of Pi-CNG & EV, Ismaeel Ahmed, said the initiative would intensify efforts to attract private-sector investment, expand refuelling infrastructure and increase vehicle conversion capacity across the country.

Ahmed noted that wider adoption of CNG-powered vehicles could help reduce commuting costs while creating new business opportunities across the gas, automotive and transportation sectors.

He added that a joint industry market study conducted by the Decade of Gas Secretariat had provided a framework for accelerating implementation, monitoring progress and identifying gaps requiring government and industry intervention.

Similarly, the Coordinator of the Decade of Gas Secretariat, Ed Ubong, described CNG as an important component of Nigeria’s energy transition, assuring stakeholders of continued collaboration to promote domestic gas utilisation and exports.

The Federal Government’s target of one million CNG-powered vehicles presents potential investment opportunities across Nigeria’s gas and transportation value chains. Key areas include gas distribution, refuelling station development, vehicle conversion services, equipment supply, vehicle maintenance and related technical services.

For businesses, the expansion of CNG infrastructure could stimulate capital investment, create jobs and encourage the development of enterprises supporting cleaner and potentially more affordable transportation.

However, achieving the target will depend on the availability of reliable refuelling infrastructure, affordable conversion services, adequate gas supply and sustained private-sector participation. Effective coordination among government agencies, investors and transport operators will also be crucial.


Edited by :Rosemary Aiyenale

Source: NAN

Advertisement

More from this section

Leave a response

Your email address will not be published. Required fields are marked *