The Nigerian National Petroleum Company Limited (NNPC) has unveiled its strategic shift towards Compressed Natural Gas (CNG) as a more affordable and sustainable alternative to petrol.
This groundbreaking initiative promises a 40 per cent cost reduction for consumers and marks a significant step towards diversifying Nigeria’s energy mix.
Key Highlights:
Major Savings: CNG offers a 40% cost reduction compared to Premium Motor Spirit (PMS), commonly known as petrol.
Rapid Expansion: NNPC plans to establish 100 CNG stations across Nigeria within the next 12 months, with 11 new stations already inaugurated in Abuja and Lagos.
Significant Statements:
Huub Stokman, Managing Director of NNPC Retail Limited: “Adding CNG to NNPC stations provides Nigeria with an affordable alternative to existing fuel products. CNG will be about 40 percent cheaper than petrol in Nigeria. And with continued investments, it could become a significant part of our energy mix.”
Mele Kyari, Group Chief Executive Officer, NNPC: “We will construct six CNG mother stations across the country between now and December. We’re building three LNG stations in Ajaokuta to bring gas closer to consumers, ultimately reducing costs and providing cheaper fuel across the country.”
Economic Impact:
Cost Efficiency: With the deployment and use of CNG, an average car owner could save about ₦12 million annually, a significant reduction from the previous petrol subsidies of ₦6 million to ₦9 million per annum.
Environmental Benefits: CNG is a cleaner fuel, contributing to a reduction in emissions and promoting environmental sustainability.