Stakeholders across government and industry have assessed the implementation of Nigeria’s Compressed Natural Gas (CNG) policy, raising key questions around funding, safety, accessibility, and sustainability.
At an investigative hearing held in Abuja by the House of Representatives Ad-Hoc Committee on the Implementation of the CNG Policy, the Project Director of the Presidential CNG Initiative (PCNGi), Mr Michael Oluwagbemi, revealed that Nigeria currently has 300 CNG conversion centres—up from just seven at inception.
According to him, the initiative has now expanded into 24 states from an initial five, with partnerships in place to convert vehicles at no cost to stakeholders. He also noted that the initiative maintains zero tolerance for corruption, disclosing that two staff members had been dismissed for misconduct.
He appealed to the committee for additional funding to scale up vehicle conversions and said states not yet covered would be reached in the next phase. “We are also training more youths for the upcoming phase two of the programme,” he stated.
Also speaking, the Minister of State for Petroleum (Gas), Mr Ekperikpe Ekpo, represented by the ministry’s Permanent Secretary, Mr Vitalis Ibe, said more CNG centres would be established nationwide.
“This initiative is pocket-friendly and will address climate change, reduce emissions, and create jobs,” he said.
Speaker of the House of Representatives, Mr Tajudeen Abbas, represented by Mr Sada Soli, described the CNG policy as a central pillar of Nigeria’s energy transition strategy.
“It represents a strategic shift towards cleaner, safer, and more economically viable alternatives to conventional fossil fuels, especially in our transportation sector. With Nigeria’s abundant reserves of natural gas, the promotion of CNG as a motor fuel is not only logical but also vital to achieving our broader goals of energy security, environmental sustainability, and economic diversification,” he said.
He acknowledged that while the CNG initiative was introduced as a palliative following fuel subsidy removal, concerns have emerged regarding the pace of implementation and readiness of supporting infrastructure.
“Our concern is not just about the intentions of the policy, but the mechanisms of its execution — are the funds appropriated being judiciously utilised? Are Nigerians feeling the impact? Are safety and environmental standards being upheld? Are stakeholders adequately carried along?” Mr Abbas asked.
Chairman of the Ad-Hoc Committee, Mr Jaha Ahmed Usman, said the hearing was convened under Sections 62, 88, and 89 of the 1999 Constitution (as amended), to examine how the policy is being implemented.
He added that the session followed House Resolution HR.123/05/2025 on the urgent call to establish more CNG conversion centres across Nigeria.
“Following the removal of fuel subsidy in May 2023, the Federal Government under the Renewed Hope Agenda of His Excellency, President Bola Ahmed Tinubu GCFR, launched the Presidential CNG Initiative in August 2023 to mitigate economic shocks, reduce fuel costs, and promote clean energy alternatives,” he said.
Mr Usman listed the committee’s objectives as evaluating the safety, equity, global compliance, and legal framework of the policy. He noted that the ₦100 billion allocated from the ₦500 billion palliative fund must be transparently accounted for.
He further queried: “What is the scale and credibility of the ₦760 billion private investment claim? Are the conversion centres and refuelling stations adequately spread across the federation? What frameworks ensure safety and protect against substandard conversions?”
In his remarks, Executive Vice President for Gas at the Nigerian National Petroleum Company Limited (NNPCL), Mr Lekan Ogunleye, said previous efforts to introduce CNG failed, but the current administration has made significant progress.
“We commend the President Bola Ahmed Tinubu administration for pushing this policy forward. NNPCL has appointed a focal person to liaise with private investors and ensure backbone infrastructure is available,” he stated, adding that Nigerians would benefit from 50 percent discounts on conversions.
Representatives from the National Union of Road Transport Workers (NURTW), the Road Transport Employers Association of Nigeria (RTEAN), and other stakeholders praised the initiative but urged the government to ensure equitable access across all states.
They also affirmed the safety and viability of CNG as a transport fuel.
PIAK