Nigeria to start production of CNG conversion kits soon — PCNGI

Nigeria to start production of CNG conversion kits soon — PCNGI

Nigeria is set to commence the production of components currently being imported for the conversion of vehicles to run on compressed natural gas (CNG).

Already President Bola Tinubu has approved the establishment of CNG industrial parks for this purpose.

Chief Executive Officer (CEO)/Programme Director of the Presidential Compressed Natural Gas Initiative (PCNGI), Engr. Michael Oluwagbemi, disclosed this in Lagos at a training workshop organised by the Nigeria Auto Journalists Association’s (NAJA).

He said the government would vigorously purse this project with a firm belief that the CNG revolution is a catalyst for Nigeria’s industrialisation.

Oluwagbemi who was represented at the event by Mr. Olayinka Rufai, Strategic Project Adviser at the PCNGI, in his presentation, said the government had identified manufacturers of components for CNG vehicle conversion that had indicated interest to establish their plants in Nigeria.

He said, “We do not want to replace the importation of fuel with the importation of equipment.

“In government’s ambitious mission to convert a million commercial vehicles in three years (amongst other targets) there lies an opportunity to establish local production of these conversion kits and their components.

“As such we are in advanced stages of preparation to set up industrial parks where CNG related equipment, materials, and components are produced.

“We have identified the central and well-suited Ajaokuta Steel Complex for the first of these parks. We have identified manufacturers of conversion kits, cylinders, and even tricycles who have all indicated interest in establishing facilities to assemble or produce from scratch.”

According to the PCNGI CEO, the initiative will drive down the demand for foreign exchange and boost the economy.

Indeed, he added that it would create job opportunities for the youth, skilled labour, and “eventually bring in foreign exchange as we begin to generate export capacity.”

Oluwagbemi stressed that Nigeria is more of a gas than an oil country, adding that the adoption of the CNG as a primary fuel source for vehicles would offer a tangible, immediate gain for all Nigerians.

He said, “CNG allows us to decrease our reliance on imported fuels and build a more resilient energy future.

“By using CNG, vehicle owners will see a reduction in fuel costs of up to 50%, which is especially critical for drivers who rely on their vehicles for income and transport.

“Additionally, CNG-powered vehicles are known for significantly lower maintenance costs. Unlike petrol and diesel, CNG burns cleaner, resulting in fewer engine deposits and less frequent oil changes, ultimately extending the life of vehicle engines and reducing repair expenses.”

He disclosed the FG was determined to drive the CNG vision to achieve maximum success.

He said apart from injecting $250 million in the past 12 months, the government was also collaborating with financial institutions for easy access by motorists.

He listed InfraCorp, Bank of Industry (BoI) and Development Bank of Nigeria (DBN) as some of the financial institutions the government was working with to ease the conversion costs for vehicle owners.

Oluwagbemi said the government planned to convert a million petrol and diesel powered-engine vehicles to run on CNG by 2027.

He assured Nigerians of the safety of CNG-powered vehicles either obtained from credible auto firm or converted at any government-approved centre.

He said the Standard Organization of Nigeria (SON) and the National Automotive Design and Development Council (NADDC) had been part of the safety and standard regulations for the project.

He specifically said the SON had provided over 80 standards on the CNG, while the NADDC handles the conversion centre accreditation and conversion kit certification.

“Let me be clear — CNG is not only safe but, in many ways, even safer than traditional fuels. CNG cylinders are rigorously tested to withstand high pressures, and because natural gas is lighter than air, it disperses quickly in the highly unlikely event of a leak, reducing the risk of fire,” he stated.

Oluwagbemi commended NAJA for organising the event and its consistent commitment to informing and educating the public about advances in the nation’s auto industry.

He particularly noted that the theme, ‘CNG/LPG/EV Initiative: Challenges, Sustainability, Opportunities, Alternatives to Fossil Fuels in Nigeria’ was timely, speaking not only to the nation’s energy and environmental goals but also to a larger economic vision.