Fuel Price Hike: Tinubu Orders Deployment of 100,000 CNG Conversion Kits Nationwide
In a bid to address the impact of the war in the Middle East on transportation costs in Nigeria, President Bola Tinubu has directed the immediate deployment of approximately 100,000 Compressed Natural Gas (CNG) conversion kits across the country.
The Executive Chairman of the Presidential Initiative on Compressed Natural Gas (Pi-CNG), Ismaeel Ahmed, disclosed this after meeting with the president at the State House, Abuja. Ahmed stated that the president is closely monitoring global developments and their impact on Nigeria’s energy costs, particularly the effect of the conflict in the Middle East on fuel prices and transportation.
According to Ahmed, Tinubu has mandated the Pi-CNG initiative to accelerate the rollout of CNG infrastructure and alternative mobility solutions nationwide. He explained that the kits would enable vehicle owners and tricycle operators to convert their engines from petrol to CNG. The deployment is expected to begin within the next two to three weeks.
The Pi-CNG chairman further explained that the government is already developing a network of refuelling stations and charging facilities to support the transition to gas-powered and electric vehicles. He noted that approximately 77 CNG refilling stations are currently at various stages of development nationwide. He referenced Kano, where two Liquefied Compressed Natural Gas (LCNG) stations are already operational, while several “daughter stations” are under construction.
The government, Ahmed stated, plans to establish a chain of refuelling points along major transport routes stretching from Lokoja through Abuja, Kaduna, Zaria and Kano up to Maiduguri.
Ahmed also revealed that the Pi-CNG initiative is working with local and international manufacturers to support vehicle conversion and the local assembly of CNG-powered and electric vehicles. He noted that several manufacturers have already expressed interest in setting up assembly lines in Nigeria, a move he said would boost job creation and strengthen the local automotive industry.
This directive comes as fuel prices in Nigeria have surpassed ₦1,000 per litre, a surge partly attributed to the ongoing conflict between Iran and the United States/Israel.
On Monday, the Dangote Refinery increased the price of petrol to ₦1,175 per litre, up from ₦995 per litre on March 7 and ₦874 per litre on March 2. However, by Tuesday, the refinery had reduced the price of the essential commodity.
