The Nigerian Midstream and Downstream Petroleum Regulatory Authority (NMDPRA) has ordered filling stations across the country to begin the sale of Compressed Natural Gas (CNG).
CNG is a fuel gas under pressure that remains clear, odourless and non-corrosive, an alternative to petrol.
According to the managing director of NIPCO, Nagendra Verma Gas, AutoGas for cars, taxis and tricycles is being sold at about ₦200 per standard cubic foot, while for heavy commercial vehicles, CNG is sold at ₦260 per standard cubic meter (SCM).
The chief executive of NMDPRA, Engr Farouk Ahmed, while speaking in a meeting in Abuja, disclosed that it is now compulsory for filling stations to increase CNG accessibility for consumers.
Ahmed also said new applications for retail licences would no longer be approved without CNG points.
He further described the push by the federal government to encourage the use of CNG as an alternative to petrol as a revolution.
He said, “We aim to soon have CNG add-ons in most of our upcoming and larger petrol stations, similar to our existing PMS, AGO, and DPK facilities, to ensure easy access for consumers. However, we must first address the supply side. We are collaborating with producing companies, our sister agency NUPRC, NNPC Limited, and the Gas Aggregation Company of Nigeria (GACN) to ensure the product is available at a competitive cost to consumers.
“This effort aligns with the President’s objective of transitioning the country to more CNG usage for mobility, reducing our heavy dependence on PMS. We are urging companies to invest in this initiative and ensure that CNG points of sale are accessible to consumers.
“After completing consultations, we will mandate that CNG add-ons be included in petrol stations. For new applications, having a CNG add-on will be a requirement for petrol stations.”