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Home OIL & GAS Fuel subsidy: Over 7,000 vehicles now running on gas in Nigeria-NIPCO

Fuel subsidy: Over 7,000 vehicles now running on gas in Nigeria-NIPCO

.Says AutoCNG to be a preferred fuel of choice

The Managing Director, NIPCO Gas, Nagendra Verma, has disclosed that the company currently fuel over 7,000 vehicles in Nigeria with AutoCNG (Compressed Natural Gas), saying that more fleet operators are converting their fleet on AutoCNG due to safety, availability and economic reasons.

Verma who was speaking in Lagos on Thursday, said the major oil company now has  four AutoCNG conversion workshops in Edo, Ogun state and Abuja FCT to convert Premium Motor Spirit (PMS) vehicles on AutoCNG.

“NIPCO Gas presently fueling over 7000 vehicles with AutoCNG. NIPCO Gas has four AutoCNG conversion workshops in Edo, Ogun state and Abuja FCT to convert Premium Motor Spirit (PMS) vehicles on AutoCNG. More and more fleet operators are converting their fleet on AutoCNG due to safety, availability and economic reasons”, he stated

With the intentions of Federal Government to do away with fuel subsidy, natural gas by way of Pipe Natural Gas (PNG), Compressed Natural Gas (CNG), and Auto CNG is bound to be a preferred fuel of choice in Nigeria.

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Speaking in Lagos on Thursday, Managing Director, NIPCO Gas, Nagendra C, said natural gas will soon become fuel of choice due to its safely, environment, economic and abundant availability reasons in Nigeria.

“NIPCO Gas feels that increased monitisation of indigenous natural gas will surely contribute heavily in betterment of economic situation and employment in Nigeria. Deepened utilization of indigenous natural gas by way of PNG, CNG and AutoCNG will certainly help Federal Government in reduced subsidy burden and reduced importation of other fossil fuels thereby saving towards exchequer”, he said.

Verma noted that NIPCO Gas has total belief and expects that Federal Government’s declaration of 2020-2030 as the “Decade of Gas” with an aim to target gas powered economy of Nigeria by year 2030 bundled with Nigeria Gas Expansion Program (NGEP), will certainly improve the utilization of indigenous fuel, natural gas and play major role in improving Nigeria’s economy.

Highlighting the huge investment the company in the gas sub-sector, Verma said: NIPCO Gas in partnership with NNPC Gas Marketing Limited (NGML) is presently constructing approximately 80 kms of pipeline in phased manner from Sagamu to Ibadan which will cater to industries power and fuel requirements. Pipeline construction work is progressing in full swing presently. First phase of pipeline construction is expected to compete by end of 2023.

NIPCO Gas in partnership with NGML is also constructing gas distribution infrastructure in Lekki Free Zone. Pipeline construction within Lekki Free Zone Development Company is on final stage of completion and city gate station is under construction. NIPCO Gas has planned to commission the gas infrastructure and start supplying natural gas to customers latest June 2023 and extend to Ibadan next year”.

“Presently, NIPCO Gas operates 12 CNG stations in Edo, Kogi, Delta, Ogun state and Abuja FCT. More CNG stations are under various stages of construction and approval in Oyo, Lagos, Akwa Ibom state and Abuja FCT. These CNG stations cater to AutoGas requirement of vehicles by providing a cleaner, safer, economical, proven and indigenous fuel. NIPCO Gas presently fueling over 7000 vehicles with AutoCNG. NIPCO Gas has four AutoCNG conversion workshops in Edo, Ogun state and Abuja FCT to convert Premium Motor Spirit (PMS) vehicles on AutoCNG. More and more fleet operators are converting their fleet on AutoCNG due to safety, availability and economic reasons.

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