The Nigerian National Petroleum Company Ltd (NNPCL), on Thursday commissioned 12 compressed natural gas (CNG) stations to reduce transportation cost in the country.
Tinubu had on May 29, last year announced the removal of subsidy on petrol, a development that made the price rise from N197 per liter to N690 per liter.
The newly built CNG stations, which had six in Lagos and six in Abuja, were commissioned by the Minister of State for Petroleum Resources (Gas) Ekperikpe Ekpo.
Together, the Abuja and Lagos stations have a combined dispensing capacity of over 6 million standard cubic feet (MMSCF) of CNG per day, serving approximately 15,000 vehicles daily.
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The Group Chief Executive Officer of NNPC Limited, Mallam Mele Kyari, said that in addition to the massive deployment of CNG stations nationwide, the NNPC Ltd and its partners would also build three liquefied natural gas (LNG) stations in Ajaokuta.
“There is simply no way to turn back on delivering CNG for all Nigerians. It is the right thing to do. Is it late? Yes, but we will make progress, we will cover the gap in order to ensure that the volatility we see with petrol does not apply to gas,” Kyari stated.
The GCEO commended President Bola Ahmed Tinubu for providing the needed support to drive domestic gas utilisation, aimed at delivering cleaner and cheaper sources of energy to Nigerians.
While assuring that the NNPC Ltd will continue to deliver more strategic gas projects for the benefit of Nigerians in line with the presidential CNG initiative of bringing prosperity to all Nigerians, Kyari reaffirmed the determination of the NNPC to guarantee the country’s energy security.
Also speaking at the occasion, the managing director, NNPC Retail Limited, Mr Huub Stokman, revealed that in the next one year, NNPC Retail would have launched over 100 CNG sites, including 16 NNPC gas marketing and NIPCO gas JV sites.
“CNG provides Nigeria with affordable alternatives to existing available fuel products. It will be about 40 per cent cheaper than petrol in Nigeria; and with continued investments, it will become a significant part of our energy mix,” Stokman added.
On his part, the chairman of the NNPC Board of Directors, Chief Pius Akinyelure, said increased CNG adoption would foster economic benefits by reducing fuel cost for consumers and businesses alike.
Under the presidential CNG initiative, NNPC and NIPCO gas entered into a strategic partnership for expansion of CNG stations across Nigeria. Under this partnership, 35 CNG stations are to be constructed across Nigeria.
These CNG stations feature advanced reciprocating and hydraulic booster compressors, ensuring a dispensing pressure of 200 bar for CNG vehicles.
The CNG is supplied to stations in Abuja and Lagos via virtual transportation from mother stations in Ajaokuta, Kogi State and lbafo in Ogun state.
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