The Federal Government has launched a free program to convert petrol and diesel-powered commercial vehicles to compressed natural gas (CNG), aiming to lower transportation costs nationwide. The initiative began in Abuja and Lagos, urging commercial transport owners to participate by bringing their vehicles for conversion. The government highlighted that using CNG would reduce transportation costs by over 40 percent.
Officials from the Federal Ministry of Information and National Orientation, along with the Presidential Compressed Natural Gas Initiative, monitored the launch in the Federal Capital Territory as transporters brought in their vehicles for conversion.
On Thursday, the Federal Government announced that the conversion of petrol and diesel-powered commercial vehicles to CNG would be free of charge, making the announcement in Abuja after signing agreements with various companies involved in the conversions. It was highlighted that commercial transporters from unions such as the Road Transport Employers Association of Nigeria, the National Union of Road Transport Workers, and the Nigerian Association of Road Transport Owners would benefit.
Michael Oluwagbemi, Programme Director/Chief Executive of the Presidential Compressed Natural Gas Initiative, briefed journalists after the government signed agreements with conversion companies. Speaking at one of the conversion centers on Friday, Lara Ogunleye, Sales and Business Development Manager at P-CNGI, said, “Today, we are at the NASENI Portland Conversion Centre where we have started converting commercial vehicles. The first conversions are from e-hailing cabs, which are part of the scheme.
“The e-hailing cabs are required to pay a fraction of the conversion cost, while transport associations receive 100 percent free conversion, including the cost of kits. We have begun with e-hailing cabs and will expand the scheme across the federation.
“We are starting with Abuja and Lagos and will continue to roll out the program, making announcements as we move to each state.” On the nationwide target, she added, “We intend to convert over a million cars within the first 12 months. Conversion is free for transport associations, including the cost of kits. E-hailing cabs pay a fraction of the kit cost and cover the full conversion cost.”
Ogunleye noted, “The fraction varies by location. In Abuja, they have their specific rate. For private individuals, the conversion cost ranges from N700,000 to about N1.8 million, depending on the type of car and cylinder size.”
She urged transporters to take advantage of the offer, as it would help reduce transportation costs nationwide. “Transport owners across the federation, the conversion cost is 100 percent free for you. Please go to your transport associations, register, and as we come to your location, we will provide details on conversion centers where you can present your vehicle for a free conversion, all courtesy of the President.”
At another conversion center in Abuja, Bolt driver Udechukwu Ejike shared why he chose to convert his car from petrol to CNG. “I’m doing this because petrol costs are much higher than CNG. For instance, I spend about N25,000 to N30,000 on petrol daily, but with CNG, I spend between N3,500 and N7,000. I’m happy with this initiative and recommend everyone consider converting their vehicles to CNG. It’s very affordable and efficient,” he stated.
Other commercial transporters at the centers echoed Ejike’s sentiments, expressing optimism that more colleagues would convert their vehicles, thereby reducing transportation costs nationwide.