Nigeria is actively embracing Compressed Natural Gas (CNG) as a sustainable energy alternative, aligning with global trends toward cleaner fuels.
It is contributing to greater energy security for the nation and driving a transformation of its energy strategy.
This transition is driven by the government’s aim to diversify energy sources, mitigate environmental damage and leverage CNG’s cost-effectiveness and cleaner combustion properties.
With substantial natural gas reserves, Nigeria seeks to establish itself as a regional leader in CNG production and utilisation, driving both domestic consumption and potential export opportunities.
The Federal Government is investing significantly in CNG infrastructure, including fueling stations, distribution networks, and vehicle conversion facilities, to reduce reliance on expensive and environmentally harmful petrol and diesel.
Private sector involvement is crucial, with companies investing in CNG production and distribution, fostering innovation and driving market growth through technological advancements.
A nationwide network of CNG refueling stations, particularly in urban areas, is being prioritised to create a robust infrastructure backbone and incentivise the adoption of CNG vehicles.
Financial incentives, such as tax breaks and low-interest loans, are being offered to private companies to accelerate the expansion of CNG infrastructure, especially in rural areas, ensuring equitable access.
Public awareness campaigns, highlighting CNG’s economic and environmental advantages, are underway to promote its widespread acceptance and adoption.
In spite of the progress in clean energy, Nigeria’s oil and gas sector faces challenges, including pipeline vandalism and illegal activities, hindering refinery efficiency and crude oil production, requiring immediate attention.
Dr Ayodele Oni, a legal expert, emphasised the need for enhanced security in the oil and gas supply chain using advanced technologies like drones and fiber-optic sensors.
Securing oil revenues is essential for national development and ensuring a stable feedstock supply is crucial for optimal refinery production.
Oni advocated local refineries adopt innovative approaches, such as partnerships with upstream producers and international procurement, to secure feedstock.
Infrastructural challenges, including damaged pipelines and inadequate transport systems, hinder the efficient distribution of crude oil and refined products.
Oni called for substantial investments in intermodal transport systems, including rail and inland waterways, to improve logistics and safety.
He suggested Public-Private Partnerships (PPP) to address Nigeria’s infrastructure gap, leveraging private sector funds and expertise.
CNG is positioned to play an important role in the nation’s energy future, reducing emissions, lowering fuel costs, and enhancing energy security.
Addressing infrastructural challenges in the oil and gas sector is crucial for maximising resource potential during the transition to a diversified energy landscape.
Strategic investments, collaboration, and technological innovation are essential for Nigeria’s sustainable and economically robust future.
Mr. Muideen Ibrahim, an expert, stressed the importance of investing in CNG technology and infrastructure for sustainable development.
Ibrahim argued that CNG could drive economic growth while reducing the environmental impact of fossil fuels.
By Yusuf Yunus