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NNPCL seals deal with NIPCO to deploy CNG stations across Nigeria

NNPCL seals deal with NIPCO to deploy CNG stations across Nigeria

In line with the directive of President Bola Tinubu to provide alternative fuel option to Nigerians following the removal of subsidy on Premium Motor Spirit, the Nigerian National Petroleum Company Limited has entered into partnership with NIPCO Gas Limited to develop Compressed Natural Gas stations across the country.

The Group Chief Executive Officer of the NNPC Limited, Mallam Mele Kyari disclosed this during a media briefing on Thursday in Abuja, which had in attendance the Managing Director of NIPCO Gas, Nagendra Verma; the NNPC Executive Vice President, Upstream, Engr. Adokiye Tombomieye, and other top officials of the NNPCL.

Kyari said the move is part of the NNPCL’s commitment to reducing carbon footprint and providing cheaper alternative fuel to motorists.

The current initiative, according to him, is in addition to the phased deployment of 56 CNG stations planned by NNPC Retail across the country.

Kyari stated further that the landmark collaboration aims to expand the country’s CNG infrastructure, improve access to CNG, and accelerate the adoption of cheaper and cleaner alternative fuel for buses, cars and Keke NAPEP.

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This, he noted, will significantly reduce the cost of transportation and engender sustainable national economic growth.

Providing further insight, he said under the NNPC-NIPCO strategic partnership, 35 state-of-the-art CNG stations will be constructed nationwide, including three Mother stations.

Once fully operational, the NNPC Boss stated that the stations can service over 200,000 vehicles daily, thereby significantly reducing carbon emissions and associated impact on climate.

Kyari said the project will be rolled out in phases, noting that the first phase, comprising 21 CNG stations, will support intra-city transportation and will be ready by the first quarter of 2024.

For the second phase, comprising 35 CNG stations, he said this will support inter-city transformation and will be ready by the first quarter of 2025. To deepen and sustain this initiative, he stated further that the NNPC Ltd. has floated NNPC Prime LNG Limited for domestic LNG production and supply.

The GCEO added that the NNPC is also collaborating with Miju Auto Gas, a leading CNG kit Equipment Manufacturer (OEM) based in India, to set up training and conversion centres to facilitate in-country conversion of vehicles from petrol to CNG.

NIPCO Gas Limited is currently operating 14 CNG stations across Nigeria and has converted over 7,000 vehicles to run on CNG. NIPCO’s technical competency and field experience will bolster this initiative’s success and amplify its positive impact on the nation’s economy.

He expressed optimism that this forward-thinking initiative will leverage Nigeria’s abundant natural gas resources to bring multiple benefits to Nigerians, including access to cheaper fuel, reduced cost of transportation, reduced carbon emission, create new business value chains and streams of job opportunities.

According to him, NNPC Limited remains committed to reliably delivering energy while continuously creating value for Nigeria’s prosperous future.

Also speaking at the event, the NIPCO MD said the company will continue to work with NNPC in deepening the gas market.

Verma said in Nigeria, NIPCO has the expertise to deliver on the project.

He expressed optimism that with the support of the NNPCL, the project would be delivered on schedule.

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