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Less Than 50 CNG Stations Can’t Power 200 Million Nigerians — NMDPRA Boss

The Nigerian Midstream and Downstream Petroleum Regulatory Authority (NMDPRA) has expressed concern over the country’s limited compressed natural gas (CNG)...

The Nigerian Midstream and Downstream Petroleum Regulatory Authority (NMDPRA) has expressed concern over the country’s limited compressed natural gas (CNG) infrastructure, revealing that fewer than 50 CNG stations currently serve Nigeria’s population of over 200 million people.

The agency’s Chief Executive, Farouk Ahmed, made this known while speaking at the Nigerian Association of Energy Correspondents (NAEC) summit in Lagos. He warned that the nation’s energy transition goals may be delayed if urgent steps are not taken to expand investment in gas infrastructure.

Ahmed, who was represented by the Authority’s spokesperson, George Ene-Ita, stressed that despite government efforts to promote CNG as an alternative fuel, the infrastructure gap remains significant. He also disclosed that there are fewer than 3,000 liquefied petroleum gas (LPG) refilling plants nationwide.

“Expanding our gas infrastructure is crucial to achieving sustainable growth, job creation, and energy security,” Ahmed stated, calling for greater private sector participation in building new refilling and compression facilities.

He reaffirmed NMDPRA’s commitment to implementing the National Energy Transition Plan, which identifies gas as a transitional fuel that can support Nigeria’s shift to renewable energy. Ahmed outlined four focus areas for achieving this goal — strengthening gas as the energy backbone, improving energy security, encouraging decentralised power systems, and ensuring transparent, people-focused policies.

Following the removal of fuel subsidy in 2023, the Federal Government launched the Presidential CNG Initiative to reduce reliance on petrol and diesel. So far, over 100,000 vehicles have reportedly been converted to run on gas, with 60 CNG stations currently operational and more under construction.

However, challenges persist as long queues, rising CNG prices, and limited access to refuelling stations continue to discourage motorists. The price of CNG reportedly increased from ₦230 to about ₦450 per standard cubic metre in September.

Ahmed emphasised that closing these infrastructure gaps is vital to ensuring affordable energy for households, transport operators, and industries. He urged both public and private stakeholders to collaborate in driving Nigeria’s energy diversification efforts, noting that the country’s vast gas reserves offer enormous potential for growth and investment.

 

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