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PCNGI Targets Additional CNG-Powered Vehicles In 2025

The Presidential Compressed Natural Gas Initiative (PCNGI) has announced plans to add between 125,000 and 200,000 compressed natural gas (CNG)-powered vehicles to Nigerian roads before the end of 2025.

Programme Director and Chief Executive of PCNGI, Michael Oluwagbemi, disclosed this on Tuesday at the kick-off of the Mobility CNG Supply Framework in Abuja.

He noted that the target is a crucial step toward achieving the broader goal of 1 million CNG vehicle conversions by the end of 2027.

“We are looking to have at least 125,000 to 200,000 vehicles on the road, in addition to the ones already running on CNG, this year,” he said. “If we get closer to 250,000 or 300,000 CNG vehicles by the end of the year, we’ll have made significant progress. Of course, this is an estimate.”

Oluwagbemi emphasized that while the government is playing a facilitating role, the private sector is converting as many as two to three times the number of vehicles compared to PCNGI’s own efforts. He added that the administration is eager to incentivize the private sector to drive the adoption of CNG.

“The private sector has the biggest role, but we are here to provide the enabling environment—offering targeted incentives such as concessionary gas pricing—to secure Nigeria’s energy future through gas.”

Speaking on the new Mobility CNG Supply Framework, he explained that it marks the formal implementation of the approved concessionary pricing structure for autogas CNG, designed to prevent arbitrage and build a structured market.

“We needed to organize the market for autogas CNG—to create a platform where people can place demand, make payments, receive their gas, and sell into the autogas market. That market has grown tremendously over the past year,” he said.

According to Oluwagbemi, the number of CNG daughter stations in Nigeria has grown from just 20 to over 65, with two new ones recently opened in Ibadan and 28 more expected in the next month.

He also welcomed recent developments by the private sector, particularly the announcement by Aliko Dangote to add 100 daughter stations to the 175 already under construction, describing it as a sign of growing confidence in the initiative.

In the past year alone, the demand for CNG has surged significantly, with over 50,000 vehicles now running on CNG—up from just 4,000 last year—excluding trucks that are also being rapidly converted across the country.

“The increase in demand is evident. You only need to visit any daughter station in Abuja to see long queues lasting hours. It’s a good problem to have, and we’re here to solve it. While the market may not be perfect from the start, our job is to make it better,” he said.

Also speaking, the Managing Director and CEO of Gas Aggregation Company Nigeria Limited (GACN), Chikoke Uzoho, said the new mobility supply framework ensures a transparent, standardized, and competitive gas supply structure that promotes last-mile delivery of CNG.

“With strong regulatory alignment, commercial discipline, and stakeholder commitment, we can scale this framework nationwide and bring the president’s vision to life. This is a call for collective action,” Uzoho said.

PCNGI’s Business Development and Strategy Coordinator, Omolara Obileye, revealed that 21 states have so far adopted CNG for mobility, while the remaining states are yet to be included due to the lack of infrastructure.

She added that out of over 250 CNG conversion centres nationwide, 160 have already been signed up as official PCNGI conversion partners.

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