New Telegraph

Petrol Marketers Announce Plans To Launch Cheap Fuel At N100 Per Litre

Following the removal of fuel subsidy that has caused a jump in the Petroleum Motor Spirit (PMS) from N187  per litre to over N500 per litre, Oil marketers have assured motorists and transport operators in Nigeria would witness relief soon.

Chinedu Okoronkwo, the National President of the Independent Petroleum Marketers Association of Nigeria (IPMAN) gave the assurance on Wednesday while speaking in an interview with Channels TV.

Speaking on the programme, Okoronkwo said the organization is 90% prepared to introduce Compressed Natural Gas (CNG) as an alternative fuel by the end of June.

According to him, the CNG would cost between N100 and N110 per litre, adding that the CNG would replace gasoline.

The IPMAN boss further explained that CNG would help reduce Nigeria’s energy consumption cost.


He said: “Very soon, we will roll out. We are 90 per cent close to that, which will also unveil many possibilities.”

Reports say Okoronkwo stated that the petrol subsidy removal had reduced the speed with which Nigeria would have gotten another energy alternative.

“IPMAN has brought relief to a lot of families. We have used our natural energy, CNG, to power vehicles, generators, and even cooking.”

He added that as natural gas will be imported in its place, the alternative fuel is anticipated to lessen the country’s susceptibility to fuel imports.

He claims that growing knowledge of CNG-powered vehicles’ affordability and efficiency compared to conventional petrol and diesel vehicles has caused their adoption to pick up speed across the country.

If the government approves of IPMAN’s intentions, the chairman claimed they will function as a helper, provide respite, and open up job chances.

He said that IPMAN needs to create a market because the demand is already there.

He added that the association had gotten a lot of buy-in from companies overseas. Nigerians already using LPG to power generators.

He revealed that Nigerians are already using liquefied petroleum gas to power their generators, stating that the LPG is about N700 per kg, but CNG will be under N100 to N110 per litre.

He said: “When you check what the impact will be, it will reduce the cost of food because people coming from the hinterlands bring food to the cities.

“From Kano, it takes them about N1.2 million to fuel trucks with diesel, but with this CNG, it will cost them about N150,000 to N200,000. About a million naira is saved, which will translate to cheaper food and open up a lot of other businesses.

“It will provide cheaper energy to drive the processing zones like the agro-based industries, where the gas will also create a lot of impacts.

“CNG does not replace PMS, but it is a choice. We are talking of something that will help your purse and not deepen it.”

CNG would be a game changer for Nigerians as it will be the best palliative instead of sharing money.

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