The Federal Government has commenced the distribution of Compressed Natural Gas (CNG) Conversion Kits and the setting up of conversion centres across the country.
President Bola Tinubu who gave the disclosure in a nationwide broadcast on the ongping #endbadgovernance protest across the country, said the CNG initiative will reduce cost of transportation by 60 per cent.
The President said “We have started the distribution of conversion kits and setting up of conversion centres across the country in conjunction with the private sector.
“We believe that this CNG initiative will reduce transportation costs by approximately 60 per cent and help to curb inflation.
“We were also using our hard-earned foreign exchange to pay for, and subsidise its use. To address this, we immediately launched our Compressed Natural Gas Initiative (CNG) to power our transportation economy and bring costs down.
“This will save over two trillion Naira a month, being used to import PMS and AGO and free up our resources for more investment in healthcare and education.
“To this end, we will be distributing a million kits of extremely low or no cost to commercial vehicles that transport people and goods and who currently consume 80% of the imported PMS and AGO.
In the area of Oil and gas, the President said “Our once-declining oil and gas industry is experiencing a resurgence on the back of the reforms I announced in May 2024 to address the gaps in the Petroleum Industry Act.
“Last month, we increased our oil production to 1.61million barrels per day, and our gas assets are receiving the attention they deserve. Investors are coming back, and we have already seen two Foreign Direct Investments signed off over half a billion dollars since then.
“We are a country blessed with both oil and gas resources, but we met a country that had been dependent solely on oil-based petrol, neglecting its gas resources to power the economy”.
