FG Introduces N230/Litre CNG, offers 10,000 free kits to ease fuel price crisis

The Nigerian government has introduced Compressed Natural Gas (CNG) as a more affordable and eco-friendly fuel alternative. With petrol prices soaring to nearly N900 per litre, this initiative brings much-needed relief to millions of Nigerians who rely on affordable transportation.

As part of the new policy, CNG will be available at N230 per litre, providing a cost reduction for both commercial drivers and everyday commuters. The federal government has also approved the distribution of 10,000 free CNG conversion kits to kickstart this transition, making CNG a widely adopted fuel source, and Nigeria a leader in energy transition across Africa.

Cheaper Fuel, Cleaner Air

The initiative, led by President Bola Ahmed Tinubu’s administration, is a key part of the government’s push for energy diversification. It aims to provide immediate financial relief for Nigerians, particularly those in the transport sector, while also supporting the shift toward cleaner, more sustainable energy sources.

Furthermore, the Presidential Compressed Natural Gas Initiative (PCNGi) plans to distribute 1 million conversion kits over the next 18 months, targeting commercial vehicles that transport people, food, and goods. These kits will enable vehicles to switch from petrol to CNG, which burns cleaner and is significantly cheaper.

10,000 free kits to be distributed

To jumpstart the program, the PCNGi will begin distributing 10,000 free conversion kits this week. These kits will be made available to transport operators at no cost, easing the burden on Nigeria’s strained transport sector. National transport associations, including the National Union of Road Transport Workers (NURTW), UBER, and Moove, will play a critical role in the distribution.

PCNGi has partnered with NIPCO Gas to manage the conversion process. Authorized centres nationwide will handle the technical aspects, ensuring vehicles are converted safely and efficiently. The goal is to create a seamless transition that doesn’t disrupt transportation services.

Long-Term Goals for a Sustainable Future

Beyond immediate relief, the government’s long-term aim is to reduce the country’s dependence on petrol and diesel, which have become increasingly expensive and environmentally damaging. By the end of 2025, the administration plans to have distributed the full 1 million conversion kits, effectively transforming Nigeria’s commercial transport sector.

CNG is seen as a crucial step in moving Nigeria toward more sustainable energy. It offers a 30-50% cost saving compared to petrol and produces fewer emissions, aligning with global efforts to combat climate change.

With 184 active conversion centres across the country—including major hubs like Kojo Motors in Lagos and NIPCO Gas in Abuja—the infrastructure is already in place to support this shift.

Environmental groups applauded the government’s efforts to introduce cleaner fuels. According to energy expert, Dipo Ogundipe, “Switching to CNG is a win for both the economy and the environment. It reduces emissions and provides a cheaper alternative for Nigerians struggling with high fuel prices.”

Read more on President Tinubu mandates shift to CNG vehicles for government fleet