The Nigerian Federal Government has commissioned a 5.2 million standard cubic feet per day (mmscfd) Compressed Natural Gas (CNG) plant in Lagos. The event took place at the Isolo Industrial Area, Ilasamaja, on Thursday.
Minister of State for Petroleum Resources (Gas), Rt. Hon. Ekperikpe Ekpo, officiated the commissioning, describing it as a significant milestone in the development of affordable, sustainable, and secure energy sources in Nigeria. The theme of the event was “From Gas to Prosperity: CNG for All.”
“Although the elimination of the Premium Motor Spirit (PMS) subsidy has brought difficulties, it has also given us a once-in-a-lifetime chance to invent and adopt more economical, efficient, and sustainable energy alternatives,” Ekpo stated.
Ekpo emphasized that CNG is a globally recognized technology for transport fuel, being the cleanest burning fuel in terms of nitrogen oxide and soot emissions. “While it can be employed to power passenger cars and city buses, CNG passenger vehicles emit 5-10 percent less CO2 than comparable gasoline-powered passenger vehicles,” he added.
Mallam Mele Kyari, Group Chief Executive Officer of NNPC Limited, remarked that to ensure energy security and broader access to CNG, NNPC has reached a Final Investment Decision (FID) with Axxela Limited. This partnership aims to deliver six CNG mother and service station plants with a capacity of 5.2 mmscfd each, across the six geopolitical zones and the Federal Capital Territory (FCT).
Kyari also mentioned that NNPC Retail is rolling out CNG across over 100 stations nationwide and engaging in various joint ventures for CNG deployment. The commissioning of the NNPC CNG Station in Ilasamaja, Lagos, is part of these efforts to expand domestic gas supply and utilization. He highlighted that the Petroleum Industry Act (PIA) mandates NNPC to promote domestic gas utilization, reinforcing their commitment to deploying critical gas infrastructure projects.
“NNPC will continue to deliver more strategic projects for the benefit of our country. We shall utilize our gas resources for industrialization, power generation, and economic prosperity for all,” Kyari affirmed.
Lagos State Governor Babajide Sanwo-Olu praised the establishment of the CNG plant, aligning it with his vision for economic development, job creation, and industrialization in the state. He announced that the state government plans to deploy 2,500 conversion kits and over 2,000 new CNG buses, which will start operations before the end of the year.
In his goodwill message, Engineer Michael Oluwagbemi, Chief Executive of the Presidential CNG Initiative, commended the plant’s commissioning as a testament to President Tinubu’s commitment to providing sustainable energy solutions for Nigerians.