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Nigeria’s Inflation Will Be Reduced By Use Of CNG Vehicles – FG

Nigeria’s Inflation Will Be Reduced By Use Of CNG Vehicles - FG

Nigeria’s Inflation Will Be Reduced By Use Of CNG Vehicles – FG

The Nigerian government has highlighted the potential benefits of adopting Compressed Natural Gas (CNG) as a means to combat the high inflation rate, which reached 33.69 per cent in April 2024.

During a stakeholders’ engagement meeting in Port Harcourt, Rivers State, the Programme Director of the Presidential Initiative on Compressed Natural Gas, Michael Oluwagbemi, emphasized that transitioning to CNG could lead to significant cost savings for Nigerians, ranging from 40 to 50 per cent compared to traditional petrol usage.

Oluwagbemi also pointed out the safety advantages of CNG, stating that it is 18 times safer than petrol and diesel, in addition to being cleaner and more environmentally friendly.

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Furthermore, the potential economic impact of widespread CNG adoption was highlighted, with projections suggesting that Nigeria could save approximately $2.5 billion by converting one million vehicles to CNG.

Notably, President Bola Ahmed Tinubu has urged all federal government entities to acquire CNG buses, signaling a commitment to promoting the use of this alternative fuel source.

The Nigerian government has set the price of Compressed Natural Gas at $1.57 per Metric Million British Thermal Unit, further incentivizing its adoption as a cost-effective and safer energy option.