NNPC partners NIPCO on alternative fuel, fares reduction

By John Odunjo

The Nigerian National Petroleum Company (NNPC) Limited has announced a strategic partnership with NIPCO Gas Limited to deploy Compressed Natural Gas (CNG) stations across the country as part of commitment to provision of cheaper alternative fuel to motorists.

The NNPC said that the collaboration aimed “to expand our CNG infrastructure, improve access to CNG and accelerate the adoption of cheaper and cleaner alternative fuel for buses, cars and Keke NAPEP, which will significantly reduce the cost of transportation and engender sustainable national economic growth”.

NNPC Chief Corporate Communications Officer, Garba Deen Muhammad, said that “under the NNPC-NIPCO strategic partnership, 35 state-of-the-art CNG stations will be constructed nationwide, including three mother stations.

*Once fully operational, the stations can service over 200,000 vehicles daily, thereby significantly reducing the cost of automobile fuel for Nigerians and the cost of transportation,” he said

Muhammad, in a statement, said,
NNPC Limited expects further private sector participation by oil marketing companies to broaden CNG penetration and availability.

“NNPC Limited remains committed to reliably delivering energy while continuously creating value for Nigeria’s prosperous future alongside our partners.

Speaking further on partnership with NIPCO, the NNPC spokesperson said, “The project will be rolled out in phases. The first phase, comprising 21 CNG stations, will support intra-city transportation and be ready by the first quarter of 2024.

“While the second phase, comprising 35 CNG stations, will support inter-city transportation and will be ready by late 2024. This will be further complemented by an additional 56 stations to be deployed by NNPC Retail across the country.

“NIPCO Gas Limited is currently operating 14 CNG stations across Nigeria and has converted over 7,000 vehicles to run on CNG. NIPCO’s technical competency and field experience will bolster this initiative’s success and amplify its positive impact on the Nation’s economy.

“This initiative will leverage Nigeria’s abundant natural gas resources to bring multiple benefits to Nigerians, including access to cheaper fuel, reduced cost of transportation, reduced carbon emissions, create new business value chains and streams of job opportunities,” he said.

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