The Federal Government, through the Presidential Compressed Natural Gas Initiative (PCNGI), has clarified that the highly anticipated CNG loan programme for private drivers is not yet operational as the framework is still being finalized.
PCNGI Programme Director, Michael Oluwagbemi, stated in Abuja that the initiative is being developed in collaboration with Credit Corp and other financial institutions.
He emphasized that while the loan scheme is still in progress, significant milestones have been achieved in vehicle conversions, with over 40,000 vehicles already converted, including 10,000 directly incentivized by PCNGI in the past year.
Oluwagbemi further clarified that the CNG loan programme is not managed by PCNGI, but rather by Credit Corp, and is just one of several initiatives aimed at accelerating CNG adoption.
Additionally, he highlighted the Commercial Incentive Programme, which offers free or subsidized conversions for commercial vehicle operators. This initiative has been in operation since Q4 2024 and is steadily advancing towards its target.
Expansion of CNG Refueling Infrastructure
- To support the growing demand for CNG, the government is rapidly expanding refueling stations nationwide. Currently:
- 54 licensed stations are operational across 10 states (up from 11 in January 2024).
- 125-150 more refueling stations are expected to be functional across 18 states within the next year.
- 85 additional stations are under construction by private investors such as NNPCL, NIPCO, Bovas, Matrix, and AY Shafa.
Addressing Growing Queues at CNG Stations
Oluwagbemi acknowledged the increasing queues at CNG refueling stations, attributing the situation to:
🔹 A surge in vehicle conversions.
🔹 The time required to develop new refueling stations and secure operational permits.
He assured that ongoing infrastructure development would ease congestion as more stations become functional.
