The Presidential Compressed Natural Gas Initiative (PCNGI) says the recent pump price adjustments announced by certain operators are solely private sector decisions and not the outcome of any government directive.
On Tuesday, the price of compressed natural gas (CNG) had increased to N380 per standard cubic metre (SCM) for cars and buses at retail outlets in Lagos and Abuja.
Some reports had attributed the increase to the removal of subsidy on the product by the federal government.
In a statement on Thursday, Matilda Johnson, PCNGI’s brands and corporate communications manager, said attributing the upward review of CNG prices to removal of subsidy was misleading.
“The Presidential Initiative on Compressed Natural Gas (PiCNG) wishes to address recent misleading and outright false reports suggesting that the Federal Government has removed subsidy or increased the price of Compressed Natural Gas (CNG). This is incorrect,” the statement reads.
“For absolute clarity: while pricing matters fall under the purview of the appropriate regulatory agencies, no directive or policy has been issued by the Federal Government to alter CNG pump prices.
“It must also be emphasised that the recent pump price adjustments announced by certain operators are purely private-sector decisions and not the outcome of any government directive or policy.”
Johnson said the mandate of PiCNG, as directed by President Bola Tinubu, is to catalyse the development of the CNG mobility market, ensuring the adoption of a cheaper, cleaner, and more sustainable alternative to petrol and diesel across the country.
“So far, through the collaboration and commitment of relevant government agencies, the sector has witnessed monumental enthusiasm and growth,” he said.
“Encouragingly, this progress has already attracted close to one billion dollars in private sector investment, underscoring confidence in the market’s potential.
“The federal government assures Nigerians that CNG will always remain significantly cheaper, cleaner, and more affordable than PMS and diesel.”
Johnson noted that the PCNGI’s mandate is to expand CNG adoption nationwide and drive greater private sector involvement to ensure accessibility and affordability.