CNG initiative has unlocked $175m private sector investments — FG

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The Federal Government announced that the presidential initiative for Compress Natural Gas (CNG) has generated $175 million in private sector investments in critical infrastructure over the past year.

Mohammed Idris, the Minister of Information and National Orientation, provided this update in a statement on Tuesday.

He noted that Nigeria now boasts 125 conversion centers, a significant increase from just seven a year ago.

Idris emphasized that one of the main benefits of CNG is its lower cost compared to petrol and diesel, which is expected to reduce transportation and commuting expenses by over 60 percent.

He said, “One of the biggest issues in the country currently is the cost of transportation and commuting, on account of the removal of petrol subsidy.

“This has led to the launch and rollout of a national program to make Compressed Natural Gas (CNG) the vehicle fuel of choice in Nigeria.

“It is also a cleaner fuel, and better for the environment.

For a country as blessed with gas resources in Nigeria, CNG is a smart and welcome bet on the future.

“In the last year, the presidential CNG initiative has unlocked $175 million in private sector investments in critical infrastructure, and Nigeria now has 125 conversion centres, up from just seven a year ago.”

He spoke to the commencement of petrol refining by the Dangote Refinery, saying that the development had rewritten Nigeria’s story from negative to positive.

“In September, the world’s largest single-train crude oil refinery began producing petrol for the Nigerian market, instantly rewriting the existing narrative of an oil producing country that is forced to depend exclusively on imported petrol.”

He also confirmed that Dangote Refinery would begin to pay for crude supplies in naira starting from this month.

“Starting this month, the Dangote Refinery will pay for crude oil supplies in Naira, in a welcome decision approved by President Tinubu to bring down the cost of locally produced petroleum products.

“Also, the new Presidential Gas for Growth Initiative is implementing a zero-percent VAT regime on a wide range of the sale of gas and gas-related equipment.

“In addition to transport costs, the Federal government is also targeting food and pharmaceuticals, to bring prices down.

“President Tinubu has approved the temporary removal of import duties and taxes on certain essential food items, as well as pharmaceutical raw materials and equipment.

“We acknowledge that it will take some time for the effect of these actions to be felt in the market, and in the pockets of Nigerians, and we ask for patience and understanding as the implementation is fine-tuned.

“The results will certainly be felt, in no distant time. Initiatives like the Nigerian Education Loan Fund (NELFUND) and the Nigerian Consumer Credit Corporation (CrediCorp) are putting money in the pockets of students and workers respectively, enabling people to pursue their dreams of completing education, starting and growing businesses, advancing careers, and affording life’s necessities.

“At the end of the day, this is what matters the most to the people of Nigeria, and it is what we exist for as government: to make life better for all, ensuring no one is left behind.

“There’s something for everyone, and I urge all Nigerians to actively look for which of these many transformational programs and opportunities they can benefit from.

“Government exists to make life better, but this can only happen when the people are aware of opportunities and keen and ready to engage.

“Happy 64th Independence anniversary to the nation and people of Nigeria!”