Fed Govt unveils CNG pricing framework
The Federal Government has unveiled a new pricing structure and infrastructure expansion plan aimed at accelerating the adoption of Compressed Natural Gas (CNG) across the country.
Under the revised framework, CNG infrastructure is expected to reach 30 states within the next six months.
The initiative, announced through multiple regulatory agencies, includes a concessionary pricing regime designed to stabilise supply and improve affordability.
Key components of the programme include the deployment of CNG conversion centres, improved access to autogas, and partnerships with private operators to fast-track rollout.
The Minister of State for Petroleum Resources (Gas), Ekperikpe Ekpo, stated that the move aligns with the government’s broader push for cleaner, alternative fuel sources, and supports the Presidential CNG Initiative (PCNGI).
He noted that the new pricing model is structured to reflect market realities while ensuring affordability for mass transit operators and private users.
Similarly, the Nigerian Midstream and Downstream Petroleum Regulatory Authority (NMDPRA) affirmed that the framework will enhance investor confidence and create a transparent pricing mechanism for gas supply, transport, and retail.
Industry players welcomed the development but urged the government to ensure consistent implementation and infrastructure readiness, particularly in rural and underserved areas.
The rollout forms part of efforts to reduce reliance on petrol, cushion the effects of fuel subsidy removal, and transition to more sustainable energy solutions.
