FG targets massive expansion of CNG stations by 2027

Nigeria CNG stations expansion plan targets 2,322 stations by 2027 as FG pushes gas mobility and vehicle conversion projects

The Federal Government of Nigeria has announced plans to establish 2,322 Compressed Natural Gas stations nationwide by 2027 as part of an ambitious drive to expand alternative fuel infrastructure and accelerate gas-powered mobility across the country.

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The Executive Chairman and Chief Executive Officer of the Presidential Initiative on Compressed Natural Gas and Electronic Vehicles, Ismaeel Ahmed, disclosed the target during the Nigerian Oil and Gas Midstream and Downstream Summit recently organised by the Nigerian Content Development and Monitoring Board in Lagos.

Represented by agency official Olayinka Rufai, Ahmed said the government had recorded rapid progress in expanding Nigeria CNG stations expansion efforts within less than three years despite prevailing economic challenges.

According to him, commercial CNG availability has grown from only one state at the inception of the programme to 24 states across the federation.

“Today, in less than three years, we now have 24 states active. We are looking at what goes on elsewhere. I think we can safely say that it is probably the fastest we have seen anywhere in the world,” Ahmed said.

The government official revealed that more than 100,000 vehicles have already been converted to operate on CNG, with commercial transport operators accounting for the majority of conversions because of the administration’s focus on easing transportation costs for ordinary Nigerians following fuel subsidy removal.

Ahmed also disclosed that the initiative has attracted more than $1 billion in investments into the country’s emerging gas mobility industry, describing the development as a significant milestone for the sector.

Speaking on infrastructure growth, he said Nigeria currently has 72 active CNG refuelling stations, while 175 additional stations are under development nationwide.

He further stated that 28 compression stations are already operational, with another 65 being developed to support virtual gas pipeline distribution systems.

The Nigeria CNG stations expansion strategy also includes the establishment of over 350 vehicle conversion centres, which Ahmed described as mostly small Nigerian-owned businesses contributing to local economic growth.

“We expect to triple the current capacity in less than 18 months,” he said, adding that greater retail supply infrastructure would stimulate higher public demand and wider adoption.

On manpower development, Ahmed said more than 5,600 Nigerian technicians have been trained and certified in CNG conversion technology to ensure mechanics nationwide can maintain converted vehicles effectively.

He explained that the training initiative was critical to sustaining long-term adoption of CNG-powered transportation across Nigeria.

The official also revealed that 4,318 CNG-powered tricycles have been deployed nationwide, with about 95 per cent assembled locally, reflecting increasing local participation in vehicle manufacturing and assembly.

Ahmed highlighted the cost advantage of CNG over petrol, noting that CNG currently sells for between N380 and N450 per standard cubic metre compared to petrol prices ranging from N1,300 to N1,350 per litre.

Beyond gas-powered transportation, he disclosed that the government is also scaling up electric vehicle deployment through pilot projects and the gradual expansion of charging infrastructure across the country.

Also read: NIPCO Gas builds 20 new CNG stations in Nigeria

According to him, the initiative’s 2027 targets include one million vehicle conversions, 3,000 active conversion workshops, 75,000 direct jobs and 300,000 indirect jobs nationwide.

Victory Emmanuel