Nigeria’s push towards cleaner energy has gained momentum, with private sector investment in Compressed Natural Gas (CNG) exceeding ₦1 trillion in the past 18 months, according to Michael Oluwagbemi, CEO of the Presidential Compressed Natural Gas Initiative (PCNGI).

The initiative has attracted around $980 million in total investments during the period, signalling a major shift in the nation’s fuel and transport landscape.

Dangote Refinery Leads with Massive Fleet Upgrade

Dangote Petroleum Refinery & Petrochemicals has ordered 4,000 CNG-powered trucks as part of its fuel distribution logistics programme, set to launch on August 15. The fleet, worth an estimated ₦720 billion, will cut distribution costs and improve fuel supply efficiency nationwide.

The first batch of trucks recently arrived via Apapa Port and was received at the Ibeju-Lekki refinery by Devakumar Edwin, Vice President of Oil and Gas at Dangote Industries Ltd, in the presence of refinery staff and customers.

Other Major Investors Join In

Oluwagbemi revealed that companies such as BUA Group and the Nigerian Bottling Company have also invested heavily in CNG trucks and over 100 water stations, bringing the number of CNG-powered vehicles in Nigeria from 4,000 to nearly 100,000. Users are reportedly saving up to 90% in fuel costs compared to petrol.

Driving Energy Transition and Cost Savings

Khalil Halilu, Executive Vice Chairman of NASENI, noted that Nigerian drivers spend over 40% of daily earnings on fuel—among the highest burdens globally. He described Nigeria’s CNG adoption as a potential model for Africa’s industrial growth through collaboration and innovation.

The new Portland Gas Ltd/NASENI CNG Daughter Station, Auto Conversion, and Training Centre in Abuja is part of the government’s Renewed Hope Agenda, aiming to build a sustainable and diversified economy.

Making Conversions Affordable

Folajimi Mohammed, CEO of Portland Gas, highlighted that the PCNGI has subsidised CNG conversion costs—making them free for members of NARTO, NURTW, Uber, and Bolt—to encourage adoption and accelerate the transition away from petrol.