Era of Buying Fuel at N750 to N1000 Per Litre Over
The Nigerian government has disclosed that the period of purchasing Premium Motor Spirit (PMS), commonly known as fuel, at prices ranging from N750 to N1000 per litre is coming to an end.
In an effort to address high fuel costs, the government plans to commission 30,000 Compressed Natural Gas (CNG) powered vehicles within the next 90 days.
Michael Oluwagbemi, the Project Director and Chief Executive Officer of the Presidential Compressed Natural Gas Initiative, made this announcement during the Park to Park CNG Mobilisation program held at Ojota Park in Lagos on Saturday. He detailed that the initiative, which will cost N36 billion, includes the procurement and distribution of 30,000 CNG conversion kits free of charge nationwide within the specified period.
Each kit and its conversion costs are valued at N1.2 million per vehicle, bringing the total expenditure to N36 billion over the next three months. Oluwagbemi emphasized that this initiative aims to promote the adoption of CNG as an alternative fuel for transportation.
“Today, we are here with conversion kits. We have bought over 30,000 of these kits, mainly for distribution in the next 90 days. The President has told us that this is not just to end with 30,000 kits, the target is one million kits. We want to make sure all of you can benefit from this government initiative,” he stated.
He further added, “The era of buying N750, N800, or N1,000/liter fuel is over. We are not doing that again. We will start using the gas under our feet so that we can buy it at N230/kg.”
This initiative follows President Bola Tinubu’s directive that all Ministries, Departments, and Agencies should procure CNG-powered vehicles as a palliative measure to alleviate the impact of fuel subsidy removal.
