The Federal Government is seeking to add 2,000 compressed-natural-gas refuelling stations nationwide, part of an accelerating effort to lower transport costs and shift motorists away from petrol after the removal of fuel subsidies.
The Presidential Initiative on Compressed Natural Gas and Electric Vehicles (Pi-CNG & EV), said President Bola Tinubu ordered the addition of 1,500 stations in February and another 500 in August.
The facilities are expected to begin operating between this year and early 2027.
Barrister Ismael Ahmed, chairman of Pi-CNG & EV said Nigeria currently has 106 operational CNG refuelling stations, while 170 more are under development or awaiting regulatory approval.
Ahmed said the initiative has moved beyond its experimental phase and is now focused on expanding infrastructure for a country of roughly 220 million people and 12 million vehicles.
The government’s broader goal is to make CNG a practical alternative to petrol and diesel, particularly after the subsidy removal raised pump prices and increased pressure on household and business transport budgets.
The announcement came as the State House inaugurated a CNG refuelling facility in Karu, Abuja, created by converting an abandoned petrol station.
The project was carried out through a partnership among the State House, Pi-CNG & EV and Rollin Energy Ltd., with no rehabilitation spending by the State House.
State House Permanent Secretary Temitope Fashedemi said the government would encourage interested employees to convert eligible private vehicles to CNG-hybrid systems in the coming weeks.
The State House has already incorporated the technology into its official fleet, including about 10 recently acquired JAC CNG-hybrid vehicles and shuttle buses operating within the Presidential Villa.
Fashedemi said the project was intended to signal government support for cleaner, cheaper energy and to demonstrate the commercial potential of CNG infrastructure to private investors.
The State House provided the former fuel station, while Rollin Energy financed its rehabilitation and equipment installation.
The company’s chief executive, Mubarak Umar Danbatta, said the facility can serve about 150 vehicles daily, depending on cylinder size and operating pressure.
Rollin Energy already operates facilities in Ilorin and Abuja and plans to commission two stations in Kano and two more in Kaduna.
It is targeting nearly 15 CNG refuelling facilities nationwide by the end of 2026.
Ahmed also said CNG-powered buses have already reduced fares by 30% to 40% on selected routes in Abuja, Lagos and the Kano-Katsina corridor.
On the Kano-Katsina route, commuters who previously paid between 3,000 and N4,000 can now travel for about N1,500
Senior Special Assistant to the President on Domestic Affairs Toyin Subair said federal and state governments are expanding investment in CNG buses, trucks and tricycles.
He said the National Economic Council has agreed to a joint financing arrangement to support affordable transport, with a target of reducing fares by at least 40% on interstate routes and agricultural freight.
More than 30,000 additional vehicle-conversion kits are expected to enter the Nigerian market next week, ahead of the Christmas travel season, Subair noted.
