The Federal Government has announced plans to create a Compressed Natural Gas, CNG, park at the Ajaokuta Steel Company in Kogi State.
Prince Shuaibu Audu, the Minister of Steel Development, revealed this in a statement issued by his Special Assistant on Media, Mrs. Lizzy Okoji, on Monday in Abuja. CNG is primarily made up of methane and is commonly used as an alternative fuel for vehicles.
It is compressed to less than one per cent of the volume it occupies at standard atmospheric pressure.
Credible News reports that President Bola Tinubu approved the establishment of the Presidential CNG Initiative, Pi-CNG, on Aug.18, 2023, as part of his palliative intervention aimed at cushioning the difficulties faced by Nigerians due to the removal of fuel subsidy.
The initiative seeks to transform transportation by introducing over 11,500 new vehicles powered by Compressed Natural Gas and offering 55,000 conversion kits for existing vehicles reliant on Premium Motor Spirit, PMS.
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Its primary goal is to decrease dependency on fossil fuels and promote a cleaner and healthier environment in Nigeria through the adoption of CNG-powered vehicles.
The minister emphasized that this initiative is aligned with the President’s ‘Renewed Hope Agenda,‘ which aims to address the challenges faced by Nigerians.
“This goes to demonstrate the commitments of the president to easing the plights of citizens as a result of the removal of fuel subsidy.
”We are also joining the rest of the world in transiting towards green, sustainable, and cost-effective sources of energy.
“As stakeholders in P-CNGi, the Ministry of Steel Development also has plans for a proposed CNG park within the territories of the Ajaokuta Steel Company Ltd .
“The CNG Park to be located in ASCL will benefit from existing infrastructure, like the natural gas line from Warri to Ajaokuta, the Metallurgical Training Centre.
“There are also the engineering workshops and the 10,000 housing estates in Ajaokuta environs, among others,” he said.
Audu further praised the Nigerian Army for launching CNG vehicles as part of its operations through the Auto Switch Kick-off Pilot Programme, which is powered by the P-CNGi.
He encouraged other organizations to embrace this technology due to its cost-effectiveness and its contribution to promoting a sustainable and healthy environment.
In February, the minister had announced plans for the ministry to introduce a three-year roadmap. This roadmap involves revitalizing 44 different production units of the steel company gradually by granting concessions to investors, Credible News reports.
