NMDPRA Orders Filling Stations to Commence CNG Sale Nationwide

NMDPRA Orders Filling Stations to Commence CNG Sale Nationwide | Daily Report Nigeria

The Nigerian Midstream and Downstream Petroleum Regulatory Authority (NMDPRA) has ordered all filling stations across the country to commence the sale of Compressed Natural Gas (CNG).

According to Engr Farouk Ahmed, the chief executive of NMDPRA, the move is aimed at increasing CNG accessibility for consumers and reducing the country’s reliance on petrol.

Ahmed explained that as part of the new directive, new applications for retail licenses will no longer be approved without CNG points.

He added that the federal government is determined to reduce the burden of petrol on the economy and is encouraging the use of CNG as an alternative fuel source.

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The NMDPRA Boss described the push for CNG adoption as a “revolution” that will transform the country’s energy landscape.

He said:

We aim to soon have CNG add-ons in most of our upcoming and larger petrol stations, similar to our existing PMS, AGO, and DPK facilities, to ensure easy access for consumers. However, we must first address the supply side. We are collaborating with producing companies, our sister agency NUPRC, NNPC Limited, and the Gas Aggregation Company of Nigeria (GACN) to ensure the product is available at a competitive cost to consumers.

This effort aligns with the President’s objective of transitioning the country to more CNG usage for mobility, reducing our heavy dependence on PMS. We are urging companies to invest in this initiative and ensure that CNG points of sale are accessible to consumers.

“After completing consultations, we will mandate that CNG add-ons be included in petrol stations. For new applications, having a CNG add-on will be a requirement for petrol stations.”

CNG is a clean-burning fuel gas that is odorless, non-corrosive, and remains clear under pressure. It is an alternative to petrol and is being sold at various prices depending on the vehicle type.

For example, AutoGas for cars, taxis, and tricycles is being sold at around N200 per standard cubic foot, while for heavy commercial vehicles, CNG is sold at N260 per standard cubic meter (SCM).

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