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Home News Economy

Nigeria’s CNG Revolution Takes Off: $980 Million Poured In As New “Gas Hub” Opens in Abuja

August 14, 2025
in Economy
Reading Time: 4 mins read
Nigeria's CNG Revolution
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Hold onto your hats, Nigeria! The switch to Compressed Natural Gas (CNG) for vehicles isn’t just talk anymore – it’s exploding with serious cash and action. In a major update, the boss of the Presidential CNG Initiative (PCNGI), Michael Oluwagbemi, dropped a bombshell: Nigeria’s CNG sector has attracted a massive $980 million in investments in just the last 18 months!

Oluwagbemi shared this exciting news right at the launch of the brand-new Portland Gas Ltd/NASENI CNG Daughter Station, Auto Conversion, and Training Centre on the busy Kubwa Expressway in Abuja (FCT). This isn’t just another petrol station; it’s being called a full “gas hub.”

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“I am pleased to report to you that just 18 months later, we have attracted over $980 million worth of investments in the CNG sector,” Oluwagbemi announced proudly. He highlighted how giants like BUA Group and the Nigerian Bottling Company (NBC) are leading the charge, pumping over N720 billion into buying CNG trucks and setting up around 100 refuelling stations.

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Nigeria’s CNG Revolution: Why the Rush to CNG?

The numbers speak for themselves:

  • Vehicle Boom: CNG-powered vehicles have skyrocketed from a mere 4,000 to roughly 100,000 in those same 18 months!
  • Huge Savings: Drivers switching to CNG are seeing fuel costs slashed by about 90% compared to petrol – a massive incentive making the switch a no-brainer for many.
  • Fastest Growing Sector: Oluwagbemi called CNG the fastest-growing industry in Nigeria right now, growing “in leaps and bounds.”

Protecting the Gas for Transport

But there’s a challenge. Oluwagbemi raised concerns about CNG meant for vehicles being diverted to fuel power plants instead. He stressed the need to protect the gas allocated specifically for autogas (vehicle use).

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Good news on that front came from the House of Representatives. Representing the Speaker, Hon. Tajudeen Abbas, Hon. Alexander Mascut assured that laws are coming to stop CNG diversion.

“This is new… transitioning from something we know to the new one is difficult. However, representatives of the House… will find a way to come up with legislation that will help to protect gas users,” Mascut stated.

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Abuja’s New “Everything Gas” Hub

So, what’s special about this new Portland Gas station on Kubwa Road? CEO Folajimi Mohammed explained it’s much more than just a refill point – it’s a one-stop shop for Nigeria’s gas transition.

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“This is what we call the Portland Gas/NASENI gas hub. We call it a hub because we have an auto-conversion centre. We have a training centre. We have a refill station as well here. So we have a combination of everything gas,” Mohammed said.

He also revealed the hub has approval to sell cooking gas (LPG), making it a truly comprehensive site: “So we have a four-tonne approval… for cooking gas too. So, it is a full hub for gas.”

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Making Conversion Affordable (Even Free for Some!)

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Worried about the cost of converting your car or bus to CNG? There’s help. Mohammed confirmed that the PCNGI is heavily subsidizing conversions. In fact, it’s completely free for members of key transport unions like NARTO, NURTW, and ride-hailing platforms like Uber and Bolt.

Expanding the CNG Network Nationwide

The push isn’t stopping in Abuja. Mohammed pointed to the critical Ajaokuta-Kaduna-Kano (AKK) gas pipeline project, being accelerated by NNPC Limited, as key to bringing CNG benefits to more Nigerians, especially up North.

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NASENI’s boss, Mr. Khalil Halilu, emphasized why the Kubwa location is strategic: “We are launching a station on the highway of Kubwa which… connects Abuja to the whole of the north and even the Southern part… a strategic move to show that the government is ready to position CNG stations… in strategic areas to ease transportation for Nigeria.”

Goodbye Queues? The Plan for the Future

Halilu also addressed the current queues seen at some CNG stations, framing them positively as proof of high demand. But he promised relief: “in partnership with the PCNGI, NASENI has planned for the queues around CNG stations to disappear in the next two years.”

The Bottom Line

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Nigeria’s CNG drive is firing on all cylinders. With nearly $1 billion invested in just 18 months, vehicles switching at record speed, major cost savings for drivers, and strategic new hubs like Portland Gas’s in Abuja launching, the shift away from expensive petrol is gaining serious momentum. Backed by promised legislation to protect supplies and plans for nationwide expansion via projects like the AKK pipeline, the future of cleaner, cheaper transport fuel in Nigeria looks brighter than ever. Stay tuned!

Tags: Abuja gas hubcheaper fuel NigeriaCNG conversion NigeriaCompressed Natural Gas NigeriaKubwa Expressway stationnatural gas investmentNigeria CNGPortland Gas Abuja

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