The Nigerian Midstream and Downstream Petroleum Regulatory Authority says the CNG conversion capacity increased by over 2,500 per cent in 2024.
NMDPRA boss Farouk Ahmed said this on Thursday in Abuja at the inaugural Petroleum Industry Stakeholders’ Forum, organised by the Ministry of Petroleum Resources.
Mr Ahmed said NMDPRA supported the Presidential Compressed Natural Gas Initiative by stimulating 186 new conversion centres, which triggered the county’s conversion capacity.
“The development of CNG as a viable alternative to Petrol has been incentivised. These conversions, alongside new buys, have raised the Nigerian Gas Vehicles population to an estimated 30,000 to 50,000 vehicles and trucks, and it continues to grow daily.
“With over $400 million attracted for investment in 86 and 65 new daughters and mother stations under construction respectively, Nigeria refuelling capacity has therefore risen from 20 to 56,” he said.
Mr Ahmed said the collaboration between PCNGI, NMDPRA, and the Standards Organisation of Nigeria led to the development of standards, and the NGV Monitoring System is expected to be inaugurated this year.
However, The NMDPRA boss listed some challenges facing the initiative, including establishing and operating petroleum handling facilities without proper licensing, permits and authorisations.
He listed other challenges, including poor collaborations for open/third-party access to facilities and lack of cooperation of some operators for effective regulatory oversight, in line with the Petroleum Industry Act provisions.
“We implore the industry to adhere to all regulatory requirements, especially as they relate to safety, efficiency, best practices, sustainability, consumer protection and community participation.
“As we progress into 2025, the NMDPRA will continue to consolidate on its successes for enhanced regulatory oversight.
“This will include the upgrade of our laboratories for enhanced product quality analysis and referencing, inter-agency collaborations, automation and sustainability in the industry,” Mr Ahmed said.
(NAN)