Michael Eboh
Dublin, Ireland — The Federal Government of Nigeria, its agencies and parastatals planned to spend N83.511 billion in 2025, on the acquisition of Compress Natural Gas-powered (CNG) vehicles and generators, and in the repair and conversion of existing vehicles and generators using diesel and petrol to CNG.
According to the 2025 Appropriation Bill presented to the National Assembly, the amount also included proposed spending for research studies and nationwide sensitisation on CNG adoption and participation in international conferences.
One major budget item is the N80 billion set aside by the Federal Government, under the Service Wide Vote, to be spent under the clean energy transition initiatives, for the development of local infrastructure, and conversion to CNG, and electric vehicles, among others.
However, it is important to note that some of the proposed spending appears outrageous and suspicious, going by information in the public domain.
Specifically, the Federal Institute of Industrial Research, Oshodi (FIIRO), said it intends to spend N100 million on the conversion of a diesel/petrol generator to compressed natural gas at its Langtang Zonal Office of FIIRO north-central zone.
In comparison, experts at the Nigerian Liquefied Petroleum Gas Association, put the price for the conversion of petrol/diesel generators, ranging from 4-cylinder to 8-cylinder, up to 110 KVA at about N1.5 million to N6 million.
In addition, FIIRO also budgeted N100 million for the training of youth on conversion of diesel/petrol generator to CNG at FIIRO Yola north-east zonal office; while it also intends to spend N300 million to organise a workshop on CNG conversion for youths in south east by its office in the south-east region of the country.
FIIRO also budgeted N55 million to set up a mobile cassava processing plant powered by CNG, while it plans to spend N60 million on the fabrication of a rotary oven powered by CNG.
Furthermore, the Federal Ministry of Transport earmarked N1 billion for the purchase of three official vehicles and three CNG buses.
The ministry also budgeted N50 million for the CNG conversion programme (Public-Private Partnership counterpart funding) to ensure environmentally sustainable road transportation; and N50 million to be spent on stakeholders’ engagement on international meetings, conferences and convention on CNG conversion on road transport and climate change mitigation for fuel emission reduction on vehicles, electric tricycles/electric vehicles and solar-powered light at the joint border post of Seme and Mfum-Ekok.
Also, the National Eye Centre, Kaduna, planned to spend N250 million on the repair and conversion of existing generators and vehicles to CNG and procurement of new generators as back-up to ensure steady service delivery in the hospital as well as mini trucks and patrol motor bikes to enhance community outreach programs and internal security.
The Nigerian Institute for Economic And Social Research (NISER) budgeted N75 million for the assessment of transition to CNG vehicles in Nigeria; the Federal Ministry of Marine and Blue Economy intends to spend N333.6 million on the procurement of two vehicles, seven pickups and seven CNG buses, while the Nigeria Meteorological agency sought to spend N20 million on the conversation of its vehicle to use CNG.
Additionally, the Ministry of Petroleum Resources, hopes to spend N16.74 million on a study of the comparative advantages of CNG and other clean gas for sustainable transition; while the Federal College of Animal Health And Production Technology – Vom, budgeted N252 million for the procurement of one diesel/CNG Innoson bus with 100 carrying capacity.
The Energy Commission of Nigeria intends to spend N271 million on training and workshop on CNG conversion; while N195 million will be spent by the Tafawa Balewa Square Management Board to purchase three CNG-powered operational vehicles for the complex in Lagos Island.
