CNG Will Offer Investment Opportunity To Private Sector – FG To Nigerians

The Minister of Finance and Coordinating Minister of the Economy, Wale Edun, has said that the Federal Government’s adoption of Compressed Natural Gas (CNG) offers an opportunity to private sector players.

VerseNews reports that Edun said this at the unveiling of the 2023 Nigerian Banking Sector Report by Afrinvest, which was held in Lagos on Wednesday.

The report was entitled ‘Getting Nigeria To Work Again!’

The finance minister who was represented by the Managing Director of the Ministry Of Finance Incorporated, Dr Armstrong Takang, said, that increasing the adoption of CNG will reduce the cost of production for businesses and households. However, he highlighted that there was a need to increase investment.

He said, “I don’t know if any of you have been watching the campaign on the substitution of PMS for CNG. It is an early step that we are taking. When you look at the price of CNG versus PMS, it ranges from half of it and sometimes it comes down to a quarter of what it costs to run on fuel.

“We believe that given that we are a gas nation and gas is cleaner than PMS, if we aggressively move in that direction, it can have a significant impact on the cost of not only fuelling our vehicles, mass transit as well as even factories that run on fuel and diesel.

“We are taking steps in that direction. You will be seeing some announcements in due course in terms of steps that are being taken to trigger a demand in that value chain. There is a lot of investment that has to be done in terms of conversion kits, refueling stations, and in terms of midstream in terms of transportation of infrastructure and upstream. A lot of investment needs to go into that. We believe that it provides an opportunity for the private sector to partner.”