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Examining CNG as alternative fuel with great potential in Nigeria

Examining CNG as alternative fuel with great potential in Nigeria

Examining CNG as alternative fuel with great potential in Nigeria – The need for sustainable and diversified energy sources is becoming increasingly important across the globe, to protect the environment, and to reduce dependency on non-renewable fossil fuels. Nigeria, as one of the leading oil-producing nations in the world, has been severely impacted by the global decline in oil prices. This has led to a need for alternative energy sources, and Compressed Natural Gas (CNG) is one such alternative fuel that has great potential in Nigeria.

Compressed Natural Gas (CNG) is a fuel that can be produced from natural gas and used as an alternative to gasoline and diesel. The Nigerian National Petroleum Corporation (NNPC) has recently launched the National Gas Expansion Programme (NGEP) to promote domestic consumption of natural gas, which includes plans to use CNG as a fuel for transportation. There is no doubt that Nigeria has the resources required to produce large quantities of CNG, but the question is whether CNG can become a viable fuel source for transportation in Nigeria.

CNG Prospects in Nigeria

The potential of CNG as a fuel for transportation in Nigeria is significant, given the size of the country’s natural gas resources. Nigeria is the ninth largest producer of natural gas globally and has about 202trillion cubic feet (Tcf) of proven natural gas reserves, according to the Department of Petroleum Resources (DPR). However, despite the abundance of natural gas in Nigeria, the country has been experiencing a huge shortfall in electricity supply and other forms of energy.

One of the reasons why natural gas has not been fully utilized in Nigeria is its lack of adequate infrastructure. However, with the NGEP, the Nigerian government is keen to invest in building the necessary infrastructure to improve access to natural gas in the country. The NGEP is expected to promote the use of natural gas across various sectors, including transportation, industrial, and domestic use. In the transportation sector, the NGEP is expected to lead to the establishment of CNG refueling stations across Nigeria, which would make it possible for vehicles to refuel with CNG.

Examining CNG as alternative fuel with great potential in Nigeria

Benefits of CNG in Nigeria

There are several benefits to using CNG as a fuel for transportation, which makes it a potential game-changer for Nigeria.

1) Reduced dependence on petroleum products- By using CNG as a fuel, Nigeria can reduce its dependence on petroleum products, which are imported, and thereby reduce its exposure to the price fluctuations associated with the global oil market.

2) Reduced fuel costs- CNG offers a cost-effective alternative to gasoline and diesel, with the price of CNG being significantly lower than that of gasoline or diesel. According to a report by the NNPC, CNG is 30-40% cheaper than gasoline and diesel.

3) Lower emissions- CNG is a cleaner fuel than gasoline or diesel, as it produces fewer harmful emissions when burned. This means that CNG has the potential to reduce air pollution and improve air quality in Nigerian cities.

4) Better for the environment- The use of CNG as a fuel is more environmentally friendly than using gasoline or diesel, as it produces fewer greenhouse gases, which contribute to global warming.

5) Increased job opportunities- The establishment of CNG refueling stations and the promotion of CNG as a fuel for transportation in Nigeria will create new job opportunities across the country.

Challenges of CNG in Nigeria

As with any emerging technology or fuel, CNG in Nigeria is not without its challenges. The following are some of the challenges that need to be addressed to ensure the widespread adoption of CNG as a fuel for transportation in Nigeria.

1) Poor infrastructure- Nigeria has a significant infrastructure deficit, especially when it comes to the natural gas sector. The lack of adequate infrastructure, such as pipelines, and CNG refueling stations, is a significant challenge to the adoption of CNG as a fuel for transportation.

2) Low awareness and acceptance of CNG- Most Nigerians are not yet familiar with CNG as a fuel source, and there is a lack of awareness campaigns to educate the populace about the benefits of CNG. There is also a need for incentives to encourage the adoption of CNG by vehicle owners.

3) High initial cost of CNG vehicles- The initial cost of purchasing CNG vehicles and conversion equipment is higher than that of conventional gasoline or diesel vehicles, which could be a barrier to widespread adoption of CNG.

4) Safety concerns- There is a perception among some people that CNG is a hazardous fuel, which could explode or cause fires in the event of an accident.

Conclusion

CNG holds great promise for Nigeria as an alternative fuel source for transportation. The potential benefits of CNG include reduced dependence on petroleum products, reduced fuel costs, lower emissions, and a cleaner environment. However, for CNG to become a significant player in the transportation sector in Nigeria, there will need to be significant investment in infrastructure, awareness campaigns, and the provision of incentives to encourage the adoption of CNG. With the launch of the NGEP, Nigeria has taken a significant step towards realizing the potential of CNG, and it is hoped that this initiative will lead to the widespread adoption of CNG in Nigeria in the coming years.

Categories: ECONOMY
Cynthia Charles: She is a prolific writer and has special interest on writing about business and opportunities. She can be contacted via cynthiaadigwe@financialwatchngr.com
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