Motorists across Nigeria are voicing their dissatisfactions following Monday’s sharp increase in the cost of Compressed Natural Gas (CNG), which climbed from N230 to N380 per Standard Cubic Metre (SCM) at numerous filling stations.
Several major suppliers, including NIPCO CNG and Mobil, implemented the new price on Monday, yet a visit to the Nigerian National Petroleum Company Limited (NNPCL) station in Abuja’s Central Business District revealed that prices remained unchanged there. Sources suggest that the surge may relate to the expiration of NIPCO’s supply contract, now seemingly transitioning to NNPC management.
For many drivers, this sudden rise threatens to diminish the cost benefits that initially made CNG appealing compared to petrol.
Ikenna Ochei, with the X username @ikoreal2005 lamented;
@officialABAT. Why is the CNG price rising? Why is the poor being squeezed to death under your leadership? Why is there so much insensitivity to the plight of the majority poor citizens of Nigeria by your Presidency? Why?
George Ugwuja, with the X username @LionkingGeorge said;
Lols….I knew that once people start depending on it for survival…the price will match petrol
Similarly, Alaba Amos with the username @amosalaba144 said;
The price of CNG gas will still be equivalent to the price of petrol…is like you don’t understand govt tactics
In Abuja, motorists have also voiced their disappointment. Bassey Effiong, who recently upgraded his vehicle with an extra CNG cylinder to ease refilling stress. He said that it feels like he wasted money. He hopes the government will ensure price stability soon.
In Edo State, the cost has escalated from N200 to N380 per SCM. Driver Monday Okosu confirmed the increase translates to about N6,000 to fill a cylinder, compared to N4,000 previously. Despite the hike, Okosu believes CNG is still economically preferable to Premium Motor Spirit (PMS).
Conversely, in Kano State where the federal government recently opened a CNG conversion facility, adoption remains minimal. A local driver commented on hearing about CNG mainly through media, but rarely witnessing CNG vehicles on the streets. Similarly, Kaduna has a functioning conversion centre, but users report fuel availability as a major hindrance.
Jigawa State currently lacks an operational federal CNG conversion centre, though a pilot project funded by the state government aims to change that soon.
In Lagos, many motorists remain optimistic. Drivers commonly urged expanding the number of CNG filling stations to reduce queue times.
Since CNG’s introduction in Nigeria, notable price variances persist across suppliers. Greenville LNG, operating Nigeria’s first Liquefied CNG station in Kaduna, has charged rates above the official ceiling, exceeding N400 per SCM. Meanwhile, Shafa Energy in Abuja had sold CNG at N350 per SCM before shutting down due to non-compliance with regulations. The recent price rise to N380 has fueled speculation about the company’s potential return.
Similarly, Bovas CNG postponed sales over difficulties meeting official pricing requirements.
Stakeholders in the gas sector contend that retail prices may need to increase further, potentially up to N520 per SCM, to attract the investments necessary for infrastructure development.
Following the removal of fuel subsidies in mid-2023, the administration of President Bola Tinubu shifted focus toward promoting CNG as a sustainable alternative to expensive petrol. Through partnerships between NNPCL and NIPCO Gas Limited, numerous CNG stations have been launched across the country in a phased rollout designed to support both urban and intercity transportation.
Industry experts and motorists alike emphasize the need to find a balance between affordable pricing for consumers and financial incentives that can drive further growth, as talks to invest in expanding CNG infrastructure continues.
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