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Nairametrics
Home Business News

These companies are partnering to take advantage of Nigeria’s flared gas

Emmanuel Abara Benson by Emmanuel Abara Benson
May 31, 2018
in Business News, Company News
Deepak Khilmani

Powergas Africa's Chairman, Deepak Khilmani

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Two companies – Powergas Nigeria and European Technologies Africa- are coming together to develop an innovation that will see compressed natural gas (CNG) serve as an alternative to fuel in Nigeria’s haulage and mass-transit sector.

The special innovation (gas engines) makes it possible for buses and haulage trucks with CNG solutions to make use of gas. This will, among other benefits, put Nigeria’s abundant gas resource to greater use, even as C02 emissions on Nigerian roads are reduced. Millions of naira will also be realised in the process.

The partners had earlier met with stakeholders to introduce Clean and Environmentally Sustainable Transportation (CEST) programme,  which will serve as the pilot phase of the initiative.

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Speaking during the meeting introducing CEST, Powergas Africa’s Chairman, Deepak Khilmani had emphasised the innovative nature of the project, stating that it would transform Nigeria’s road transport system.

He decried the waste of natural gas in Nigeria which happens in the form of gas flaring, stating that there are currently about 178 gas flare sites in Nigeria. According to him, the volume of flared gas in Nigeria is enough to take care of the country’s energy needs. He, therefore, called on potential investors to join them as they work towards reforming the energy and transport sectors using a unique innovation.

Powergas believes in natural gas as a fuel that can be used to power a whole lot more at a much lower cost. Natural gas is a viable cleaner alternative fuel to PMS/AGO as it produces fewer emissions and the running cost of vehicles is around 30-40 percent less. -Khilmani 

Recall that Powergas Nigeria and European Technologies Africa are not the only companies who are thinking in this direction of taking advantage of Nigeria’s abundant and wasted natural gas.

As we reported, Vitol is gearing up to monetise Nigeria’s flared gas even as it hopes to help Nigerian companies “switch fuel inputs, converting from diesel to trucked LNG or LPG.”

The company currently distributes liquefied petroleum gas (LPG) by truck.

Note that in order for the CEST programme to be successful, there is a need to strategically situate CNG filling stations across Nigeria.


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Tags: CNGDeepak KhilmaniEuropean Technologies AfricaPowergas Nigeria
Emmanuel Abara Benson

Emmanuel Abara Benson

Emmanuel Abara Benson is an experienced business reporter and editor. He currently edits articles at Nairametrics. Reach him via email on Emmanuel.abara@nairametrics.com and follow him on Twitter @Mr_Abara for his personal opinions.

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