The Federal Government, through the Presidential Compressed Natural Gas Initiative (P-CNGI), has signed an agreement with taxi operators at Nnamdi Azikiwe International Airport, Abuja.
The deal will convert 800 vehicles from petrol to Compressed Natural Gas (CNG) with the aim of reducing shuttle fares by 30%.
Mr. Michael Oluwagbemi, Programme Director and Chief Executive of P-CNGI, stated at the agreement signing on Tuesday in Abuja that the conversion aligns with the current administration’s commitment to transitioning one million commercial vehicles to CNG.
Oluwagbemi, who was represented by Mr. Folarin Oworo, Programme Execution Coordinator, explained that the airport taxi operators manage a fleet of 800 vehicles, and the 30% fare discount will take effect once 50% of the fleet of around 400 vehicles is converted.
“The airport taxi operators have about 800 fleet of vehicles and we have agreed that once we hit 50% conversion, which is about 400 vehicles, a 30% discount will be implemented immediately.
“There are various prices based on the distance one is travelling, so the 30% will be applied accordingly based on the current prices for the areas one is going,” he said.
He added that a rate card with prices and discounts will also be available in the vehicle based on the passenger’s destination, and to ensure compliance, there will be regular monitoring for diligent delivery.
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Oluwagbemi emphasized that the P-CNGI has partnered with accredited conversion centres to facilitate the transition to Compressed Natural Gas (CNG) in Abuja.
- He noted that when the program launched a year ago, only one refilling station was operational in the capital, but that number has now increased to seven. More stations are in development as the Nigerian Midstream and Downstream Petroleum Regulatory Authority (NMDPRA) continues processing approvals to expand capacity.
- He also addressed safety concerns, explaining that explosions are only possible with illegal installations using substandard cylinders. The initiative ensures the exclusive use of SON-certified, bulletproof cylinders, which are resistant to damage or explosions unless tampered with or improperly modified.
- To improve efficiency, Oluwagbemi said the program provides 65- and 75-liter cylinders to reduce refilling times. Plans are also underway to introduce different sizes and shapes to accommodate various vehicles and cargo requirements.
- Airport Taxi Operators spokesman Aliyu Abdulaziz-Aliyu commended the initiative and thanked the federal government for offering the conversion service free of charge.
- He expressed optimism that the CNG switch would cut operational costs and lower fares for airport passengers.
Yunus Ismail, manager of Salma Auto CNG, confirmed his centre’s readiness to convert the fleet as agreed, while Emmanuel Ike, Secretary of Exodus Motors, urged the government to expand CNG refilling stations to meet growing demand and ensure uninterrupted operations.