There are strong indications that the Federal Government's ambitious scheme to transition Nigeria's vehicle transportation industry from petrol to gas has collapsed into a nationwide crisis.
Industry stakeholders told Financial Vanguard that initial enthusiasm has been completely overtaken by frustration due to severe supply shortages and woefully inadequate infrastructure across the country.
They revealed that the scarcity of refill facilities and gas itself has become a nightmare for users and investors, forcing many to abandon the scheme entirely.
The product shortage comes ironically against the backdrop of adequate petrol supply nationwide, a situation that has started luring gas users back to re-converting their vehicles from gas to petrol.
In several states, the CNG scheme has virtually zero presence, while others with physical infrastructure—including conversion kits, in-built autogas vehicles, and refill stations—are experiencing either non-existent or skeletal levels of activity.
However, the Presidential CNG Initiative office and key stakeholders, while acknowledging these devastating challenges, insist the programme has not completely derailed, claiming efforts are underway to restore progress.
Government's Failed Incentives
The Federal Government had implemented several incentives to encourage private organizations to enter the CNG business, including removing Value Added Tax on CNG equipment, infrastructure, and Liquified Petroleum Gas conversion kits.
On May 13, 2024, President Bola Tinubu directed all Federal Ministries, Departments and Agencies to purchase CNG vehicles as part of widespread adoption efforts.
The government even promised free conversion kits for one million commercial vehicles nationwide, positioning that free conversion and low CNG prices would make public transportation cheaper for ordinary Nigerians.
But investigations reveal that the government's own reluctance to approve licenses for establishing CNG stations is contributing to scarcity at the few existing refill stations in Abuja and other locations.
Some users who spoke to Financial Vanguard alleged deliberate sabotage of the initiative.
A truck driver stated: "I believe there are people in the downstream segment and possibly regulatory agencies benefiting from petrol importation who know that if more people convert to CNG and can buy it easily, they will abandon petrol. If they abandon petrol, these people cannot make money anymore.
"President Tinubu told people to convert to CNG. So after we converted, why can't we buy it easily? If stations aren't enough, why do government officials refuse to allow more stations to be established?"
Another commercial taxi operator said: "Many commercial vehicles converted to CNG. Even private car owners converted, but now they're getting discouraged because of the endless queues at gas stations.
"Because of these long queues, many cannot spend four, five or six hours buying CNG. They don't have such time. So they're reverting to petrol. That's not the way to go."
A truck driver from one of the country's largest cement companies told Financial Vanguard in Abuja that he and colleagues spend an average of six days queuing to refill their CNG-powered trucks.
"Every time you pass this road, you'll see our trucks in the queue. It's not just heavy-duty trucks. Even car owners and taxi operators suffer with us. You can see the situation yourself—look at these endless queues," he said, pointing at both trucks and cars in separate queues.
"I'm not happy at all. When we're deployed, our company gives us N20,000 each. Imagine receiving N20,000 and spending six days in queue just to buy gas. That money isn't enough at all. We're suffering."
Abuja/Nasarawa Crisis
The busy Abuja-Keffi Road, spanning approximately 38 kilometers, has over 49 petrol stations on both sides. Shockingly, the same road has only one CNG station.
The sole CNG refill station, located at Ado, Karu Local Government Area of Nasarawa State, is currently non-functional. It was launched just eight months ago with promises of substantial savings for drivers and commuters, since CNG is significantly cheaper than petrol.
Frustrated motorists said they would have converted their vehicles to CNG but are discouraged by the lack of conversion centers and non-functional refill stations.
The only operational CNG station in Nasarawa State is Greenville's LNG/CNG station in Lafia, the state capital.
Commercial driver Adamu Suleiman expressed frustration: "I contemplated converting my vehicle last year when President Bola Tinubu launched this initiative, but friends advised me to wait. Looking back today, I thank them for that wise advice because where would I have been getting CNG?"
John Ebiam, another commercial driver on the Makurdi-Abuja route, said not converting was one of his best decisions: "Where are the CNG refill stations? I would have been crying like some of my friends are doing now."
The frustration of spending long hours at CNG stations forced Mr. Longe Lege, an Abuja public servant, to revert to petrol due to his busy schedule.
"It's affordable and saves costs compared to petrol. I used to spend N50,000-N60,000 weekly on petrol for work, but with CNG, it was about N15,000. But the major challenge is gas availability.
"The 10 CNG stations servicing Abuja are grossly inadequate for the huge demand. Some CNG users doing Bolt or Uber services even sleep at gas stations just to buy gas. Due to the stress, I haven't been buying gas for a while because I honestly don't have patience to spend 4 hours every two days buying gas."
Ahmed Kunle, an Abuja taxi operator, disclosed spending eight hours at a CNG station last week, with average queue time at the Mobil Station by Dunamis Dome being three to four hours.
Financial Vanguard findings revealed only 11 CNG filling stations in Abuja and 45 nationwide. Of Abuja's 11 stations, only three are reliable, leaving CNG vehicle owners frustrated and regretful, with some abandoning CNG entirely for petrol and diesel.
Lagos Situation
When Vanguard visited Lagos stations in Ikeja, Mushin and Apapa, CNG wasn't being dispensed as attendants said they were out of stock, advising visits to other stations or returning days later.
Sources close to NIPCO refill stations argued that efforts were being made to mitigate the crisis: "Yes, I can confirm challenges in product availability, which sometimes happens with every product supply. There are many reasons—delays at ports for clearing or product shipment."
Vanguard also learned that conversion kits at various Lagos locations are experiencing scarcity. A source at a government-approved outlet confirmed lack of equipment for CNG vehicle installation and conversion.
"For a while now, we don't have kits from the government source. However, we have some from our own stock, which isn't like the subsidized government equipment. I don't know why it's not coming in currently, but that's the reality across our outlets."
South East Struggles
In the South East, the situation appears even more surprising—nearly two years after the initiative launched, they're just starting to get on board.
In Enugu State, the government just procured 50 CNG buses, expecting another 50 soon. The first 50 are currently parked at Michael Okpara Square.
State Transportation Commissioner Obi Ozor said the buses would be inaugurated and deployed soon, with plans to bring electric and CNG automotive manufacturing to Enugu.
In Ebonyi State, the government has just awakened to embrace the CNG initiative but hasn't begun actual services. The SSG Prof. Grace Umezuruike said the government purchased CNG luxury buses for free civil servant and student transport.
Abia State shows even less interest, with Transportation Commissioner Chimezie Ukaegbu stating: "We're not buying CNG buses now but will roll out electric vehicles by end of July for Urban Mass Transit."
In Anambra State, private sector leadership through Nnewi-based Innoson Vehicle Manufacturing has fully embraced the initiative, but surprisingly, state citizens and government appear uninterested.
South South Abandonment
In the South South—ironically the nation's gas hub—the CNG Initiative appears completely foreign. There are no CNG buses in Delta, Akwa-Ibom, Bayelsa, and Cross-Rivers, according to drivers, residents, and labor leaders.
John Angese, NLC Bayelsa Secretary, said: "The policy isn't running as expected. While stakeholders applauded the initiative, we thought it would trickle down to states, but since launch, it ended where it was launched. Many states, including Bayelsa, haven't received CNG buses from the federal government."
The pattern repeats across the region, with officials and residents expressing disappointment at the complete absence of the promised transformation.
Despite various MOUs and announcements, concrete delivery of CNG services remains elusive, leaving Nigerians questioning another failed government promise.
Vanguard