Nigeria’s CNG Rollout Lags Behind Targets Despite $2bn Investment Push

by Oluwatosin Racheal Alabi

KEY POINTS


  • Nigeria has secured over $2 billion for CNG expansion but infrastructure rollout remains behind schedule.
  • Current figures show far fewer stations and centres than the 2025 targets of 150 outlets and 500 conversion hubs.
  • Lack of clear data and agencies shifting responsibility have raised transparency and accountability concerns.

Despite attracting over $2 billion in private-sector funding within two years, Nigeria’s Federal Government is struggling to meet its 2025 nationwide Compressed Natural Gas, CNG, infrastructure goals.

Findings by Nairametrics show that although financial backing and policy support remain strong, physical rollout of refuelling stations and access points is progressing more slowly than projected.

The Presidential CNG Initiative, launched in 2023 as part of the government’s energy-transition strategy following petrol subsidy removal, was designed to rapidly expand gas-powered mobility across the country.

At a January 30, 2025 event in Kogi State marking the commissioning of five mini-LNG plants, Programme Director Michael Oluwagbemi announced plans to establish at least 500 conversion centres and 150+ CNG retail outlets by the end of 2025.

However, available data shows only partial progress. The initiative’s official platform indicates that since 2023, over 300 conversion centres and more than 40 refuelling stations have been built, but there is no annual breakdown confirming how many were delivered in 2025 specifically.

Agencies Trade Responsibility Over Data

Attempts to obtain updated figures revealed gaps in inter-agency coordination.

Lara Obileye, Sales, Business Development and Strategy Manager for the programme, said she could not provide current statistics and redirected inquiries to the Federal Ministry of Finance and the Nigerian Midstream and Downstream Petroleum Regulatory Authority.

In response, Ogho Okiti, Special Adviser to the Finance Minister, stated that the programme office itself should supply the information, suggesting that the agencies holding funds should account for their usage.

A ministry source described the referral as a possible attempt to shift responsibility. Efforts to reach NMDPRA spokesperson George Eno-Ita yielded no response as of filing.

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