Connect with us

Business

Tinubu orders deployment of 100,000 CNG kits in three weeks

Published

on

President Bola Tinubu has directed the immediate deployment of 100,000 Compressed Natural Gas conversion kits within the next two to three weeks to cushion the impact of rising petrol and diesel costs on Nigerians.

The Executive Chairman of the Presidential Initiative on Compressed Natural Gas, Ismaeel Ahmed, disclosed this on Tuesday after meeting with the President at the State House, Abuja.

Ahmed said the directive was informed by the ongoing war in the Middle East and its impact on global petroleum prices, which have increased transportation costs for Nigerians.

“The President, as usual, is always trying to get information on what is going on, and especially with the war in the Middle East and the rising cost of petrol and diesel.

“The President wanted to know what we are doing at the Pi-CNG and EV to scale up the availability of gas and CNG everywhere in the country so that people would have less cost of transportation,” Ahmed stated.

He revealed that Tinubu gave a direct mandate for the mass deployment of conversion kits to make natural gas more accessible as an alternative to petrol and diesel.

“So the President has given a direct mandate that we should immediately deploy about 100,000 kits.

“We are working with so many other stakeholders that would incentivise and get it into the market immediately and be able to convert a lot of vehicles and tricycles for people to be able to access gas,” the Pi-CNG boss said.

Ahmed emphasised that the deployment would commence within two to three weeks, with conversion centres expected to be “bustling with a lot of conversion activities.”

See also  Dangote refinery expansion to create 95,000 jobs

He disclosed that the initiative includes plans to deploy vehicles and tricycles equipped with bi-fuel CNG and electric mobility capabilities.

The President also directed the Pi-CNG to fast-track infrastructure development for gas refilling stations and electric vehicle charging points across the country, with particular focus on the Northern corridor.

“He also gave a directive that we must be able to fast-track the infrastructure in bringing gas and CNG, and electric mobility charging infrastructures to every part of the country, especially within the Northern Corridor, so that a lot of people will be able to access this,” Ahmed said.

The Pi-CNG chairman revealed that 77 refilling stations are currently at different stages of development nationwide, with significant progress recorded in Kano State.

“In Kano right now, we have about two LCNG stations and about five, six daughter stations that are coming up as well,” he stated.

Ahmed disclosed that the Northern corridor, stretching from Lokoja through Abuja, Kaduna, Zaria, Kano, and all the way to Maiduguri, will be equipped with multiple refuelling units to ensure seamless access to CNG for motorists.

“Along the corridors, from Lokoja all the way to Abuja, Kaduna, Zaria, Kano, all the way to Maiduguri, these are all places that we are going to litter with a lot of refuelling units. So it’s something that we’re looking forward to,” he said.

The Pi-CNG boss emphasised that the President wants results delivered quickly to ensure Nigerians can access CNG and electric mobility options.

“The President wants results delivered very quickly so that Nigerians will be able to access the CNG and electric mobility,” Ahmed stated.

See also  Patience Jonathan revealed she mentored Azikel refinery boss Eruani from ‘small boy’ to big businessman

On local manufacturing, Ahmed disclosed that the initiative is partnering with domestic manufacturers and attracting international manufacturers interested in setting up assembly lines in Nigeria.

“Absolutely, that’s where we’re dealing with partnering with a lot of local manufacturers, and even international manufacturers want to set up assembly lines in Nigeria.

“That is the goal, because it’s about job creation, it’s about availability,” he said.

He revealed that the Pi-CNG is collaborating with the Rural Electrification Agency to deploy solar-powered charging stations across the country.

“We’re partnering with REA, that’s the Rural Electrification Agency, to be able to supply solar where we can set up charging stations across,” Ahmed stated.

He noted that Nigerians are already importing electric vehicles independently, and the government’s responsibility is to provide adequate infrastructure to support their use.

“Nigerians are already bringing in their electric vehicles regardless.

“What you have to do for them now is to be able to make sure that there is enough infrastructure for them to work with this, especially off-grid,” Ahmed said.

PUNCH Online reports that the Presidential Initiative on Compressed Natural Gas was launched by Tinubu in 2023 as part of efforts to reduce dependence on petrol and diesel and lower transportation costs following the removal of fuel subsidy.

The initiative aims to convert one million vehicles to CNG and establish CNG refilling infrastructure across the country to make the alternative fuel widely accessible to Nigerians.​​​​​​​​​​​​​​​​

CNG is significantly cheaper than petrol, with a litre equivalent costing approximately 60-70 per cent less than premium motor spirit.

See also  Kogi Targets N86.6bn Revenue From Cashew Production In 4 Months

punch.ng

FOLLOW US ON:

FACEBOOK

TWITTER

PINTEREST

TIKTOK

YOUTUBE

LINKEDIN

TUMBLR

INSTAGRAM

Continue Reading
Click to comment

Leave a Reply

Your email address will not be published. Required fields are marked *

Business

DisCos earn N603bn as power offtake drops

Published

on

Electricity distribution companies collected N603.64bn from customers in the second quarter of 2026, despite a decline in the volume of electricity they received from the power market.

The figure was contained in the Nigerian Electricity Regulatory Commission’s second-quarter 2026 report, which showed that the average energy offtake by the DisCos at their trading points fell to 3,197.03 megawatt-hours per hour in the quarter.

The Q2 figure represented a 112.45MWh/h, or 3.40 per cent, decline from the 3,309.48MWh/h average recorded in the first quarter. Despite the decline in offtake, the DisCos recorded an overall offtake performance of 94.07 per cent during the quarter, against available partially contracted capacity of 3,398.41MWh/h.

According to the report, the DisCos received a total of 6,982.32 gigawatt-hours of electricity during the quarter but billed customers for only 5,812.31GWh. It stated, “This translates to an overall energy accounting efficiency of 83.24 per cent and represents a 0.24pp decrease compared to 2026/Q1 (83.48 per cent).”

The report further revealed that the naira value of electricity off-taken by the DisCos stood at N946.57bn, while the total value of energy billed to customers was N744.67bn.

This translated to a billing efficiency of 78.67 per cent, representing a decline of 0.57 percentage points from the 79.24 per cent recorded in the first quarter. At the collection stage, the DisCos recovered N603.64bn from the N744.67bn billed to customers, translating to a collection efficiency of 81.06 per cent.

The report said this represented an improvement of 2.11 percentage points from the 78.95 per cent recorded in Q1. However, the difference between the amount billed and the amount collected stood at N141.03bn during the quarter.

See also  Recapitalised banks poised to drive Nigeria’s $1trn economy ambition

The report also disclosed that the weighted average Aggregate Technical, Commercial and Collection losses across the 11 DisCos stood at 36.23 per cent in Q2.

It stated, “The ATC&C loss of 36.23 per cent is 19.31pp higher than the 2026 MYTO target (16.92 per cent) and translates to a cumulative revenue loss of N129.07 billion across all DisCos.”

The 36.23 per cent loss, however, represented a 1.21 percentage-point improvement from the 37.44 per cent recorded in Q1.

The report noted that all the DisCos failed to meet their ATC&C targets during the quarter, with “Kaduna DisCo recording the worst underperformance relative to the target (Actual – 67.70 per cent vs target – 18.18 per cent),” it stated.

On market obligations, the report said the cumulative upstream invoice payable by the DisCos stood at N410.38bn in Q2.

The amount comprised N326.46bn for generation costs from the Nigerian Bulk Electricity Trading Company and N83.92bn for transmission and administrative services provided by the market operator.

The DisCos collectively remitted N385.44bn, comprising N306.62bn to NBET and N78.82bn to the market operator, leaving an outstanding balance of N24.94bn. This represented a market remittance performance of 93.92 per cent, slightly lower than the 94.08 per cent recorded in Q1.

The report added that the Federal Government had taken responsibility for about 50 per cent, or N321.26bn, of the total generation costs through subsidies arising from the freezing of end-use customer tariffs at the rates applicable in July 2024.

Meanwhile, three international bilateral customers purchasing electricity from grid-connected generating companies paid $8.67m against an $18.84m invoice issued by the market operator during the quarter.

See also  President Trump orders firing of Labor statistics chef over unemployment in US

This represented a remittance rate of 46.02 per cent. Domestic bilateral customers, on the other hand, paid N6.91bn against an invoice of N7.55bn, representing a remittance rate of 91.54 per cent.

Source: punchng.com

FOLLOW US ON:

FACEBOOK

TWITTER

PINTEREST

TIKTOK

YOUTUBE

LINKEDIN

INSTAGRAM

Continue Reading

Business

Personal loans rise to N2tn as Nigerians borrow more

Published

on

Personal loans obtained by Nigerians rose to an estimated N2.06tn in May 2026, as consumer credit continued to expand amid persistent cost pressures and weak consumer spending, according to the latest Economic Report of the Central Bank of Nigeria.

The figure, calculated from data contained in the CBN’s May 2026 Economic Report, represents about 64.78 per cent of the N3.18tn total consumer credit outstanding during the month. The report covers developments in the real, fiscal, financial and external sectors of the economy.

The apex bank said consumer credit increased by 1.60 per cent from N3.13tn in April to N3.18tn in May, indicating that Nigerians borrowed an additional N50bn within one month.

It said, “Consumer credit outstanding increased by 1.60 per cent to N3.18tn from N3.13tn in the preceding month, driven by growth in personal and retail loans, which rose by 1.98 and 0.90 per cent, respectively.”

The CBN added, “Personal loans remained the dominant component of consumer credit, accounting for 64.78 per cent, while retail loans constituted 35.22 per cent.”

Based on the proportions reported by the apex bank, personal loans stood at approximately N2.06tn at the end of May, while retail loans amounted to about N1.12tn.

The 1.98 per cent month-on-month increase in personal loans suggests that the balance rose by roughly N40bn during the period. Retail loans, which include credit tied more directly to the purchase of goods and services, recorded a slower increase of 0.90 per cent.

The figures show that personal borrowing remained the main driver of Nigeria’s consumer-credit market, accounting for nearly two-thirds of outstanding credit.

See also  NNPC can increase stake in Dangote refinery — Aliko

The increase came against a challenging operating environment for households and businesses. The CBN reported that economic activity remained weak in May, with its composite Purchasing Managers’ Index at 49.60 points, slightly higher than 49.40 points in April but still below the 50-point threshold separating expansion from contraction.

According to the bank, the contraction reflected subdued demand, declining new orders and elevated production costs. It also identified weak consumer spending and higher energy-related costs as pressures on the industry and services sectors.

Inflation also remained elevated during the period. Headline inflation increased to 15.93 per cent in May from 15.69 per cent in April, which the CBN attributed to persistent cost pressures and higher energy prices. However, month-on-month inflation slowed to 1.75 per cent from 2.13 per cent.

The combination of rising consumer credit and weak consumer spending suggests that households were increasingly accessing credit at a time when living and operating costs remained under pressure.

A recent report Enhancing Financial Inclusion & Advancement noted that four in every 10 Nigerians borrowing from formal financial institutions now take loans mainly for consumption and coping needs, as rising financial pressures increasingly push credit away from productive activities.

The 2026 Access to Financial Services in Nigeria Survey revealed that 40.8 per cent of formal borrowers used loans for coping and consumption, up sharply from 31.7 per cent in 2023.

The 9.1 percentage-point increase made coping and consumption the largest purpose of formal credit, overtaking productive enterprise borrowing, which fell from 40.2 per cent to 34.3 per cent during the same period.

See also  Kogi Targets N86.6bn Revenue From Cashew Production In 4 Months

Borrowing for household assets also declined from 25.2 per cent to 23.4 per cent. The report warned, “Coping/consumption purposes rose from 31.7 per cent to 40.8 per cent; productive purpose fell from 40.2 per cent to 34.3 per cent. We need to ensure that credit builds productive capacity and does not produce distress.”

Formal credit use increased from six per cent of adults in 2023 to 10 per cent in 2026, with about 11.9 million Nigerians borrowing from regulated providers. When informal sources were included, 36 per cent of adults had access to some form of credit.

Credit use among informally employed Nigerians tripled from five per cent to 15 per cent, while borrowing among people aged 18 to 35 rose from four per cent to 10 per cent. Business owners recorded an increase from four per cent to 10 per cent, while farmers rose from two per cent to six per cent.

However, the report found significant distress among borrowers. About 45.8 per cent of formal-credit users reported some or serious repayment stress, while 83.8 per cent experienced ongoing financial stress.

Source: punchng.com

FOLLOW US ON:

FACEBOOK

TWITTER

PINTEREST

TIKTOK

YOUTUBE

LINKEDIN

INSTAGRAM

Continue Reading

Business

NAFDAC seizes N300m banned drinks in Lagos

Published

on

The National Agency for Food and Drug Administration and Control has seized alcoholic beverages worth an estimated N300m packaged in sachets and PET bottles below 200ml during enforcement operations in Lagos State.

NAFDAC disclosed this in a statement shared on its Facebook page on Sunday, adding that some distributors and retailers involved in the sale of the prohibited products were arrested.

The agency said the enforcement operations were carried out at Ile-Epo Market, Ojuwoye Market in Mushin and Oke-Arin Market on Lagos Island.

“Officials evacuated several cartons of alcoholic beverages packaged in sachets and PET bottles below 200ml from these locations.

“Distributors and retailers were arrested during operations at Ile-Epo Market, while raids were also conducted at Ojuwoye Market, Mushin, and Oke-Arin Market, Lagos Island,” the statement said.

NAFDAC said investigations revealed that some distributors and retailers were hoarding the prohibited products amid increased demand and rising prices.

The agency said the enforcement was part of efforts to ensure compliance with the ban on the sale and distribution of alcoholic beverages packaged in sachets and PET bottles below 200ml.

It warned distributors, retailers and other operators against selling, distributing or hoarding the prohibited products.

“NAFDAC emphasises that the ban remains in force and warns distributors, retailers and other operators against the sale, distribution or hoarding of the prohibited products.

“The value of the seized products is estimated at N300m,” it stated.

PUNCH Metro reported on August 25 that NAFDAC ordered manufacturers of banned alcoholic beverages packaged in sachets and polyethylene terephthalate bottles below 200ml to recall the products nationwide or risk closure of their facilities.

See also  PHOTOS: BitMARTe Launches In Nigeria

NAFDAC had also vowed to fully enforce the Federal Government-approved prohibition of alcoholic beverages packaged in sachets and PET or plastic bottles below 200ml, warning that the ban was irrevocable.

The agency had stated that the years of grace given to manufacturers by the Federal Government to stop producing the products had expired.

Source: punchng.com

FOLLOW US ON:

FACEBOOK

TWITTER

PINTEREST

TIKTOK

YOUTUBE

LINKEDIN

INSTAGRAM

Continue Reading

Trending