PETROAN pushes for stronger collaboration to deepen CNG penetration in rivers state, applauds Lagos CNG drive

The Petroleum Products Retail Outlets Owners Association of Nigeria (PETROAN) has called
on the Rivers State Government to urgently develop a comprehensive Compressed Natural Gas (CNG) programme to reduce transportation costs, attract investment and maximise the state’s vast gas resources.

The National President of PETROAN, Dr. Billy Gillis-Harry, made the call while speaking to
newsmen in Lagos during an inspection of CNG refuelling locations.
Dr. Gillis-Harry urged the Rivers State Government to study, adopt and, where possible, improve
upon the emerging CNG model being implemented in Lagos State.

According to him, Rivers State has a unique advantage because of its position as one of Nigeria’s leading oil and gas-producing states, its industrial base and its strategic location.
He said the state should move beyond simply producing oil and gas and begin to maximise the benefits of those resources by developing a strong domestic gas economy.
“Rivers State has the resources, the industrial base and the strategic position to become a
major CNG and gas-based transportation hub. We should not continue to produce gas without fully taking advantage of it to improve the lives of our people.”
PETROAN believes greater CNG adoption in Rivers State could help reduce transportation and operating costs for commercial transporters, including buses, taxis and other high-mileage
vehicles.
It could also attract investment, create employment, support local businesses, strengthen energy security and provide a comparatively lower-emission alternative to conventional petrol
and diesel transportation.

Contained in a press statement on Sunday following the inspection visit and the Lagos CNG experience, the association therefore called for the establishment of a Rivers State CNG Conversion and Transportation Programme.

The proposed programme according to PETROAN should include the development of CNG conversion centres across major transportation corridors, with incentives to make vehicle conversion more affordable, and
partnerships with private investors and gas companies to establish CNG refuelling infrastructure
across the state.

The association also called for the integration of CNG-powered buses into the state’s public
transportation system and the gradual adoption of CNG-powered vehicles by government
ministries, departments and agencies.

PETROAN the statement further noted also recommended the establishment of a stakeholder framework to bring together
the Rivers State Government, gas producers, petroleum marketers, transport operators, vehicle
conversion companies, financial institutions and other relevant stakeholders with sole aim of finding credible templates of deepening CNG penetration in the state.

The association the statement also disclosed believes that affordable financing will be critical to enabling commercial transport operators to convert their vehicles from petrol and diesel to CNG.

PETROAN further stressed that the development of CNG infrastructure should complement, rather than threaten, the downstream petroleum sector.
According to the association, petroleum marketers are in a position to play major role in Nigeria’s emerging
gas economy by investing in CNG infrastructure and transforming existing filling stations into
multi-energy stations offering petrol, diesel, CNG and other approved energy products.

Dr. Gillis-Harry said petroleum marketers must be positioned to participate actively in the country’s transition towards a broader and more diversified energy market.

PETROAN while commending the Lagos State Government for demonstrating how a subnational government can support CNG adoption through infrastructure development, vehicle conversion
and public transportation initiatives, advised that Rivers State should not simply copy Lagos,
Instead, it should develop a model suited to its own oil and gas resources, industrial capacity,
transportation needs and economic opportunities.

PETROAN said it also believes the Rivers State Government can work with the Federal Government’s
Presidential Initiative on Compressed Natural Gas and Electric Vehicles (Pi-CNG & EV) and
other stakeholders to accelerate CNG development in the state.

On collaboration, PETROAN declared it’s readiness to partner the Rivers State Government, the Federal
Government, gas producers, petroleum marketers, transport operators, investors and other stakeholders to make the vision a reality, calling on the Rivers State Government to seize the opportunity and position the state as a leading hub for CNG development and gas-based transportation in Nigeria.