FG Speaks after Malaysia Bans Vehicles Using Fuel Priced at N230
- The Nigerian government has responded to the planned phase-out of CNG vehicles in Malaysia
- Bayo Onanuga, presidential spokesman, said that Malaysia’s decision only affects liquified natural gas (LPG) and not compressed natural gas (CNG)
- Onanuga disclosed that Nigeria has a solid capacity to produce NGV tanks used for CNG and LPG
Legit.ng’s Pascal Oparada has reported on tech, energy, stocks, investment and the economy for over a decade.
The Malaysian government’s decision to phase out compressed natural gas (CNG) vehicles has elicited strong responses in Nigeria as the country continues to push for a switch to CNG as a more affordable and cleaner alternative to petrol.
An earlier report said that Malaysia’s transport minister, Loke Siew, announced different measures to phase out CNG use for vehicles amid safety concerns.
Source: Getty Images
Malaysia sets timeline to phase out CNG vehicles
The minister disclosed that CNG-powered cars can no longer be registered, effective July 1, 2025.
He says the initiative is for road users and the public's safety. He stated that only 44,383 CNG vehicles were operating in the country. This figure represents just 0.2% of vehicles, excluding motorcycles.
He disclosed that the vehicles' NGV tanks are now at the end of their lifespans and must be replaced. NGV tanks typically have a 15-year usage period.
FG responds to Malaysia’s decision on CNG
Responding to Malaysia’s decision, Bayo Onanuga, an aide to President Bola Tinubu on media and strategy, said that Malaysia’s policy was centred on the safety of liquified petroleum gas (LPG) and not CNG.
He pointed out that Malaysia’s shift from petrol and diesel has been ineffective, as only 0.2% of vehicles have been converted in 15 years, while Nigeria’s advancement in tank-making capacity set it apart as a game-changer.
According to Onanuga, NGV covers CNG and LPG, and Nigeria has adopted CNG only due to valid safety and cost-effectiveness relative to LPG.
He said:
“The end of 15 year CNG tank cycle means they need to replace tanks, and it was easier/cheaper to scrap their program and continue with their petrol than to do so if they had not built tank manufacturing capacity, which Nigeria is already developing in year one.”
Nigeria moves to adopt CNG
The Nigerian government has aggressively pushed to adopt CNG as an alternative to petrol following the deregulation of the downstream petroleum industry.
The development led to President Bola Tinubu inaugurating CNG at N230, while the Presidential Initiative on CNG (Pi-CNG) opened free conversion centres for vehicle owners.
FG opens portal for Nigerians to get CNG-powered tricycles
Legit.ng earlier reported that the Nigerian government had launched a portal that allows youths to access compressed natural gas (CNG)-powered tricycles, popularly known as Keke.
The Minister of State for Youth Development, Ayodele Olawande, disclosed this on Monday, October 7, 2024.
Activating the portal follows the Nigerian government's launch of 2,000 CNG tricycles on October 1, 2024.
Proofread by Kola Muhammed, journalist and copyeditor at Legit.ng
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