Innoson, Hyundai, 3 Other Vehicle Companies Manufacturing CNG-Operated Vehicles in Nigeria
- Following the elimination of fuel subsidies in May 2023, the push to switch to CNG-powered vehicles started
- Some government agencies began to make the case that the switch would ensure cheaper fuel than purchasing gasoline
- To encourage the special vehicle manufacturing market, the federal government collaborates with regional producers
Legit.ng journalist Zainab Iwayemi has over 3-year-experience covering the Economy, Technology, and Capital Market
Source: UGC
After the removal of fuel subsidy in May 2023, the campaign for vehicle conversion to CNG-powered ones began, as government bodies and other entities started to argue that the conversion would guarantee cheaper fuel compared to buying petrol.
To develop the automobile industry in Nigeria, President Bola Tinubu’s administration has been at the forefront of the campaign for CNG-powered vehicles. The federal government partners with local manufacturers to venture into the manufacturing of special vehicles.
The federal government further mandated that all future vehicle, generator, or tricycle acquisitions by the government and its agencies must utilise either compressed natural gas (CNG), solar power, or electric energy sources.
This is because CNG-enabled vehicles have been adjudged to produce lower emissions, presenting a more affordable alternative for Nigerian energy consumers.
More so, the presence of manufacturing companies that specialise in CNG-supported vehicles has helped the campaign in favour of the CNG initiative and the government directives. These companies have made the supply of CNG-operated vehicles possible to the Nigerian market.
Legit.ng has compiled a list of local vehicle assembling companies producing CNG vehicles in Nigeria:
1. Innoson Vehicle Manufacturing
Amid mounting concerns about the high cost of transportation and the sluggish implementation of the CNG policy, President Tinubu recently announced the first phase of domestically built CNG buses from Innoson Vehicles Manufacturing Company Ltd (IVM).
About 20 of the buses were manufactured by Innoson Motors and delivered to the Federal Government by the business.
Innoson Motors also announced that it will begin manufacturing 30,000 buses and trucks that run on compressed natural gas (CNG).
2. Hyundai
In support of Tinubu’s CNG Initiative, Hyundai Nigeria recently began to roll out CNG vehicles for various categories of automobile users in the country.
The models include the Hyundai Grand i10, Accent, Creta, and Tucson, which are assembled in Nigeria.
According to Gaurav Vashisht, the company’s head of Sales and Marketing, the locally assembled CNG vehicles target most vehicle buyers, including retail customers or status vehicle owners from different corporate companies.
3. Mikano
As part of the federal government's strategy to increase the number of CNG-powered vehicles on the road, the presidential CNG Initiative started visiting important auto factories.
During a tour of the Mikano Car Assembly plant in Ogun state, Michael Oluwagbemi, the programme director/chief executive officer, P-CNG Initiative, said Mikano is one of the manufacturers of CNG-powered cars that has demonstrated a commitment to supporting the government's transition to CNG vehicles.
4. Nord Automobiles
The Federal Inland Revenue Service (FIRS) recently received a number of Nord compressed natural gas-powered (CNG) buses and pickups from Nord Automobiles Ltd., an automobile manufacturer with headquarters in Nigeria.
The vehicles include 11 Nord Flit buses and eight Nord Tusk pickups.
Nord Flit CNG bus is a 15-seater minibus powered by CNG and petrol engine (hybrid), delivering 102/4600-500 kW/rpm.
The Nord Tusk pickup is a unique pickup powdered by a 2.7 litre CNG and petrol engine.
5. Lanre Shittu Motors
Local vehicle assembler, Lanre Shittu Motors, recently announced assembled buses that run on 100 per cent CNG.
The company also stated that it was willing to support those buying a large fleet, including state governments, with the installation of mobile CNG stations across different locations.
Shittu, who spoke along with the Deputy Managing Director of the company, Lukman Shittu, said 100 units of the buses coming in two specifications would be introduced in the first phase to support President Bola Tinubu’s CNG initiative of easing public transportation and cushioning the effects of fuel subsidy removal.
Presidential panel reacts after CNG-converted vehicle caused explosion
Legit.ng reported that Nigerians had been reassured by the Presidential Compressed Natural Gas Initiative (PCNGI) about CNG-powered vehicles in the wake of a recent explosion in Benin City that injured three people.
An unregulated, modified CNG cylinder was blamed for the incident, highlighting the risks associated with using unapproved conversion services.
In a statement released on Friday, PCNGI program director/chief executive Michael Oluwagbemi emphasised that only approved facilities should be used for conversions and that safe handling of CNG was essential.
Proofread by Kola Muhammed, journalist and copyeditor at Legit.ng
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Source: Legit.ng
