According to the Nigerian Independent Petroleum Company (NIPCO), increased investment in gas infrastructure is helping with Nigeria’s energy transformation and diversification.
This was said by Mr. Suresh Kumar, Managing Director of NIPCO Plc, during a facility tour of the business on Sunday in Lagos. He also added that it will lessen the nation’s reliance on fossil fuels.
By significant investment in the industry, Kumar said that the organization had increased gas consumption and market penetration in the nation.
As the federal government intends to discontinue fuel subsidies, he argued that natural gas via compressed natural gas (CNG) and auto CNG would inevitably become the “fuel of choice.”
He claims that among its many advantages, natural gas is safe, environmentally beneficial, and affordable.
According to Kumar, the company made significant investments in gas infrastructure in accordance with the Federal Government’s proclamation that the years 2021 to 2030 would be “Nigeria’s Decade of Gas.”
He pointed out that the administration aimed to increase domestic and export gas production and usage throughout the time covered by the statement.
He said that NIPCO was stepping up its investment in gas infrastructure in order to support the Federal Government’s expanding gas agenda.
He claims that the business has already built Compressed Natural Gas (CNG) facilities around the nation to convert cars to run on gas.
He added that NIPCO had been building new pipeline infrastructure and boosting its Liquefied Natural Gas (LNG) supplies to key areas around the nation.
Over the years, according to Kumar, the company has invested more than $50 million in the development of Nigeria’s natural gas, and further projects are still in the works.
In his words, he said: “We have spent more than 50 million dollars on natural gas infrastructure over the years. We believe that there are a lot of potentials in Nigeria that can be explored for gas utilization, and this will further boost our economy.
“By using indigenous gas, we can reduce the subsidy burden on the Federal Government.
“We can also reduce the importation burden and that will directly or indirectly reduce capital flight and create more employment opportunities for Nigerians.
“We are the pioneers. We always dream about the future. So, we dreamt of natural gas utilization in Nigeria right from 2008 and we started investing.
“We introduced this model to the government. Nigeria is a country that has abundant natural gas and instead of wasting subsidy on petrol, we should be looking at a blueprint that can change the petrol market to CNG market,” he said.
According to him, NIPCO is an integrated company that supplies the Nigerian market with petrol, diesel, and gas.
Kamar said the company currently has about 19,500 metric tonnes of combined storage capacity for LPG with 10 loading bays, which could truck-out over 4,000 tons per day.
Mr. Nagendra Verma, Managing Director of NIPCO Gas, also spoke, stating that the company presently operates 14 CNG filling stations in various states around Nigeria and that another six CNG stations are currently being built.
He said that nearly 7,000 vehicles were currently powered by CNG and added that the NIPCO fleet of more than 350 trucks ran exclusively on gas.
“We have workshops which are fully efficient and fully capable to convert PMS vehicles to gas, we have the expertise and we are ready to convert more vehicles to run on gas, he said.
Verma said: “So, we intend to have CNG stations in almost all the states of Nigeria, wherever the pipeline is available.
“Presently, we are laying LNG pipeline for 80 Kilometer pipeline from Shagamu interchange to Ibadan.
“The pipeline work is going on. We expect to commission first phase by the end of December 2023.
“And the entire pipeline is expected to be completed by next year.”
He maintains that the company is also creating the nearly finished Lekki Free Trade Zone in Lagos, which would house a gas pipeline infrastructure.
In an effort to comply with the federal government’s criteria for mixing a specific amount of propane with butane for household gas, he claimed that the company is now building the largest propane tank in Nigeria, with a capacity of 500 metric tonnes.
The completion of the propane tank, according to Verma, is anticipated in the next three months. Ref:NAN
