Federal Government has disclosed plans to expand the use of Compressed Natural Gas in order to stop subsidy payment on Premium Motor Spirit, also known as petrol.
This development was revealed by the Minister of State for Petroleum Resources, Timipre Sylva, while briefing newsmen in Abuja on Wednesday.
Sylva said that the government was set to discourage the use of petrol, especially for commercial transportation.
Speaking further, the minister stated that, the government was working toward encouraging Nigerians to use CNG as fuel for transportation because payment of subsidy on petrol was taking a toll on the finances of the country.
Sylva also reiterated that government has done a pilot on CNG in Benin City,over the years, having a prove that it would go a long way in serving as an alternative to fuel if expanded to the entire country.
It terms of the cost, Sylva revealed that, while PMS at subsidised price goes for N143 per litre, CNG goes for between N95 and N97 per litre
In his words, he said, “We will start very soon to roll out. Already, there is a pilot programme in Benin, which has worked for a long time. About 4,000 vehicles are already on CNG in Benin.
“We want to expand that CNG programme across the country and we believe it is going to create a lot of opportunities for Nigerians and also give Nigerians a new lease of life because the commodity would be accessible.’’