BusinessDay

Gas adoption can transform Nigeria’s transport sector – ADLG

The Association of Local Distributors of Gas (ALDG) has said the full adoption of gas in transportation will transform the sector and benefit the economy at large as it is cost effective.

In a virtual event on Tuesday, themed “Prospects of Natural Gas as a Preferred Transport Fuel in Nigeria,” Myke Oseh, programme executive, Axxela, said Compressed Natural Gas (CNG) and Liquefied Natural Gas (LNG) have more economical and environmental advantage over other fossil fuels like diesel, petrol and others because of its economic cost and the little carbon emission associated with them.

Oseh said: “From an economic point of view, we already have an advantage of replacing currently using other fossil fuels as an alternative to the use of natural gas. You know the cost advantage that you can get if that happens and the money that goes in the pocket of those that want to directly go there.

“From an environmental point of view, it means that, in terms of the kilogram (kg) of Co2 emitted by CNG and LNG according to the US Energy information Administration (EIA) is about 35 percent lower than diesel and some other liquid use. This means that it reduces the pollution in the environment,” he said.

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ALDG was established in February 2020 to promote all activities within the Natural Gas distribution value chain, to encourage the development of Natural Gas distribution business in Nigeria; and to promote the safe transmission, distribution, and utilisation of Natural Gas.

Similarly, Oga Adejo-Origi, executive secretary, ALDG, while giving his background to the topic said: “In recent times, there has been a global demand for the use of natural gas compared to other fossil fuels.

“The factors that have influenced the high demand for natural gas are classified as an environmental advantage which means that fewer Co2 emission and also the financial case which talks about the cost advantage gas has over some of the other fossil fuels like diesel and petrol and for Nigeria the domestic availability” he said.

One of the speakers at the event also advocated that, to achieve a swift switch to natural gas as a preferred transport fuel in Nigeria, the government needs to play its role.

Hadiza Garbati, gas strategy executive, GascoMarine limited, said that: “The four key things the government has done is the signing of the Petroleum Industry Act (PIA) into Law, Economic sustainability Plan (ESP), NNPC-CNG expansion project and PMS transition.

“All these are good developments but more needs to be done in terms of the right policy, conversion programmes for Nigerians to bear upfront cost, also public awareness, funding and technical training need to be put in place for the successful completion of these projects,” he said.

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