President Bola Ahmed Tinubu’s drive to explore alternative energy sources has yielded impressive results, attracting over $1 billion in direct foreign investments to the Oil and Gas Free Zone Authority’s Liberty OGFZ within just 17 months, according to OGFZA’s Chief Executive Officer, Bamanga Jada. He made this announcement during a sensitisation program on Compressed Natural Gas (CNG) infrastructural development at the Onne Oil and Gas Free Zones in Port Harcourt.
At the event, key stakeholders from the transportation, environmental, and oil and gas sectors expressed strong support for President Tinubu’s CNG initiative, describing it as a major catalyst for industrialization. Dr. Jumoke Oduwole, the Minister of Industry, Trade, and Investment, highlighted the initiative as one of the most significant reforms of the current administration.
Represented by Theresa Ogolo, a director in the ministry, Dr. Oduwole underscored the importance of CNG as a cleaner, more affordable, and sustainable fuel option, especially for the transportation and logistics sectors, which play a pivotal role in industrial activities. She explained that the event was a crucial step towards the nation’s broader energy transition strategy, which seeks to diversify Nigeria’s energy mix, reduce carbon emissions, and fully capitalize on the country’s vast natural gas reserves.
The program, themed “Driving Sustainable Transportation: Accelerating CNG Adoption,” was organized by Portland Gas in collaboration with OGFZA. Ogolo emphasized the strategic role of the Onne Oil and Gas Free Zone in fostering innovation, investment, and industrial activity, positioning it as an ideal launchpad for the nationwide adoption of CNG. She assured stakeholders that the government was committed to supporting CNG infrastructure development through robust partnerships and regulatory frameworks.
To ensure the success of this initiative, Ogolo stressed the importance of public awareness, policy alignment, and coordinated implementation. She also emphasized that stakeholders, including transport operators and industrial players, must be educated on the economic and environmental benefits of CNG, ensuring a smooth transition towards cleaner energy. The federal government, she added, would continue to provide the necessary support, including investment incentives and regulatory backing.
Michael Oluwagbemi, Programme Director/Chief Executive of Pi-CNG, praised the initiative for its positive impact on Nigeria’s economy, describing gas as a critical fuel for industrialization. He revealed that the initiative has already attracted $459 million in investment, with the number of CNG conversion centers across Nigeria increasing from just seven in five states to 153 centers in 23 states.
Folajimi Mohammed, Managing Director of Portland Gas Limited, commended the federal government for its proactive stance, including subsidies to ease the cost of CNG conversions. He explained that the government had provided free kits to some recipients and introduced the Credit Course Scheme (CALM) to help finance the conversion process. He also noted that private stakeholders would soon address refilling issues, further accelerating CNG adoption.
Bamanga Jada, CEO of OGFZA, reiterated President Tinubu’s vision to lower energy costs through cleaner, more efficient alternatives like CNG. He stated that the Liberty Oil and Gas Free Zone, alongside other zones such as the Orashi Energy Free Zone in Imo State, is key to the government’s focus on gas and green energy projects. He proudly announced that, under the current administration, the Liberty OGFZ had attracted over $1 billion in Foreign Direct Investments (FDI) over the past 17 months.
Jada emphasized Nigeria’s position as Africa’s largest producer of natural gas, with over 209 trillion cubic feet of proven reserves, positioning the country as a key player in the global energy market. He concluded by noting that the global energy landscape is evolving rapidly, and Nigeria must embrace sustainable energy solutions to meet the growing demand and environmental challenges.
This initiative is poised to play a transformative role in Nigeria’s energy sector, contributing significantly to economic growth, environmental sustainability, and industrial development.
Gathered by:Onoro Promise Edesiri