Nigerian government establishes 7 CNG centres, waives VAT on purchases

Nigerian government establishes 7 CNG centres, waives VAT on purchases

The Presidential Compressed Natural Gas (CNG) Initiative Steering Committee has revealed that seven CNG conversion centres have been established in the country.

The Committee Chairman, Mr Zacch Adedeji, made this known while handing over CNG buses to the State House, Permanent Secretary, Mr Olusesan Adebiyi, in Abuja.

Adedeji is the acting chairman of the Federal Inland Revenue Service (FIRS).

Represented by Mr Farouk Ahmed, Chief Executive Officer, Nigerian Midstream and Downstream Petroleum Regulatory Authority, Adedeji said the establishment of the CNG conversion centres symbolised the commitment of President Bola Tinubu’s administration to spearhead the energy revolution.

He assured that more CNG conversion centres would be established across the country.

“The effort is a pivotal step in Nigeria’s journey towards a cleaner and economically sound future.

“The project is not only about the conversation of vehicles but also about creating employment opportunities,” he said.

Adedeji announced that FIRS would waive Value Added Tax on CNG purchases and seek duty waivers for the value chain.

He said the aim was to build a sustainable future by leveraging the nation’s cheap and clean energy source.

According to the chairman, it also demonstrates Tinubu’s commitment to environmental sustainability and economic growth.

“These CNG buses for the State House are the vanguard of a future, where energy is cleaner and more economical.”

The Chairman of Nigeria Governors Forum, Gov. AbdulRahman AbdulRazaq of Kwara, said the event marked a new turn in the history of Nigeria.

“This begins a gradual transition from petroleum to gas-powered vehicles,” AbdulRazaq said.

He said that universities would be the first beneficiaries of the buses, adding that all state governments would key into it.