The federal government has revealed the need of $2.5 billion worth investment from the private sector to deliver one million vehicles to Compressed Natural Gas (CNG) before 2027.

The Head of Media Relations of the Presidential Compressed Natural Gas (CNG) Initiative (PCNGI), Taiwo Fashipe, stated this during the commissioning of MBH Power CNG Retrofitting Conversion Centre in Lagos.

"The Federal Government of Nigeria is seeking an investment of $2.5 billion from the private sector as we strive to achieve the ambitious target of converting 1 million vehicles to CNG by the year 2027," she said.

She disclosed that the initiative had attracted over $45 million in investments, harping on the need for more private entities to maximise the value chain in the sector.

"Additionally, the initiative has endorsed the inauguration of 10 pilot conversion centres in collaboration with key private sector entities and is on track to increase the number of CNG refueling stations by 55 by year's end," she stressed.

Earlier, the Managing Director of MBH, Bagu Mukhi, said the establishment of the CNG workshop was birthed to support the federal government's plan to convert vehicles to CNG.

"The setting of this facility in Lagos is very strategic as it is positioned to make these important cost- effective alternative fuels readily available for both domestic and industrial users in the nearby communities.

"This is the first centre and MBH promises to add four centres before the year ends to complement this initiative with filling stations for the gas-converted vehicles too," he said.

He stressed that CNG vehicles are affordable and would help to reduce fossil fuel emissions.

"Nigeria, as we all know, holds more gas reserves than oil. Gas is not only cleaner for the environment but also cost effective.

"At the global ranking, MBH, we are keen on harnessing the monetisation of Natural Gas for providing cost-effective electricity, cleaner fuel for transportation, and all other ancillary solutions," he said.