The Minister of Steel Development, Prince Shuaibu Abubakar Audu, engaged in discourse with Engr. Michael Oluwagbemi, Programme Director/Chief Executive Officer of the Presidential Compressed Natural Gas Initiative (P-CNGI) in Abuja on Wednesday to deliberate on the operational modalities of establishing a CNG Park within the prospective Ajaokuta Industrial Park.
Prince Audu reiterated that a primary objective of President Bola Ahmed Tinubu GCFR, as part of the ‘Renewed Hope Agenda’, is the CNG Initiative. This initiative holds significant importance following the removal of petroleum subsidies and is projected to decrease transportation costs by a minimum of 40 percent.
The Honourable Minister highlighted that the Ministry of Steel Development is collaborating with the P-CNGI to institute a CNG park within the envisioned Industrial Park in Ajaokuta, which is currently in progress, to advance the CNG initiatives of President Tinubu.
Square ads:“President Tinubu has mandated the presence of at least one million CNG vehicles on the roads by 2027. As such, there is a substantial amount of groundwork that needs to be completed, and all the necessary resources to partner with the Federal Government under the CNG initiative are readily available in Ajaokuta.
“In addition to the industrial park in Ajaokuta, which will house various types of companies, the CNG park will be one of the integral components of the forthcoming Ajaokuta Industrial Park.
“All the essential elements to execute the CNG initiative and conversions are accessible in Ajaokuta. Therefore, integrating the CNG initiative is highly feasible; the gas reserves are present, an engineering workshop is established, and a tools workshop is in place to facilitate the construction or assembly of the kits.
“President Tinubu is genuinely enthusiastic about this initiative and the collaboration between the Ministry and the P-CNGI, as it aligns with the plans for industrialization Nigeria, diversifying and expanding the economy, and generating employment opportunities under the renewed initiatives,” Prince Audu expressed.
The Honourable Minister of Steel Development commended Engr. Olugbemi for his outstanding efforts in realizing President Tinubu’s CNG initiative.
The Permanent Secretary of the Ministry, Dr. Chris Osa Isokpunwu, praised the initiative and acknowledged the partnership between the Ministry and P-CNGI, assuring the Ministry’s full support and cooperation.
Mr. Olugbemi emphasized that the Steel Industry is crucial for the successful implementation of the CNG initiative, emphasizing that steel components are fundamental to the project.
Olugbemi elaborated that establishing the CNG park in Ajaokuta will signify a transition from importing certain components to manufacturing them locally.
In this shift, he elaborated, will address some of the challenges associated with importing CNG components into the country.
“The collaboration with the Ministry of Steel Development has been pivotal from the outset, and Ajaokuta serves as a central location with access to raw materials.
We have already commenced our operations and are optimistic about fostering excellent partnerships with the Ministry,” Olugbemi remarked.
Engr. Sumaila Abdul-Akaba, the Sole Administrator of Ajaokuta Steel Company Limited, welcomed the project as a significant development for Ajaokuta, particularly in the company’s revival phase.
He assured the P-CNGI of the steel company’s support in realizing the project.
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