The Managing Director of the Nigerian Railway Corporation (NRC), Dr. Kayode Opeifa, has said that Compressed Natural Gas (CNG) is crucial for the railway industry in Nigeria, offering several benefits, including a reduction in maintenance costs by up to 60–70 percent.
He disclosed this over the weekend during the signing of a Memorandum of Understanding (MoU) between the NRC and the Presidential Compressed Natural Gas (Pi-CNG) Initiative. The NRC MD explained that the collaboration would focus on a diesel retrofit programme, distribution of strategic Pi-CNG materials and equipment, intermodal shuttle service, retrofit training for various types of diesel engines, and the handover of buses and coaches—making the collaboration a cost-effective option.
He added that the environmental benefits of CNG are not limited to being a cleaner fuel with fewer greenhouse gas emissions and pollutants, but also include promoting and contributing to a more sustainable environment and improved air quality.
Opeifa stated that CNG would ensure energy security and stimulate economic growth by creating jobs and attracting investments in infrastructure and technology.
According to the NRC MD, *“Today, we take another critical step towards a sustainable future for our railway industry. This partnership between NRC and Pi-CNG marks a significant step towards a cleaner, more efficient rail transportation system in Nigeria.
“The rail sub-sector (the safest, most cost-effective means of transporting goods and passengers and with the least carbon footprint) has long relied on traditional fuels, but it is time for us to explore alternative options that benefit both our operations and the environment.
“Today, we strive to further reduce our carbon footprint by converting our locomotives and other diesel-powered equipment to CNG.”*
Opeifa also noted that the NRC training centre at Tejuosho would be turned into a CNG conversion centre, adding that CNG conversion would be incorporated into the centre’s curriculum.
On his part, the Programme Director of Pi-CNG, Mr. Michael Oluwagbemi, said the cooperation with NRC would allow them to leverage NRC’s expertise in diesel engineering technology that powers their Diesel Multiple Unit (DMU) systems.
Oluwagbemi added that the NRC had the most advanced experience that could help transform the haulage sector as Pi-CNG moves more trucks to CNG across the nation.
*“This will not only reduce the cost of transporting goods and services across our country, including food and energy, but also enhance security and mass transportation. We will also rely on the NRC as we expand our platforms nationwide.
“We are expecting an influx of buses, tricycles, and kits from the Ministry of Finance any moment now as we move into Phase Two, where we will scale our impact to 250,000 vehicles from the current 50,000,”* he said.
He added that this historic event marks a new chapter in Nigeria’s journey toward a cleaner, more efficient, and sustainable transportation future.
*“This aligns with the vision of President Bola Tinubu that Nigeria should drive its economy and industrialisation with the cheaper fuel represented by gas, which is abundant across our country.
“A Renewed Hope for our citizenry is possible, and Pi-CNG is delivering on the President’s promise,”* he said.
He also commended the leadership of NRC, led by Opeifa, for their shared vision and willingness to pioneer this transition alongside Pi-CNGI.
“We are confident that this model will inspire other stakeholders across the public and private sectors. Collaboration is key to our success, and what we are doing represents the best of such synergy,” he added.
Also, the Managing Director of the Lagos Metropolitan Area Transport Authority (LAMATA), Dr. Abimbola Akinajo, noted that LAMATA supports the CNG Initiative of President Bola Tinubu.
*“We are excited by the pronouncement of Mr. President because we know that something good is coming for the transport industry.
“Transportation drives the economy; the sooner we get it right, the better for Nigeria,”* she said.