Nigeria’s concerted efforts towards adoption of Compressed Natural Gas (CNG) as an alternative to petrol has suffered yet another setback as Malaysia announced plans to phase out CNG-powered vehicles in the country. This was revealed in a press conference obtained through Free Malaysia Today.
The new direction was made known by the country’s Transport minister, Mr. Loke Siew Fook. According to him, the decision was made out of the need for public safety, while revealing that CNG-powered vehicles account for just 0.2% of registered vehicles in the country excluding motorcycles and tricycles. This national decision hinge on the precautionary need to avoid disaster as CNG tanks/cylinders in the country near their 15yrs lifespan.
The South East Asian country is not leaving motorists to bear the entire cost of the planned phased withdrawal. Taxi drivers are expected to register with the Land Transport Agency on or before October 1st of this year to be eligible for a RM 3,000 e-voucher. In addition to this, hybrid or “dual-fuel” vehicles will enjoy a free kit removal at designated and government-approved workshops.
In a swift response, Nigeria’s Presidency responded through the Special Adviser on Information and Strategy, Mr. Bayo Onanuga. Mr. Onanuga called Malaysia’s transition to CNG “an unsuccessful” one and not “enviable unlike India, China, Iran and Egypt”.
Nigeria, weeks ago, removed VAT on CNG and electric vehicles in a bid to encourage and nudge car owners to convert their vehicles. Despite this and other efforts coupled with media engagements, there seems to be quite some hurdles towards adoption of CNGs as we pointed in this article.