FG assesses Mikano’s capacity to assemble CNG-powered vehicles

Compressed Natural Gas (CNG) vehicles. Photo: icirnigeria.org

The presidential initiative on Compressed Natural Gas (P-CNG) team has assessed Mikano’s car assembly plant capacity as part of the Federal Government’s push to increase the use of CNG-powered automobiles and electric vehicles in Nigeria.


During a media tour of the Mikano Plant, the Programme Director and Chief Executive of the Presidential CNG Initiative, Michael Oluwagbemi, highlighted Mikano’s critical role in the government’s transition to CNG automobiles.

He said the presidential team observed significant capacity and the practical utilisation of gas, which aligned with the president’s vision, noting that the factory “operates on gas, showcasing that gas can power both the transportation sector and the economy.

On skepticism about CNG’s efficiency and cost-effectiveness, Oluwagbemi emphasised the initiative’s success, revealing that other manufacturers were also contributing to the project’s objectives.

He underscored the importance of leveraging Nigeria’s natural gas resources for industrialisation and reducing reliance on imports.

Reflecting on the broader implications, Oluwagbemi said that Nigeria has the largest gas reserves globally and should not be importing petroleum to fuel its development.
He said the economy should be driven on gas, using it to produce electricity, power vehicles, and support the nation’s agricultural revolution.


Oluwagbemi emphasised that since the initiative’s inception last November, significant progress has been made, including the installation of nearly 60 CNG dispensers across Nigeria, with many more in the pipeline.

According to him, the Nigerian Midstream and Downstream Petroleum Regulatory Authority (NMPDRA) now mandates the inclusion of CNG in refueling stations, signaling a nationwide shift towards gas-powered infrastructure.

As the journey towards a gas-powered Nigeria continues, Oluwagbemi expressed confidence in the nation’s path forward, emphasising the need for ongoing support and confidence from Nigerians.


“We are at the beginning of a transformative journey, and while there will be challenges, we are committed to making this vision a reality,” he concluded.

On his part, the Chairman, Mikano International, Mofid Karameh, reiterated the company’s commitment to the government’s CNG and electric vehicle plans.
Karameh noted that the removal of fuel subsidies has spurred greater use of gas, saving foreign exchange and bolstering the economy.

He said the company aims for 30 per cent of its vehicles to be CNG-powered within the next six months, noting that countries like Egypt, Pakistan, and Italy have successfully adopted CNG.

“ If we look at other countries, Egypt has turned into CNG for more than four years and they have more than 150,000 vehicles. Pakistan is in CNG. Italy has been in CNG for more than 30 years. So many countries are moving in CNG, we have an environmentally friendly vehicle and we have a cheaper product to move,” he said.

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