Stakeholder consensus on the use of compressed natural gas as automotive fuel in Nigeria

Since the late 1960s, the Government of Nigeria has sought both to exploit the country’s natural gas resources and to reduce the environmental impact and economic cost of the gas that is associated with oil production. Key initiatives have included legislation prohibiting gas flaring and venting, the introduction of fiscal incentives for gas utilisation projects, the development of international and regional gas export markets, the promotion of the re-injection of gas in petroleum exploration and production processes, the use of natural gas in power generation and as an industrial feedstock and, more recently in 1997, the proposal to adopt compressed natural gas (CNG) as an automotive fuel. In terms of environmental impact, CNG may reduce greenhouse gas emissions by 15–25% depending on the vehicle segment, eliminates the evaporative emissions that are responsible for at least 50% of hydrocarbon emissions in conventional vehicles, produces little or no particulate matter and shows a reduction of up to 80% in ozone-forming emissions compared to gasoline. Furthermore, CNG offers a 30–45% advantage in price per equivalent unit of energy compared to gasoline and has operational advantages in situations where there are no distribution pipelines, as with Nigeria. In Nigeria, the automotive use of CNG offers a significant opportunity for the country to lower emissions of greenhouse gases, reduce gas flaring and increase domestic gas utilisation. This paper is the first attempt to seek to bring together views from the diverse stakeholders to identify areas of consensus and thus a potential route forward. The paper reports the findings of a Delphi study that explored the potential for consensus among key stakeholders in the transportation and energy sectors in Nigeria on both the barriers to automotive use of CNG in the country and policy interventions that might stimulate successful adoption, drawing out specific policy recommendations that may enjoy acceptance among stakeholders. It builds on earlier stages of research which identified the critical success factors in the adoption of CNG as an automotive fuel, used to benchmark here, and work identifying both the barriers to adoption and potential policy solutions for Nigeria.

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  • English

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  • Accession Number: 01679850
  • Record Type: Publication
  • Files: TRIS
  • Created Date: Aug 1 2018 3:20PM