- Shettima urged automakers to ramp up CNG and electric vehicle production using government support and Nigeria’s gas resources.
- He warned that the limited number of CNG stations hinders adoption and called for building skills, developing batteries, and establishing supply chains.
Vice-President Kashim Shettima on Tuesday, November 18, urged domestic automakers to increase production of compressed natural gas (CNG) and electric vehicles to meet rising demand for cleaner transport, even as limited refuelling infrastructure slows adoption.
Shettima, represented by the Minister of Innovation, Science and Technology, Kingsley Udeh, made the call while opening the 25th Abuja International Motor Fair.
He said the government is steering the sector through a strategy built on “Gas, Green and Growth,” and added that Nigeria’s large gas reserves offer a path to cheaper mass transit. The plan forms part of the administration’s broader economic reform and energy transition agenda.
Shettima said the automotive sector remains central to President Bola Tinubu’s industrialisation drive. He urged manufacturers to prepare for the rising demand for CNG kits, including those for gas-powered and electric vehicles.
He said the National Automotive Design and Development Council’s work on EV infrastructure shows that “Nigeria is ready for the electric revolution.” However, he added that the country must still develop skills, battery assembly capacity, and a reliable supply chain.
The vice-president said the government has made 20 billion naira ($12.6 million) available through Credit Corp to help Nigerians buy locally assembled vehicles. He mentioned that wider access to financing would stimulate demand, expand production and create jobs.
Despite government backing, Nigeria has fewer than 50 operational CNG (Compressed Natural Gas) compression stations. Many states still rely on pilot facilities built under the defunct Gas Expansion Programme, and private investors face high equipment costs, slow approvals and financing constraints.
Last month, Farouk Ahmed, the chief executive of the Nigerian Midstream and Downstream Petroleum Regulatory Authority, warned that infrastructure gaps threaten the country’s gas transition plans. He said Nigeria has fewer than 50 CNG stations compared to fewer than 3,000 LPG refilling plants.
Industry experts say Nigeria needs several hundred CNG stations to support a shift to gas-powered public transport.
The Minister of State for Industry, John Enoh, said the government will continue to support the automotive sector with stable policies and incentives. The automotive council’s director-general, Joseph Osanipin, said Nigeria has about 30 active vehicle assemblers with nearly $1 billion in combined investment.
BKG Exhibition Managing Director Ifeanyichukwu Agwu, a co-organiser of the fair, called for a national vehicle-financing scheme to make car ownership more affordable.
The motor fair, now in its 25th year, showcases new-energy vehicles, local assembly capacity and automotive innovation.