Main Vitality Entrepreneurs Affiliation of Nigeria (MEMAN) has expressed concern that a large alternative pressure exists within the Compressed Pure Gasoline (CNG) vitality market and looked for direct funding in conversion infrastructure to assist the mission.
The entrepreneurs additionally known as for open market competitors within the downstream sector.
Talking at MEMAN’s quarterly on-line press webinar, with the theme ‘Honest and Wholesome Competitors within the Nigerian Market,’ which drew media professionals, trade consultants, and stakeholders to debate Nigeria’s altering vitality panorama, the affiliation’s chief govt officer(CEO), Clement Isong mentioned, a number of MEMAN members are transitioning from diesel to CNG vehicles according to the federal government’s cleaner vitality drive.
Nevertheless, he warned that the coverage stays in early phases and infrastructure gaps have to be addressed. CNG remains to be a creating coverage. Infrastructure is missing, so coordinated planning is significant, he mentioned. His members are additionally implementing photo voltaic stations and pooled logistics to spice up effectivity and cut back operational prices.
Describing Dangote’s plan to roll out 4,000 CNG vehicles as good, he raised issues about equity and competitors oversight.
‘That’s a serious transfer for logistics and sustainability. But it surely may additionally set off fears of dominance within the gasoline provide chain,’ he mentioned. He identified that Dangote has expertise utilizing CNG in its cement operations, having transformed round 2,000 vehicles already.
Isong mentioned this expertise provides the corporate an edge, however warned that clear guidelines are wanted to guard market equity. He known as on the Federal Competitors and Shopper Safety Fee (FCCPC) and the NMDPRA to handle innovation alongside market stability.
This have to be an ongoing dialog between regulators and market actors, he mentioned. He emphasised that MEMAN helps deregulation and innovation, however cautioned that market construction should not be ignored. We assist CNG vehicles and comparable improvements. However we should absolutely assess the implications earlier than taking positions, he mentioned.
He mentioned, MEMAN is fastidiously watching market developments and can reply as soon as all details can be found. “We’d like a full image earlier than making any conclusions,” he mentioned. He famous that innovation should align with nationwide priorities and profit the typical Nigerian. Speeding to conclusions could be unwise. This ought to be about nationwide curiosity and shopper welfare,” Isong mentioned.
He acknowledged dangers in a deregulated market, akin to monopolies, however confused the long-term worth of competitors. Competitors fosters effectivity and sustainability, however oversight is significant to stop market seize, he mentioned.
He added that vitality is significant to growth and have to be priced and distributed with the general public in thoughts. If gasoline costs soar, Nigerians undergo and progress stalls. We’d like ongoing discussions on distribution and pricing, he mentioned.
On collaboration, he famous that the sector typically shares assets to handle prices and enhance effectivity. “Many MEMAN members purchase from Dangote and work collectively on logistics. Globally, the oil sector cooperates throughout the chain. Retail competitors exists, however provide chain cooperation ensures decrease prices and reliability,” he mentioned.
Nigeria’s vitality transition continues, and Dangote’s 4,000 CNG vehicles may considerably reshape gasoline logistics. The impression depends upon how this transfer is regulated, expanded, and built-in into the broader nationwide technique.
Earlier, Dangote Industries mentioned it could begin nationwide gasoline distribution from August 15, utilizing the brand new CNG vehicles. This was confirmed by Dangote’s Inner Communications Specialist, Abiodun Alade.
MEMAN mentioned it’s monitoring market responses and can interact constructively as soon as Dangote’s plans turn into clearer.
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