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Are gas-powered Vehicles Now Cost Effective As Fuel Subsidy Ends?

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Nigerians have been lamenting about the negative impacts the fuel subsidy removal has on them. This is typical because there’s a hike in the market price. An anonymous expert said switching to gas-powered vehicles might be a solution to the fuel subsidy removal. 

Gas-powered vehicles have high mileage, cleaner energy and do not depend solely on fuel. This makes it the best option for Nigerians right now. It was previously shunned because of the stress that comes with conversion and the safety of using it. Thankfully, this can be managed with adequate knowledge of gas engines.

The Labor union had formerly demanded the implementation of the autogas policies from the previous administration, but the implementation fell short. Now, they are asking President Bola Ahmed Tinubu to revisit the Compressed Natural Gas project. This will reduce the dependence on fuel and encourage the discovery of other options. 

The previous administration promised to pay for the conversion of a number of gasoline-powered vehicles to natural gas during the beginning phase. This was promised to be done by the end of 2021.  

This did not occur because labour unions were resistant to any reasoning: the government kept funding subsidies, and there was no money available to build infrastructure. The plan was hampered by high natural gas prices and the challenging economy that followed COVID.

According to some analysts, the government should offer financing options for nearby auto assembly plants and make it easier for businesses that want to depressurize a gas transmission line to construct a station with CNG trucks and skids to obtain gas.

An announcement from Banner Energy claims that autogas conversion could reduce fuel costs for automobile owners by up to 50%.

According to a survey, depending on the type and condition of the vehicle, the kit required to convert a car from a gasoline or diesel engine to a CNG or LPG engine worths between N200,000 and N300,000. This might be expensive but it’s less expensive than the fuel. 

To give a gas-powered vehicle a chance in our economy, there will have to be great innovation, resources and the ability to create one. This will lessen the level of expenses. 

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