Drivers making the switch are increasingly finding themselves caught in a financial squeeze as surging conversion expenses, equipment price hikes, and stubborn supply shortages compound at the pump.
What once looked like a straightforward economic escape hatch is now demanding a higher upfront and ongoing toll, leaving many drivers questioning if the long-term savings are slipping out of reach.
‘CNG is becoming an important alternative to conventional petrol. However, lower fuel cost alone does not automatically make CNG the better option, and the decision should be based on total costs of ownership and operational suitability,’ Sola Abolade, an after-sales automotive expert, said.
High upfront conversion costs…
CNG is sold at N380 per Standard Cubic Metre (SCM) for cars and buses and N450 for heavy trucks, while petrol sells for about N1,355 a litre at NNPC stations in Lagos.
However, converting a petrol-powered vehicle to CNG costs between N650,000 and N2.5 million, depending on the vehicle type, conversion kit and installation centre.
The upfront expense remains a barrier for motorists who must determine whether future fuel savings will justify the investment, particularly amid pressure on household incomes and transport operating costs.
Matthew Ogbonna, a commercial driver operating a mini-shuttle bus, popularly known as a ‘Korope’, said the owner of the bus he works with, recently converted a bus to CNG for N700,000 in Ibadan but that he could not afford to make a similar switch.
‘My boss recently converted his bus to run on CNG for N700,000 in Ibadan. He told me to contact him if I am ready to convert mine, but the cost of conversion is too high for me,’ Ogbonna said.
Fuel savings offset by repair bills…
For motorists who have made the switch, the potential savings can be substantial, but poor installation practices and mechanical problems may increase the overall cost of ownership.
Adesare Adegbagi, a former Uber driver who converted his six-plug Honda Odyssey to run on CNG, said the total cost of the conversion rose to N1.68 million under an instalment payment arrangement with a microfinance service, above the initial N1.2 million quoted.
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Adegbagi said the decision initially appeared financially worthwhile because of the prospect of spending less on fuel. However, problems associated with the installation forced him to spend additional money on spark plugs, ignition coils and engine repairs.
‘I spent about N20,000 on petrol for some journeys before switching to CNG, compared with between N3,000 and N5,000 on CNG for similar trips, representing significant savings on fuel,’ he said.
He estimated that he could have recovered his conversion costs within three to four months if the installation had been properly executed. Instead, recurring mechanical problems have prevented him from fully realising the expected savings.
Adegbagi attributed his experience to what he described as poor conversion practices at some centres, warning that substandard kits and improper installations could result in persistent mechanical faults and expensive engine damage.
‘If my vehicle had been properly converted, I believe I could have recovered the cost within three to four months,’ he said.
He urged the government to strengthen oversight of conversion centres, enforce technical standards and verify the quality of kits used in retrofitting vehicles.
Despite his experience, Adegbagi maintained that CNG could still deliver meaningful savings if conversions were carried out correctly by qualified technicians.
Refuelling shortages undermine adoption…
Beyond the cost of conversion, inadequate refuelling infrastructure is creating another obstacle for motorists seeking to benefit from cheaper fuel.
Anne Obode, team lead at Evrytn CNG, said the expansion of conversion programmes must be matched by investment in refuelling facilities to accommodate rising demand.
‘We need more investment, infrastructure, and more CNG stations across Nigeria to meet the demand that is already here, and the demand that is coming,’ Obode said. Nigerian Banking Launch
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The consequences of inadequate supply were evident in Minna, Niger State, where motorists who had converted their vehicles to CNG protested over the unavailability of the fuel after more than three months.
The motorists said the shortage had undermined the purpose of switching from petrol, forcing them to return to the more expensive fuel to keep their vehicles running.
They complained that visits to the NNPC Mega Station along the Western Bypass axis ended in frustration after a component of the CNG dispensing machine developed a fault and remained unattended.
With no alternative CNG supply point available to them in the state capital, the affected motorists were left to rely on petrol, adding to their operating expenses.
The experience highlights the financial risks motorists face when they invest in conversion without reliable access to refuelling facilities.
A ride-hailing driver who considered converting his petrol-powered vehicle to CNG said the high upfront cost and inadequate refuelling options along his regular routes discouraged him from proceeding.
Having observed colleagues who had made the switch, he said long queues at CNG stations could leave drivers waiting for hours, reducing the time available to pick up passengers and earn money.
He also said his current four-plug vehicle consumed relatively little fuel, making the potential savings less compelling when weighed against the conversion expense.
Supply constraints complicate expansion …
A CNG expert who pleaded on anonymity, said some stations operate compressors in cycles rather than continuously at full load to minimise equipment wear, manage electricity consumption and reduce operating costs, particularly at facilities that depend on generators.
‘For operators, this is a practical and often necessary approach, particularly in locations where demand is still developing,’ he said, noting that investing in infrastructure to accommodate peak demand from the outset may not always be commercially viable.