Lagos State Governor Babajide Sanwo-Olu on Friday urged federal regulatory agencies and institutions in the energy sector to collaborate with state governments to enhance Nigeria’s transition to cleaner energy.

Mr Sanwo-Olu made the appeal while inaugurating Nigeria’s first integrated energy hub developed by Ibile Oil and Gas Corporation (IOGC) in Oshodi, Lagos.

He described the facility as a great achievement in Nigeria’s drive toward sustainable mobility and energy security. 

The governor said the project demonstrated practical implementation of the federal government’s energy transition agenda.

He called for replication of the project and support for similar initiatives across the country. 

He urged the leadership of the Nigerian National Petroleum Company Limited, the Nigerian Midstream and Downstream Petroleum Regulatory Authority (NMDPRA) and other relevant agencies to work closely with states willing to invest in cleaner energy infrastructure. 

“Energy transition is real. The message to all the federal agencies is simple: come and see what we have done here and support those who are ready to invest. 

“Let us remove unnecessary delays and make the transition easier for Nigerians,” he said. 

Mr Sanwo-Olu said that Lagos would continue to partner with the federal government and the private sector to promote affordable mobility, cleaner energy and economic growth.

He described the facility as a repository of innovation, noting that it brought together multiple energy solutions, including premium motor spirit (PMS), automotive gas oil (AGO), liquefied petroleum gas (LPG), compressed natural gas (CNG), electric vehicle charging infrastructure, and solar power.

 According to him, affordable transport remains critical to economic development.

Mr Sanwo-Olu said reducing energy costs would improve business competitiveness and improve quality of life. 

“When transportation becomes more efficient and affordable, businesses become more competitive, commercial activities expand, and residents enjoy a better quality of life.

“That is the vision this project represents,” he said.

The governor commended President Bola Tinubu for providing good leadership through the Presidential Compressed Natural Gas Initiative.

He said Tinubu’s administration had created a conducive environment for the introduction of cleaner and more sustainable energy solutions.

He also praised the management of IOGC for demonstrating innovation and delivering a project capable of attracting investment, creating jobs and supporting economic growth. 

Earlier, the Managing Director of IOGC, Temitayo Gbajumo, described the facility as the first integrated energy hub in Nigeria, which brought multiple alternative and conventional energy solutions in one location. 

Mr Gbajumo said the project aligned with the federal government’s Compressed Natural Gas Initiative and formed part of the corporation’s strategy to expand alternative energy infrastructure across Lagos.

 “This is the first integrated energy hub of its kind in Lagos and the entire Nigeria. It brings together CNG, LPG, PMS and AGO in one location,” he said.

According to him, the facility was designed to serve hundreds of vehicles daily, with the PMS and AGO section expected to receive between 200 and 300 vehicles each day.

He said that the CNG segment had a dispensing capacity of about 7,000 standard cubic metres (SCM) daily.

The managing director said the corporation planned to establish 19 CNG stations across Lagos, with four already operational in Agege, Ikota, Ogudu and Ojota, while 12 others were at various stages of development. 

He said that four additional stations would become operational by October, while six more were under construction. 

According to him, the government intends to complete the 19 stations before the end of 2026. 

Mr Gbajumo said future expansion would cover Epe, Ikorodu and Badagry. 

He added that the energy hub housed a cooking gas plant and a vehicle conversion centre where motorists could convert their vehicles to run on CNG at subsidised rates. 

“We currently charge N700,000 for the conversion kit and installation. 

“The objective is to make the transition to cleaner and more affordable energy easier for Lagos residents,” he said. 

Mr Gbajumo said public acceptance of CNG had continued to grow.

He said the corporation’s existing stations operated close to capacity, serving between 200 and 300 tricycles, cars and trucks daily while recording average utilisation of about 5,000 SCM of gas each day. 

(NAN)