The Presidential Initiative on Compressed Natural Gas and Electric Vehicles has entered into a memorandum of understanding with the Nigerian Consumer Credit Corporation, the National Credit Guarantee Company Limited, and Moniepoint Microfinance Bank to boost financing for the conversion of vehicles to compressed natural gas.

The agreement, signed in Abuja on Wednesday, will provide structured consumer credit and credit guarantee facilities to support motorists seeking to convert their petrol- and diesel-powered vehicles to CNG.

Under the partnership, commercial transport operators, fleet owners and individual motorists will have access to financing solutions supported by credit guarantees to ease the transition to the alternative fuel.

Speaking at the signing ceremony, Executive Chairman of Pi-CNG/EV, Ismail Ahmed, described financing as a key driver for the large-scale adoption of CNG technology.

He noted that the initiative is anchored on three pillars, availability, acceptability and affordability, aimed at accelerating nationwide uptake.

“With this partnership, ordinary Nigerians now have structured options to finance their CNG conversions through trusted credit channels backed by guarantee support,” Ahmed said.

He explained that availability centres on expanding infrastructure and strengthening supply networks, while acceptability is aimed at boosting public confidence in the safety and reliability of CNG.

Ahmed added that affordability remains the core goal of the partnership with the financial institutions.

He stated that the availability pillar seeks to expand infrastructure and enhance supply chains, while acceptability is designed to foster public trust in the safety and dependability of CNG.

Ahmed further noted that affordability is the key objective driving the collaboration with the financial institutions.