CNG Hits ₦380/SCM in Lagos, Abuja as Uniform Pricing Takes Effect Nationwide

The Federal Government has officially implemented a uniform retail price of ₦380 per Standard Cubic Metre (SCM) for Compressed Natural Gas (CNG) in Lagos and Abuja, effective from September 1, 2025. This harmonization brings both major cities in line with the pricing already adopted nationwide.

Context & Background

Previously, CNG prices in Lagos and Abuja varied significantly—ranging from a low of ₦230/SCM to highs above ₦500/SCM—due to factors such as distance from pipelines, truck distribution costs, and regasification expenses. The standardization aims to level the playing field and simplify cost structures for motorists and operators alike.

What This Means for Stakeholders

• Motorist Impact: While the new price is higher than the lowest rates previously seen in Lagos and Abuja, CNG remains a cost-effective alternative compared to petrol and diesel.

• Sector Viability: Uniform pricing creates clarity and may help attract more private-sector investment into expanding CNG infrastructure and availability.

• Policy Alignment: The move supports the goals of the Presidential Compressed Natural Gas Initiative (PCNGi)—introduced after fuel subsidy removal—to provide Nigerians with cleaner, more affordable fuel options.

Why It Matters

Uniform CNG pricing is a major step toward market stability, operational predictability, and scaling access to cleaner fuel across Nigeria—especially in urban centers grappling with high transport costs and inconsistent supply.