KANO SIGNS $15M DEAL ON CUSTOMISED CNG PROGRAMME. (PHOTO).

 Kano signs $15m deal on customised CNG programme

Kano State Investment Promotion Agency (KANINVEST) has signed a Memorandum of Understanding (MoU) with STATA Power Utility Nigeria Limited on implementation of customised gas programme in the State.

Speaking at the signing of the MoU at KANINVEST headquarters in Kano, the Director General of the agency, Muhammad Nazir Halliru said the deal, worth $15 million, is a significant milestone towards creating a more conducive environment by reducing greenhouse gas emissions, keeping a healthier and clean environment and as well creating job opportunities.

He said the programme, when implemented, will entail the supply of Compressed Natural Gas (CNG) and conversion of vehicles from using petroleum gas.

Halliru explained that the effort is to address the challenges of petroleum prices and transportation in the state.

“The supply of the gas will go beyond only the vehicles but also supplying to industries and major companies that are using CNG or can opt to use it in order to improve their production and their services,” he said.

The DG disposed that the implementation of the partnership would be in about six months time after the company sets up the gas stations in the state.

He said the approval of Governor Abba Yusuf for the huge investment with the hope that the implementation will be in the next months or six months.

“They are also going to have  additional incentives in terms of tax waivers as a pioneer investment,” he added.

Chief Executive Officer of the company, Salman Dantata, said the MoU when realised would help in bringing down the cost of transportation and while boosting industrialisation in Kano.

“This initiative is in line with global trends toward cleaner energy, economic development, and environmental sustainability.

“By transitioning from traditional fuel sources to compressed natural gas, CNG, for automobiles, this program seeks to reduce the transportation costs, improve air quality, reduce carbon emissions, and enhance energy efficiency across Kano State,” he said.

Dantata said the firm will invest in conversion kits and set up the conversion centres within the stations.

He said in one year, the company would be providing 5000 solar-powered tricycles and 10 motor vehicles for commercial purposes in the state.

The mother station is to be sited at Tamburawa in Kura Local Government area of the state with a capacity of 110 metric tons a day.

The sister gas stations, with 2 metric tons capacity each, according to Dantata, would be situated at, Dalladi Nasidi, Maiduguri Road, IBB Road, Shagari Quaters, Cotton Gingery, Sharada and Bechi quarters.

He disclosed that in five-year time, the firm will expand to 20 stations creating over 300 direct and 5,000 indirect jobs.

Director General KANINVEST, Muhammad Halliru (right) with STATA Power Utility Nigeria Limited CEO, Salman Dantata, after the MoU in Kano …on Friday.