From Desmond Mgboh, Kano
Kano State Investment Promotion Agency, KANINVEST, has signed a Memorandum of Understanding, MoU, with STATA Power Utility Nigeria Limited on implementation of customized gas programme in the state.
Speaking at the signing of the MoU at KANINVEST headquarters in Kano at the weekend, 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 creating job opportunities.
According to him, the programme, if implemented, would entail the supply of compressed natural gas, CNG and conversion of vehicles from using petroleum to gas.
Halliru explained that the effort is to address the challenges of petroleum prices and transportation in the commercial 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 explained that the implementation of the partnership would be in about six months time after the company sets up the gas stations in the state.
On his part, the Chief Executive Officer of the company, Salman Dantata, expressed delight for the MoU, which he said would help in bringing down the cost of transportation and boost industrialization 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 for automobiles, this programme seeks to reduce the transportation costs, improve air quality, reduce carbon emissions, and enhance energy efficiency across Kano State,” he said.
Dantata explained that the investment could be up to $15 million by STATA over the next two years for deployment of the LCNG stations across the state.
He said in the next one year, the company would commence provision of 5000 solar-powered tricycles and 10 motor vehicles for commercial purposes in the state.