Road to Decarbonization: The Role of Liquefied Natural Gas (LNG) as a Transitioning Energy Source for Transportation in Nigeria

Abstract

Abstract The removal of fuel subsidies in the petroleum sector in Nigeria has led to a drastic increase in petroleum products prices by 200 percent. It has caused a rapid increase in transportation costs and ultimately contributed to a high cost of living and unbearable inflation. Nigeria, having one of the largest reserves of natural gas in Africa. It can leverage liquefied natural gas (LNG) and, by extension, liquefied compressed natural gas (L-CNG). These fuels hold immense potential as a cleaner, cost-effective, and environmentally friendly energy alternatives. The transport sector can benefit from this fuel source. It can provide significant relief to the local economy that is heavily reliant on traditional fossil fuels like petrol and diesel. A massive adoption of LNG/L-CNG as a mobility fuel will significantly reduce the emission of greenhouse gases from vehicles in Nigeria. It will also encourage positive climate action and limit its contribution to global warming. The adoption of LNG/L-CNG as a transitioning fuel is beneficial to a wide range of industries in Nigeria. However, it is projected to present several challenges. These challenges include distribution and availability of fuel, switching technology and cost, technical support, sustainability, and acceptance rate. This paper describes the role liquefied natural gas (LNG) and, by extension, liquefied compressed gas (L-CNG) as a transitioning fuel for automobiles in Nigeria compared to fossil fuels. The research shows that CNG emits almost 40% less CO2 than oil and about 80% less than coal during combustion. This paper considers suitable conversion kits i.e. the aftermarket CNG fuel kit to facilitate switching. An economic feasibility analysis was used to compare the running costs of CNG and petrol for privately owned vehicles that cover an average distance of 100km daily for 30 days a month. The findings revealed a monthly savings of N214,350. The payback period for using CNG as an alternative fuel was approximately 3 months, given a conversion cost of N600,000. The recommendations include adequate infrastructural development, government incentives, good policy structure etc. was presented to help Nigeria utilize her LNG potential. In conclusion the use of liquefied natural gas (LNG) and liquefied compressed natural gas (L-CNG) as an automotive fuel plays a vital role. It can help revolutionize Nigeria's transportation industry by offering environmental benefits, economic opportunities, enhanced energy security, technological advancements, and policy support.