“Kano State Signs $15 Million MoU for Cleaner Energy and Job Creation”
Kano State has taken a significant step towards environmental sustainability and economic growth by signing a Memorandum of Understanding (MoU) with STATA Power Utility Nigeria Limited. The $15 million deal aims to introduce a customized gas program in the state, focusing on the supply of Compressed Natural Gas (CNG) and the conversion of vehicles to use this cleaner energy source.
The MoU signing took place on Friday at the Kano State Investment Promotion Agency (KANINVEST) headquarters. The Director General of KANINVEST, Muhammad Nazir Halliru, described the partnership as a crucial milestone for the state, aiming to reduce greenhouse gas emissions, promote a healthier environment, and create job opportunities for the local population.
“This initiative is a reflection of the vision of this administration to create a more conducive environment, reduce greenhouse gas emissions, maintain cleaner surroundings, and generate employment,” Halliru explained.
Once implemented, the program will focus on the supply of CNG, catering not only to vehicles but also industries and major companies willing to switch to the eco-friendly fuel to enhance their production and services.
The project, expected to begin within the next six months, will see the establishment of CNG stations across the state. Halliru also mentioned that the company will be granted additional incentives, including tax waivers, as part of the government’s efforts to encourage pioneering investments in the region.
STATA Power’s CEO, Salman Dantata, expressed his excitement about the groundbreaking partnership, highlighting the benefits it would bring to transportation and industrial costs in the state. He emphasized that the initiative aligns with global shifts toward cleaner energy, economic development, and environmental sustainability.
“By transitioning from traditional fuels to compressed natural gas (CNG) for vehicles, this program aims to reduce transportation costs, improve air quality, and lower carbon emissions, making Kano a leader in energy efficiency,” Dantata said.
STATA’s investment could reach $15 million over the next two years. The company plans to deploy LCNG (liquefied compressed natural gas) stations across Kano, with the first main station being located in Tamburawa, Kura Local Government Area, capable of handling 110 metric tons per day. Additional stations, each with a 2-metric-ton capacity, will be set up in strategic locations such as Dalladi Nasidi, Maiduguri Road, IBB Road, Shagari Quarters, Cotton Gingery, Sharada, and Bechi quarters.
In the first year of the project, STATA plans to provide 5,000 solar-powered tricycles and 10 motor vehicles for commercial use in Kano. Over the next five years, the company intends to expand to 20 stations and create more than 300 direct jobs, alongside 5,000 indirect jobs, contributing significantly to the local economy and providing opportunities for youth in the state.
This partnership represents a major step forward in making Kano a hub for green energy solutions and industrial development while improving the living conditions of its residents.
