5 Autogas Learnings from our GM, Operations Feature on Ventures Africa

Last week, Ventures Africa, a platform dedicated to exploring African businesses and economies, interviewed the General Manager of Asiko Energy Holdings Limited, Mr Busayo Fabunmi on Subsidy removal and the transition to autogas and gas generators in Nigeria.

Here are 5 highlights from the interview, published here.

  1. Before now, the popularity and adoption of gas-powered innovations such as gas-powered generators was low. Mr Fabunmi mentioned that the country’s slow adoption of autogas could be attributed to the previous fuel subsidy regime, which made it difficult for such solutions to thrive.
  2. According to a study conducted by Asiko Energy Holdings Limited, the long-term cost savings gained from converting and running generators on gas was a healthy 40% for the average Nigerian.
  3. The process of converting generators to run on both petrol and gas, according to Mr Fabunmi involves introducing a hybrid carburetor that allows the generator to function on dual fuel. As at today, existing conversion kits in the Nigerian market are predominantly designed for four-stroke engines and may not be suitable for two-stroke engines. Although this may change in the future as demand grows.
  4. The conversion of a 5-6 kVA fuel-powered generator with a complete setup, including a cylinder and necessary accessories, typically costs around N90,000-N95,000. However, conversion without purchasing a new cylinder would cost about N50,000-N55,000.
  5. He also discussed safety considerations when using gas-powered generators, highlighting the importance of selecting appropriate conversion kits, using regulators that adhere to specific standards, and relying on trained technicians for installation and operation. Regular system inspections, including leak tests, are also recommended to ensure safe operation.