FG Targets ₦3tr Savings via Cassava Bioethanol Blending
By Patience Ikpeme
The Federal Government has announced a strategic initiative to save over ₦3 trillion annually in foreign exchange by blending bioethanol with Premium Motor Spirit (PMS).
This move, aimed at curbing the nation’s heavy reliance on imported fuel, centers on the massive empowerment of 14 million smallholder farmers within the cassava value chain.
The plan was unveiled during a capacity-building workshop for stakeholders on the Cassava Bioethanol Value Chain Development Project for the South East zone, held in Enugu. The project represents a cornerstone of the national bio-economy policy, seeking to transform cassava from a basic food staple into a high-value industrial asset.
Senator Abubakar Atiku Bagudu, the Minister of Budget and Economic Planning, noted that the government’s commitment extends beyond simple ethanol production. Speaking through the Director of Economic Growth, Mr. Auwal Mohammed, the Minister explained that the Ministry is focused on a circular economy model.
“We are looking at the entire value chain, from high-quality stems and starch to the CO_{2} captured during fermentation and the annual feeds produced from distillery grains,” Bagudu stated.
The implementation of this project follows a “Triple-Helix” knowledge transfer partnership. This framework focuses on providing disease-resistant, high-yield cassava varieties while simultaneously driving investment, technology, and market access. Furthermore, the government intends to provide the necessary infrastructure and a stable regulatory environment to support these industrial shifts.
Mr. Olaifa Alade, the Director of Agriculture in the Economic Growth Department, described the workshop as a foundational step toward merging industrialization with rural empowerment. He told participants that the Ministry is dedicated to providing policy support and a rigorous monitoring framework to ensure the pilot phase transitions into a national success story.
“The insights gained from this training will catalyze a transformation in our agricultural and energy sectors, leading to sustainable growth for the country,” Alade said.
The workshop, organized in collaboration with Meatia Global Services Ltd. and the Association of Deans of Faculty of Agriculture of Nigerian Universities (ADAN), covered several technical modules. These included value chain mapping, project management, and public-private partnerships. Attendees were drawn from State Ministries of Agriculture, the Manufacturers Association of Nigeria (MAN), and various research institutes across the South East.
By integrating 14 million farmers into this energy transition, the Federal Government aims to create a sustainable domestic industry that protects the Nigerian economy from the volatility of global oil markets.
