President Bola Ahmed Tinubu has directed state governments and transport stakeholders to intensify efforts to reduce transportation costs across Nigeria through the expansion of compressed natural gas (CNG) and electric-powered public transport.
The President said the Federal Government, in collaboration with the 36 state governments, is targeting measurable reductions in transportation costs from October 1 under the National Affordable CNG Transit Programme.
Tinubu disclosed that an implementation committee had been established under the auspices of the Nigeria Governors’ Forum, chaired by Kwara State Governor AbdulRahman AbdulRazaq, to coordinate the programme.
According to the President, the committee, in collaboration with the Presidential Initiative on CNG (PI-CNG), electric vehicle stakeholders, state governments and other partners, is identifying priority transport corridors and determining the interventions required to lower fares.
Tinubu cited existing initiatives in several states as evidence of the potential impact of cheaper energy on transportation costs.
In Borno State, he said, CNG-powered and electric public transport services are carrying passengers for between ₦50 and ₦100 on routes where commercial operators charge between ₦300 and ₦600.
He also said Kaduna State’s 100 CNG-powered buses provided free transportation on major routes and carried about 3.2 million passengers during their first year, resulting in reported savings of more than ₦3.5 billion for commuters.
In Oyo State, the deployment of CNG buses by Pacesetter Transport reportedly reduced the Lagos–Ibadan fare from about ₦8,000 to ₦3,200 during the initial phase of the programme.
Tinubu further cited fare reductions in Adamawa, Enugu, Plateau, Niger, Abia and the Federal Capital Territory.
In Enugu, he said, the Enugu–Nsukka fare had fallen from ₦2,500 to ₦1,500 following the deployment of 100 CNG buses, while Plateau-supported buses were carrying about 13,000 commuters daily at ₦200, compared with commercial fares of more than ₦500.
The President also highlighted a partnership with the National Union of Road Transport Workers (NURTW), through which passengers using CNG-converted commercial vehicles on some Abuja routes reportedly receive fare reductions of up to 40 per cent.
Tinubu said the government’s broader CNG programme had resulted in more than 120,000 vehicles being converted, while more than 400 certified conversion centres and over 90 CNG refuelling stations had been established nationwide.
He said the infrastructure was being expanded as Nigeria seeks to reduce its exposure to fluctuations in global petrol and diesel prices.
“Nigeria cannot control events in global energy markets. But as a gas-rich nation, we can reduce our exposure,” the President said.
Tinubu said the government would continue supporting the expansion of CNG infrastructure, vehicle conversion capacity and access to alternative-energy transportation.
He also rejected calls for a return to the former petrol subsidy regime, arguing that the policy had placed a heavy financial burden on the country and exposed the economy to international oil-price movements.
The President urged all state governments to accelerate preparations ahead of October 1 by working with transport unions and commercial operators, supporting vehicle conversions and fleet deployment, and facilitating the infrastructure needed to expand affordable transportation.
“Above all, ensure that savings from cheaper energy reach Nigerian citizens through lower fares,” Tinubu told the states.
He said the Federal Government would continue to create an enabling environment for state governments, transport operators, vehicle manufacturers and private investors to participate in the transition to CNG and electric-powered transportation.
“Nigeria has the gas. We are building the infrastructure. We are already seeing the savings. Now we must move faster and scale this so that more Nigerians feel those savings in the fares they pay every day,” the President said.
Tinubu Unveils Plan to Cut Transport Fares Through CNG Programme
