President Bola Tinubu has directed the 36 state governors to ensure that Nigerians begin to see reductions in transportation fares from October 1 as the Federal Government expands the use of compressed natural gas (CNG) and electric-powered public transport.
Drivetvnews gathered that Tinubu disclosed this in a statement on the National Affordable CNG Transit Programme, revealing that he met with the governors on August 27 to discuss measures aimed at reducing transportation costs.
Following the meeting, an implementation committee was established under the Nigeria Governors’ Forum, chaired by Kwara State Governor and NGF Chairman, AbdulRahman AbdulRazaq.
The committee, working with PI-CNG, electric vehicle stakeholders, state governments and other partners, is identifying key transport routes and determining the appropriate interventions ahead of the October 1 target.
Tinubu said the initiative had become more important due to disruptions in global energy supplies, which have increased pressure on petrol and diesel prices and, consequently, transportation costs.
He argued that Nigeria’s large gas reserves could help the country reduce its exposure to international energy shocks by accelerating the shift to cheaper alternative energy sources.
The President cited several states where CNG and electric-powered transport schemes are already reducing fares.
In Borno State, he said CNG and electric buses carry passengers for between ₦50 and ₦100 on routes where commercial operators charge about ₦300 to ₦600.
In Oyo State, CNG buses deployed to Pacesetter Transport reportedly reduced the Lagos-Ibadan fare from about ₦8,000 to ₦3,200 during the initial deployment.
Tinubu said alternative-energy transport services in Adamawa had also cut fares by as much as 50 per cent, including reducing some journeys from ₦8,000 to ₦4,000.
In Enugu, he said the deployment of 100 CNG buses had brought the Enugu-Nsukka fare down from ₦2,500 to ₦1,500.
He also cited Plateau State, where government-supported buses reportedly carry about 13,000 commuters daily for ₦200, compared with fares above ₦500 charged by commercial operators.
According to Tinubu, the Federal Government’s partnership with the National Union of Road Transport Workers has also contributed to fare reductions on some Abuja routes using CNG-converted vehicles.
He said fares from Area 1 to Gwagwalada had dropped from ₦1,500 to ₦900, while Nyanya fares fell from ₦700 to ₦420 and Wuse fares from ₦400 to ₦240.
The President added that passengers on the Suleja-Abuja route in Niger State now pay ₦550 instead of about ₦800, while Abia State has introduced 40 electric buses with fares subsidised by 50 per cent.
Tinubu said more than 120,000 vehicles had been converted to CNG over the past three years, with more than 400 certified conversion centres and over 90 CNG refuelling stations now operating across the country.
He rejected calls for a return to the former petrol subsidy system, describing it as costly and saying it had exposed the economy to fluctuations in international oil prices.
The President instead urged faster deployment of CNG and other locally developed alternative-energy solutions.
He said Edo State currently has 50 CNG buses in operation, while Kano has converted more than 1,000 commercial vehicles and is expanding its conversion and refuelling infrastructure.
Tinubu also said Delta, Kwara and Lagos states were expanding CNG-supported transport services, while Akwa Ibom had received 50 CNG buses ahead of commercial operations.
He urged state governments to work with transport unions and commercial operators, support vehicle conversions and fleet deployment, and develop the infrastructure needed to expand alternative-energy transportation.
Tinubu stressed that the savings from cheaper energy should translate into lower fares for commuters.
He assured states, transport operators, manufacturers and private investors of continued Federal Government support for the expansion of CNG infrastructure and vehicle conversion capacity.
“Nigeria has the gas. We are building the infrastructure. We are already seeing the savings,” the President said, adding that the government would work to expand the programme so more Nigerians could benefit from reduced transport costs.
