Tinubu Sets October 1 Target for Lower Transport Fares, Says CNG Programme Already Saving Nigerians Billions

By Reporter

President Bola Ahmed Tinubu has directed states to accelerate implementation of the National Affordable CNG Transit Programme, with a target of achieving measurable reductions in transportation costs for Nigerians from October 1.

Tinubu, in a statement issued on Saturday, said the initiative followed his August 27 meeting with the governors of the 36 states, where they agreed on the objective of reducing transportation costs through cheaper energy alternatives.

He said an implementation committee had subsequently 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, PI-CNG & EV, state governments and other stakeholders are working to identify priority transport corridors, determine appropriate interventions and put the necessary infrastructure in place.

Tinubu said the urgency of the programme had increased amid the current global energy crisis, noting that Nigeria, as a gas-rich country, could reduce its exposure to fluctuations in international petrol and diesel prices by accelerating the transition to CNG and electric transportation.

He cited examples from several states where alternative-energy transportation has already reduced fares.

In Borno, he said CNG-powered and electric public transport services are carrying commuters for between ₦50 and ₦100 on routes where commercial operators charge between ₦300 and ₦600.

In Kaduna, 100 CNG-powered buses are providing free transportation on major routes, carrying about 3.2 million passengers in their first year and saving commuters more than ₦3.5 billion in transport costs.

The President said CNG buses deployed to Pacesetter Transport in Oyo State reduced the Lagos-Ibadan fare from about ₦8,000 to ₦3,200 during the initial deployment.

He added that alternative-energy transit services in Adamawa had reduced fares by as much as 50 per cent, from ₦8,000 to ₦4,000, while in Enugu, the deployment of 100 CNG buses had brought the Enugu-Nsukka fare down from ₦2,500 to ₦1,500.

In Plateau, government-supported buses reportedly transport about 13,000 commuters daily at ₦200, compared with more than ₦500 charged by commercial operators.

Tinubu also disclosed that, through the Federal Government’s partnership with the National Union of Road Transport Workers (NURTW), passengers using CNG-converted commercial vehicles on some Abuja routes are benefiting from a 40 per cent reduction in fares.

He cited Area 1-Gwagwalada, where fares have dropped from ₦1,500 to ₦900; Nyanya, from ₦700 to ₦420; and Wuse, from ₦400 to ₦240.

According to him, passengers on the Suleja-Abuja route in Niger State now pay ₦550, compared with about ₦800 previously, while Abia State has deployed 40 electric buses with fares subsidised by 50 per cent.

“These are not projections. Nigerians are already experiencing these savings,” the President said.
Tinubu said his administration had, over the past three years, invested deliberately in developing a CNG transportation ecosystem across the country.

He disclosed that more than 120,000 vehicles had been converted to CNG, with over 400 certified conversion centres and more than 90 CNG refuelling stations currently operating nationwide.

The President also highlighted developments in several states, saying Edo has 50 CNG buses in active service, Kano has converted more than 1,000 commercial vehicles, while Delta, Kwara and Lagos are expanding CNG-supported transport services.

He added that Akwa Ibom had taken delivery of 50 CNG buses ahead of the commencement of commercial operations.

Tinubu rejected calls for a return to the petrol subsidy regime, describing it as costly to the economy and arguing that the country should instead accelerate the development of cheaper domestic energy alternatives.

“At a time like this, our answer cannot be to return to the ruinous petrol subsidy regime that consumed trillions of naira and left our economy exposed to every movement in international oil prices,” he said.

He urged all state governments to sustain momentum towards the October 1 target by working with transport unions and commercial operators, supporting vehicle conversion and fleet deployment, and facilitating the infrastructure needed for CNG transportation.

“Above all, ensure that savings from cheaper energy reach Nigerian citizens through lower fares,” Tinubu told the states.

He assured that the Federal Government would continue to support the expansion of CNG infrastructure and access, increase conversion capacity and create an enabling environment for state governments, transport operators, manufacturers and private investors.

“Now we must move faster and scale this so more Nigerians feel those savings in the fares they pay every day,” the President said.