President Bola Tinubu has given an update on the National Affordable CNG Transit Programme, disclosing that Nigerians in several states are already recording significant reductions in transportation fares following the deployment of CNG powered buses.
In a statement issued on Saturday, the President recalled that he met with governors of the 36 states on August 27, where they agreed on a clear objective that from October 1, more Nigerians should begin to see measurable reductions in transportation costs.
He said an implementation committee for the National Affordable CNG Transit Programme was subsequently established under the auspices of the Nigeria Governors’ Forum, chaired by Governor AbdulRahman AbdulRazaq.
Tinubu noted that he was aware of the considerable work already underway by the committee, PI-CNG & EV, the states, and other critical stakeholders to identify priority transport corridors, determine appropriate interventions, and put the necessary arrangements in place, adding that this work has become even more urgent amid the current global energy crisis.
He cited evidence from across the country showing what is possible when cheaper energy translates into cheaper transportation.
“In Borno, CNG-powered and electric public transport services are moving commuters for between ₦50 and ₦100 on routes where commercial operators charge between ₦300 and ₦600,” he said.
He added that in Kaduna, 100 CNG-powered buses are providing free transportation on major routes across the state, and in their first year of operation, the buses carried about 3.2 million passengers, saving commuters more than ₦3.5 billion in transport costs.
According to him, in Oyo, CNG buses deployed to Pacesetter Transport brought the Lagos–Ibadan fare down from about ₦8,000 to ₦3,200 during the initial deployment, while in Adamawa, alternative-energy transit services have cut fares by as much as 50 per cent, from ₦8,000 to ₦4,000.
He said in Enugu, where 100 CNG buses have been deployed, the Enugu–Nsukka fare has been reduced from ₦2,500 to ₦1,500, while in Plateau, government-supported buses carry about 13,000 commuters every day at ₦200, compared with more than ₦500 commercially.
The President also disclosed that through the Federal Government’s partnership with the NURTW, passengers on CNG-converted commercial vehicles on several Abuja commuter routes receive a 40 per cent fare reduction, with the Area 1 to Gwagwalada route falling from ₦1,500 to ₦900, Nyanya from ₦700 to ₦420, and Wuse from ₦400 to ₦240.
He said in Niger, passengers on the Suleja–Abuja service are paying ₦550 compared with about ₦800 previously, while Abia has deployed 40 electric buses with fares subsidised by 50 per cent.
“These are not projections. Nigerians are already experiencing these savings,” he said, commending the governors and state governments that have moved quickly, while noting that more still needs to be done and that the Federal Government will support states to scale further.
Tinubu observed that disruptions to global energy supplies are once again pressuring petrol and diesel prices and increasing transportation costs worldwide, but stated that although Nigeria cannot control events in global energy markets, the country can reduce its exposure as a gas-rich nation.
He said that over the last three years, his administration has deliberately invested in building a CNG transportation ecosystem across Nigeria, with more than 120,000 vehicles now converted, over 400 certified conversion centres, and more than 90 CNG refuelling stations across the country, with the figures increasing daily.
The President said that at a time like this, the answer cannot be to return to the petrol subsidy regime that consumed trillions of naira and left the economy exposed to every movement in international oil prices, as some have suggested, stressing the need to accelerate cheaper alternatives being built locally.
He commended the spread of the initiative, noting that Edo already has 50 CNG buses in active service, Kano has converted more than 1,000 commercial vehicles while rapidly expanding its conversion and refuelling network, and that Delta, Kwara and Lagos are expanding CNG-supported transport services, while Akwa Ibom has taken delivery of 50 CNG buses ahead of commercial operations.
Tinubu encouraged every state to maintain the momentum towards October 1, urging them to work with transport unions and commercial operators, support conversion and fleet deployment, facilitate the required infrastructure, and above all, ensure that savings from cheaper energy reach Nigerian citizens through lower fares.
He assured that the Federal Government will continue to support the scaling of CNG infrastructure and access, expand conversion capacity, and create the enabling environment for states, transport operators, manufacturers and private investors to participate.
“Nigeria has the gas. We are building the infrastructure. We are already seeing the savings. Now we must move faster and scale this so more Nigerians feel those savings in the fares they pay every day,” he said.
