Tinubu Orders States to Cut Transport Fares With CNG, Cites ₦3,200 Lagos-Ibadan Fare

 

By Abel Chigozie 

President Bola Ahmed Tinubu has directed the Federal Government and state governments to accelerate the implementation of the National Affordable CNG Transit Programme, with a target of delivering measurable reductions in transportation costs to more Nigerians from October 1, 2026.

Tinubu disclosed this in a statement outlining the progress of the programme following his August 27 meeting with the governors of the 36 states.

The initiative, being implemented through collaboration between the Federal Government, state governments, transport unions and other stakeholders, is designed to translate the lower operating costs of Compressed Natural Gas (CNG) and electric vehicles into cheaper passenger fares. 

The President said an implementation committee had been established under the auspices of the Nigeria Governors’ Forum, chaired by its Chairman and Kwara State Governor, AbdulRahman AbdulRazaq.

He said the committee and other stakeholders were working to identify priority transport corridors and determine appropriate interventions ahead of the October 1 target.

Tinubu cited existing examples of reduced fares in states where CNG and electric-powered transport services have been deployed.

According to him, commuters in Borno are paying between ₦50 and ₦100 on some CNG and electric transport routes, compared with commercial fares of between ₦300 and ₦600.

He also said CNG buses deployed in Oyo had reduced the Lagos-Ibadan fare from about ₦8,000 to ₦3,200 during the initial deployment, while alternative-energy transport services in Adamawa had cut some fares by as much as 50 per cent.

In Enugu, he said, the deployment of 100 CNG buses had reduced the Enugu-Nsukka fare from ₦2,500 to ₦1,500.

Tinubu further cited government-supported transport services in Plateau, where buses reportedly carry about 13,000 commuters daily for ₦200, compared with commercial fares of more than ₦500.

He said CNG-converted commercial vehicles operating on some Abuja routes had also recorded fare reductions, while similar initiatives were underway in Niger and Abia.

“These are not projections. Nigerians are already experiencing these savings,” the President said, while urging state governments to expand their programmes.

The President said disruptions to global energy supplies were putting pressure on petrol and diesel prices and increasing transportation costs internationally.

He argued that Nigeria, as a gas-producing country, could reduce its exposure to such shocks by accelerating the development of alternative energy sources.

Tinubu said more than 120,000 vehicles had been converted to CNG nationwide, while the country now has more than 400 certified conversion centres and over 90 CNG refuelling stations. The Presidential Initiative on CNG and Electric Vehicles has separately reported that states are continuing to expand conversion, refuelling and electric mobility infrastructure. 

The President said the administration would continue supporting CNG infrastructure, conversion capacity and private-sector participation.

He also rejected calls for a return to the former petrol subsidy regime, arguing that the government should instead accelerate cheaper energy alternatives being developed domestically.

Tinubu urged state governments to work closely with transport unions and commercial operators, support vehicle conversions and fleet deployment, and ensure that savings from cheaper energy are reflected in passenger fares.

The Federal Government has been working with states on specific transport corridors and interventions ahead of October 1. At a September 10 stakeholder meeting, several states reported progress, including CNG and electric bus deployments, conversion centres, charging stations and other infrastructure. 

The President said the ultimate objective was to ensure that more Nigerians benefit directly from lower transportation costs.

“Nigeria has the gas. We are building the infrastructure. We are already seeing the savings. Now we must move faster and scale this so many more Nigerians feel those savings in the fares they pay every day,” Tinubu said.