Tinubu says transport fares will drop from October 1

President Bola Tinubu has said Nigerians should begin to see reductions in transportation costs from October 1 through the expansion of compressed natural gas-powered transport.

Tinubu made the statement on Saturday while giving an update on the National Affordable CNG Transit Programme, which was established following his meeting with the 36 state governors on August 27.

The President urged state governments to work with transport unions and commercial operators to ensure that savings from cheaper energy are reflected in fares paid by commuters.

“I encourage every state to maintain the momentum towards October 1. Work with transport unions and commercial operators. Support conversion and fleet deployment,” Tinubu said.

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

Tinubu said some states were already recording reductions in transport fares through the use of CNG-powered and electric buses.

He cited Borno, where he said CNG-powered and electric public transport services charge between N50 and N100 on routes where commercial operators charge between N300 and N600.

In Kaduna, he said 100 CNG-powered buses had provided free transportation on major routes, while in Enugu, he said CNG buses had reduced the fare between Enugu and Nsukka from N2,500 to N1,500.

The President also cited reductions on some routes in Abuja, saying CNG-converted commercial vehicles had resulted in fare reductions of about 40 per cent.

Tinubu said the Federal Government would continue to support the expansion of CNG infrastructure and vehicle conversion capacity.

He said more than 120,000 vehicles had been converted to CNG over the past three years, while more than 400 certified conversion centres and over 90 CNG refuelling stations were available across the country.

The President said the government would continue working with states and transport operators to expand alternative-energy transportation as rising global energy prices put pressure on petrol and diesel costs.

“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,” Tinubu said.

He added that the government would focus on expanding cheaper alternatives and ensuring that reductions in energy costs translate into lower transportation fares.