The Federal Government is working with state governments to reduce transportation costs through the deployment of compressed natural gas (CNG) and electric buses, as rising fuel costs continue to put pressure on commuters.
President Bola Tinubu said the National Affordable CNG Transit Programme was designed to deliver measurable reductions in transportation costs from October 1.
The programme is being implemented through a committee established under the Nigeria Governors’ Forum and chaired by Kwara State Governor AbdulRahman AbdulRazaq.
The committee, alongside PI-CNG & EV, state governments and other stakeholders, is identifying priority transport corridors and determining the interventions required to expand alternative-energy public transport across the country.
Several states have already introduced CNG and electric transport schemes that have resulted in lower fares, according to the presidency. In Borno, for instance, CNG-powered and electric public transport services charge between N50 and N100 on routes where commercial operators charge between N300 and N600.
Kaduna has deployed 100 CNG-powered buses providing free transportation on major routes. The buses carried about 3.2 million passengers in their first year of operation, saving commuters more than N3.5bn in transport costs, the presidency said.
In Oyo, CNG buses deployed to Pacesetter Transport reduced the Lagos-Ibadan fare from about N8,000 to N3,200 during the initial deployment. Adamawa has also recorded fare reductions of up to 50 per cent, with some fares falling from N8,000 to N4,000.
Enugu has deployed 100 CNG buses, reducing the Enugu-Nsukka fare from N2,500 to N1,500. In Plateau, government-supported buses carry about 13,000 commuters daily at N200, compared with more than N500 charged by commercial operators.
The Federal Government also cited fare reductions on several Abuja commuter routes following CNG conversions carried out in partnership with the National Union of Road Transport Workers.
The Area 1-Gwagwalada fare has fallen from N1,500 to N900, while fares to Nyanya and Wuse have dropped from N700 to N420 and N400 to N240 respectively.
In Niger, passengers on the Suleja-Abuja route are paying N550 compared with about N800, while Abia has deployed 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. The country now has more than 400 certified conversion centres and over 90 CNG refuelling stations, with the government saying the numbers are increasing.
The administration is also encouraging states to expand CNG conversion and fleet deployment while working with transport unions and commercial operators to ensure that savings from cheaper energy are reflected in passenger fares.
Edo currently has 50 CNG buses in active service, while Kano has converted more than 1,000 commercial vehicles and is expanding its conversion and refuelling network. Delta, Kwara and Lagos are also expanding CNG-supported transport services, while Akwa Ibom has received 50 CNG buses ahead of commercial operations.
The expansion comes as disruptions to global energy supplies put pressure on petrol and diesel prices. Tinubu said Nigeria, as a gas-rich country, could reduce its exposure to movements in international energy markets by accelerating the adoption of CNG and other alternative-energy transport.
The president said the Federal Government would continue to support CNG infrastructure and conversion capacity while creating an enabling environment for state governments, transport operators, manufacturers and private investors to participate.
He also rejected calls for a return to the petrol subsidy regime, arguing that the government should instead accelerate the development of cheaper domestic energy alternatives.
“Now we must move faster and scale this so that more Nigerians feel those savings in the fares they pay every day,” Tinubu said.
