President Bola Ahmed Tinubu has said Nigerians should begin to enjoy lower transportation fares from October 1, following plans by state governors to cut intra-state transport costs by leveraging cheaper Compressed Natural Gas (CNG) and electric vehicles.
Tinubu disclosed this after meeting with members of the All Progressives Congress (APC) Governors’ Forum on Thursday, saying the governors had agreed to take immediate steps to reduce transportation costs in their respective states.
According to the President, the Federal Government is already driving the transition to cheaper and cleaner energy through the Presidential CNG Initiative, under which more than 120,000 vehicles have been converted nationwide, while over 100,000 additional conversion kits are currently being processed.
He said the government was also expanding CNG conversion centres and refuelling infrastructure across the country to make the alternative fuel more accessible.
Tinubu added that the Federal Government, through the Midstream and Downstream Gas Infrastructure Fund, is financing more than 100 gas projects nationwide, including 15 CNG mother stations and 86 daughter stations.
He noted that four of the projects were commissioned in May across Lagos, Abuja and Owerri, including a 15-station refuelling network in Lagos and an Abuja facility capable of serving 1,000 cars and tricycles as well as 50 trucks and buses daily.
The President further disclosed that he had directed the rollout of an additional 500 CNG refuelling stations nationwide, on top of the 500 stations earlier ordered by the Fund, bringing the planned total to 1,000 stations.
Tinubu stressed that intra-state transportation was where Nigerians felt the impact of high transport costs most directly, adding that state governments were best positioned to drive down fares.
He said the Federal Government and the states had agreed to establish a joint committee to immediately begin implementing measures aimed at reducing transportation costs.
“A vehicle running on CNG spends 60 to 80 per cent less on fuel than one running on petrol,” Tinubu said.
“From October 1, our goal is that Nigerians begin to partake in those savings through lower transport fares.
“We have agreed that cheaper fuel should result in cheaper fares!”
The President urged all tiers of government to work together to ensure that the benefits of the energy transition translate into tangible relief for Nigerians.
“Each tier of government must keep doing its part and work together for the benefit of every Nigerian,” he added.
