President Bola Ahmed Tinubu says Nigerians should begin to see lower transport fares from October 1 as the Federal Government and state governments work to reduce transportation costs through CNG and electric vehicles.
Tinubu disclosed this after meeting with the Governors’ Forum.
He said the governors had agreed to take immediate steps to reduce transport costs in their states.
The plan will focus on the cost savings from Compressed Natural Gas (CNG) and electric vehicles.
FG, States Move to Reduce Transport Fares
According to Tinubu, the Federal Government has already invested heavily in the energy transition.
He said the Presidential CNG Initiative (PCNGI) has helped convert more than 120,000 vehicles across Nigeria.
Another 100,000 conversion kits are also in the works.
The Federal Government is also expanding CNG conversion centres across the country.
It is increasing the number of CNG refuelling facilities as well.
Tinubu said these efforts would make cheaper fuel more accessible to motorists and transport operators.
FG Funds More Than 100 Gas Projects
The President also highlighted investments through the Midstream and Downstream Gas Infrastructure Fund (MDGIF).
He said the fund is financing more than 100 gas projects across Nigeria.
The projects include 15 CNG mother stations and 86 daughter stations.
Tinubu said he commissioned four of the projects in Lagos, Abuja and Owerri in May.
One of the projects includes a 15-station CNG refuelling network in Lagos.
Another facility in Abuja can serve up to 1,000 cars and tricycles daily.
It can also serve up to 50 trucks and buses each day.
Nigeria to Get 1,000 CNG Refuelling Stations
Tinubu said he had ordered the rollout of another 500 CNG refuelling stations nationwide.
The new stations will add to the 500 stations ordered earlier this year.
This will bring the total planned CNG stations to 1,000 across Nigeria.
The expansion will improve access to CNG for motorists and commercial transport operators.
It will also support the Federal Government’s plan to reduce dependence on petrol.
CNG Can Cut Fuel Costs by Up to 80%
Tinubu said CNG offers major savings for vehicle owners and transport operators.
According to him, a CNG-powered vehicle can spend 60 to 80 per cent less on fuel than a petrol-powered vehicle.
The President wants Nigerians to benefit from these savings.
He said cheaper fuel should lead to cheaper transport fares.
“We have agreed that cheaper fuel should result in cheaper fares,” Tinubu said.
Joint Committee to Begin Work
The Federal and state governments will set up a joint committee to implement the new measures.
The committee will coordinate efforts to reduce transportation costs across the states.
Tinubu said the government wants Nigerians to start enjoying lower fares from October 1.
“From October 1, our goal is that Nigerians begin to partake in those savings through lower transport fares,” he said.
The President also called for cooperation among all levels of government.
He said each tier must play its part in improving the lives of Nigerians.
“Each tier of government must keep doing its part and work together for the benefit of every Nigerian,” Tinubu said.
He ended his message with the administration’s national development slogan: “Nigeria First.”
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