President Bola Tinubu has directed state governments to ensure that the benefits of cheaper Compressed Natural Gas-powered transportation are reflected in the fares paid by commuters from October 1.

The President gave the directive on Saturday while providing an update on the National Affordable CNG Transit Programme, which followed his August 27 meeting with the 36 state governors.

According to Tinubu, the agreement reached with the governors was aimed at ensuring that Nigerians begin to experience “measurable reductions in transportation costs” from October 1.

He urged the states to intensify preparations by working with transport unions and commercial operators, expanding vehicle conversion and facilitating the deployment of alternative-energy buses.

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

“Facilitate the infrastructure required. Above all, ensure that savings from cheaper energy reach Nigerian citizens through lower fares,” he said.

Tinubu said the programme was already producing lower fares in several parts of the country through the deployment of CNG-powered and electric buses.

In Borno State, for instance, he said CNG and electric public transport services were carrying passengers for between N50 and N100 on routes where conventional commercial operators charge between N300 and N600.

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Kaduna, according to the President, has deployed 100 CNG buses that provided free transportation on major routes. The buses reportedly carried about 3.2 million passengers during their first year of operation, generating savings of more than N3.5bn for commuters.

Tinubu also cited Oyo State, where CNG buses introduced through Pacesetter Transport reportedly reduced the Lagos-Ibadan fare from approximately N8,000 to N3,200 during the initial deployment.

Alternative-energy transport services in Adamawa had also reduced fares by as much as 50 per cent, bringing some fares down from N8,000 to N4,000, he said.

In Enugu, the deployment of 100 CNG buses reportedly lowered the fare on the Enugu-Nsukka route from N2,500 to N1,500.

The President said government-supported buses in Plateau State were carrying about 13,000 commuters daily for N200, compared with commercial fares of more than N500.

Tinubu highlighted the impact of CNG conversion on commuter routes in the Federal Capital Territory, where the Federal Government is partnering with the National Union of Road Transport Workers.

He said passengers using CNG-converted commercial vehicles on several Abuja routes were benefiting from a 40 per cent reduction in fares.

Under the arrangement, fares from Area 1 to Gwagwalada had reportedly dropped from N1,500 to N900, while the Nyanya fare fell from N700 to N420.

The fare from Wuse, he said, had also declined from N400 to N240.

On the Suleja-Abuja route in Niger State, commuters were paying N550 instead of about N800, while Abia State had deployed 40 electric buses with fares subsidised by 50 per cent.

“These are not projections. Nigerians are already experiencing these savings,” Tinubu said.

He further explained that the Federal Government intended to support states in expanding the programme as fluctuations in global energy supplies continued to put pressure on petrol and diesel prices and, consequently, transportation costs.

“Through our partnership with the NURTW, passengers on CNG-converted commercial vehicles on several Abuja commuter routes receive a 40 per cent fare reduction,” he said.

The President said Nigeria’s substantial natural gas resources provided an opportunity to reduce the country’s exposure to fluctuations in international energy prices by expanding alternative-energy transportation.

He disclosed that more than 120,000 vehicles had been converted to CNG in the past three years, with over 400 certified conversion centres and more than 90 CNG refuelling stations now operating nationwide.

Tinubu also listed developments in Edo, Kano, Delta, Kwara, Lagos and Akwa Ibom as part of the nationwide expansion of CNG-supported transportation.

According to him, Edo currently has 50 CNG buses in active service, while more than 1,000 commercial vehicles have been converted in Kano.

Delta, Kwara and Lagos are also expanding their CNG-supported transport programmes, while Akwa Ibom has received 50 CNG buses ahead of the commencement of commercial operations.

Tinubu said the Federal Government would continue investing in CNG infrastructure and conversion capacity while encouraging transport operators, vehicle manufacturers and private investors to participate in the programme.

The President also defended the government’s decision not to return to the petrol subsidy system, arguing that the alternative-energy transition offered a means of reducing exposure to international oil price fluctuations.

“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, as some have suggested.

“We must accelerate the cheaper alternatives we have been building at home,” he said.

Tinubu said the priority now was to expand the programme rapidly so that the benefits already being recorded in some states could reach more commuters.

He added, “Nigeria has the gas. We are building the infrastructure. We are already seeing the savings.

“Now we must move faster and scale this so more Nigerians feel those savings in the fares they pay every day.”

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