President Bola Tinubu has outlined steps to deliver measurable reductions in transportation costs for more Nigerians starting October 1, 2026. The plan centres on expanding the use of Compressed Natural Gas (CNG)-powered and electric vehicles, building on agreements reached with state governors.
On August 27, the President met with the 36 state governors. They agreed that cheaper alternative fuels should translate into lower fares for ordinary citizens. An implementation committee for the National Affordable CNG Transit Programme was subsequently set up under the Nigeria Governors’ Forum. The committee, working with the Presidential Initiative on CNG and Electric Vehicles, states, and other stakeholders, is identifying priority routes and required interventions.
The urgency has increased due to ongoing global energy market disruptions that continue to affect petrol and diesel prices. Nigeria, as a gas-rich nation, is positioning domestic gas as a buffer against these external shocks.
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Progress Already Visible in Several States
Tinubu highlighted existing examples where CNG and electric transport have already cut costs:
• Borno: CNG-powered and electric public transport services charge ₦50–₦100 on routes where commercial operators typically charge ₦300–₦600.
• Kaduna: 100 CNG-powered buses offer free rides on major routes. In their first year, they carried about 3.2 million passengers and saved commuters more than ₦3.5 billion.
• Oyo: CNG buses with Pacesetter Transport reduced the Lagos–Ibadan fare from around ₦8,000 to ₦3,200 in the initial phase.
• Adamawa: Alternative-energy services have cut some fares by up to 50% (e.g., ₦8,000 to ₦4,000).
• Enugu: Deployment of 100 CNG buses lowered the Enugu–Nsukka fare from ₦2,500 to ₦1,500.
• Plateau: Government-supported buses carry about 13,000 passengers daily at ₦200, compared with over ₦500 charged by commercial operators.
• Abuja (FCT): Partnership with the National Union of Road Transport Workers (NURTW) has delivered about 40% lower fares on CNG-converted vehicles. Examples include Area 1–Gwagwalada (₦1,500 to ₦900), Nyanya (₦700 to ₦420), and Wuse (₦400 to ₦240). Suleja–Abuja services in neighbouring Niger State are reported at ₦550 versus about ₦800 previously.
• Abia: 40 electric buses with 50% subsidised fares.
The President emphasised that these are current results, not future projections.
Scaling the Programme and Rejecting Petrol Subsidy Return
Tinubu praised states already advancing CNG transport and pledged federal support to expand fleets and infrastructure. He noted that over the past three years the administration has converted more than 120,000 vehicles, established over 400 certified conversion centres, and opened more than 90 CNG refuelling stations, with numbers continuing to grow.
He firmly rejected calls to reinstate the petrol subsidy, describing the former regime as having consumed trillions of naira while leaving the economy vulnerable to international oil price swings. Instead, the focus remains on accelerating cheaper domestic alternatives.
Additional state progress mentioned includes Edo (50 CNG buses in service), Kano (over 1,000 commercial vehicles converted and expanding infrastructure), and ongoing expansions in Delta, Kwara, and Lagos. Akwa Ibom has received 50 CNG buses ahead of commercial operations.
Tinubu urged all states to intensify efforts ahead of October 1 by collaborating with transport unions and operators, supporting vehicle conversions and fleet deployment, building necessary infrastructure, and ensuring that fuel-cost savings reach passengers through lower fares.
“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,” he stated.
What this could mean for commuters:
If successfully scaled, the shift to CNG and electric options offers a practical route to ease the impact of high living costs, particularly for daily intra-city and inter-city travel where states have significant control. Success will depend on consistent infrastructure rollout, operator buy-in, and actual fare adjustments reaching passengers.
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