By Firdaus Jibril
President Bola Ahmed Tinubu has set October 1, 2026, as the target date for Nigerians to begin benefiting from lower transport fares, as the Federal Government and state governors move to translate cheaper CNG into reduced transportation costs.
Tinubu disclosed this after discussions with the Nigeria Governors’ Forum, stating that the governors had resolved to take immediate measures to bring down transportation costs in their respective states, particularly through the use of Compressed Natural Gas (CNG) and electric vehicles.
The President said the focus would be on intra-state transportation, where high fares continue to directly affect Nigerians.
“We have agreed that cheaper fuel should result in cheaper fares. From October 1, our goal is that Nigerians begin to partake in those savings through lower transport fares,” Tinubu said.
To drive implementation, the President stated that the Federal and state governments had agreed to establish a joint committee to immediately begin working on measures to reduce transport fares.
According to him, the cost advantage of CNG provides an opportunity to lower the operating expenses of commercial transport operators. He noted that a vehicle running on CNG spends between 60 and 80 percent less on fuel than one powered by petrol.
Tinubu said the Federal Government had already converted more than 120,000 vehicles to CNG under the Presidential CNG Initiative, while more than 100,000 additional conversion kits were in the pipeline.
He added that the government was expanding CNG conversion centres and refuelling infrastructure nationwide to support the growing transition from petrol-powered vehicles.
The President also disclosed that the Midstream and Downstream Gas Infrastructure Fund was financing more than 100 gas projects across the country, including 15 CNG mother stations and 86 daughter stations.
He said four projects had been commissioned in Lagos, Abuja, and Owerri in May, 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.
Tinubu further directed the rollout of an additional 500 CNG refuelling stations nationwide on top of the 500 stations previously ordered by the Fund bringing the planned total to 1,000 stations.
He stated that the expansion of CNG infrastructure was necessary to ensure that the savings from cheaper fuel are passed on to commuters.
“Intra-state transport is where Nigerians feel the cost most directly, and it is where the states hold the levers,” the President said, expressing optimism that governors would move quickly to bring the benefits of the energy transition closer to Nigerians.
The planned fare reduction represents a fresh push by the Federal Government to ensure that the lower operating costs associated with CNG translate into direct relief for commuters, particularly as transportation remains a major component of household expenditure.
Tinubu called on all tiers of government to continue working together to ensure that the benefits of the energy transition are reflected in the daily lives of Nigerians.