By Our Correspondent
President Bola Tinubu has renewed his assurance that Nigerians should begin to experience lower transportation costs from October 1, as the Federal Government and state governments intensify efforts to expand the use of Compressed Natural Gas-powered vehicles across the country.
The President said the objective was to ensure that savings from cheaper energy are passed directly to commuters through reduced transport fares.
Tinubu made the statement while giving an update on the National Affordable CNG Transit Programme, which followed his meeting with the 36 state governors on August 27.
According to the President, the Federal Government and the states agreed that more Nigerians should begin to see measurable reductions in transportation costs from October 1.
He urged state governments to work closely with transport unions and commercial operators, speed up vehicle conversions and ensure that the infrastructure required for CNG-powered transportation is available.
Tinubu said the purpose of the programme was not simply to introduce an alternative fuel but to ensure that the lower cost of operating CNG vehicles translates into cheaper fares for ordinary Nigerians.
The President pointed to several states where CNG-powered and electric transportation services have already resulted in lower fares.
In Borno State, he said CNG-powered and electric public transport services carry passengers for between N50 and N100 on routes where commercial operators charge between N300 and N600.
He also cited Kaduna State, where 100 CNG-powered buses have provided free transportation on major routes. According to Tinubu, the buses carried about 3.2 million passengers during their first year of operation and saved commuters more than N3.5 billion in transport costs.
In Oyo State, the President said the deployment of CNG buses by Pacesetter Transport reduced the Lagos-Ibadan fare from about N8,000 to N3,200 during the initial deployment.
Other states were also mentioned as examples of the impact of alternative-energy transportation.
Tinubu said transportation costs on some routes in Adamawa had fallen by as much as 50 per cent, while CNG buses in Enugu had reduced the Enugu-Nsukka fare from N2,500 to N1,500.
In Plateau State, government-supported buses reportedly transport about 13,000 commuters daily at a fare of N200, compared with more than N500 charged by commercial operators.
The President also highlighted the situation in Abuja, where CNG-converted commercial vehicles operating through a partnership with the National Union of Road Transport Workers have reportedly provided fare reductions of about 40 per cent on several routes.
According to him, fares from Area 1 to Gwagwalada had dropped from N1,500 to N900, while passengers travelling from Nyanya to other parts of the capital have seen fares reduced from N700 to N420 on some routes.
Tinubu said the government was determined to expand these benefits beyond the locations where CNG transportation is already operating.
He disclosed that more than 120,000 vehicles had been converted to CNG over the past three years, while the country now has more than 400 certified conversion centres and over 90 CNG refuelling stations.
The Federal Government is also working to increase the number of CNG stations across the country.
The Presidential Compressed Natural Gas Initiative recently disclosed that the first batch of 500 additional CNG stations is expected by the end of October, while another 500 stations are expected to be ordered, bringing the total number being procured to 1,000.
The expansion is expected to improve access to CNG and make it easier for commercial transport operators to convert their vehicles and obtain the fuel.
Tinubu said Nigeria’s large gas resources provide an opportunity for the country to reduce its dependence on petrol and diesel for transportation.
He argued that expanding alternative-energy transportation could also reduce the impact of international energy price fluctuations on Nigerians.
The President said a vehicle running on CNG could spend between 60 and 80 per cent less on fuel than one operating on petrol, making the fuel particularly attractive to commercial transport operators.
However, the success of the October 1 target will depend on how quickly states, transport unions, vehicle operators and other stakeholders implement the measures.
Previous reports have also highlighted challenges facing Nigeria’s CNG transition, including inadequate refuelling infrastructure, limited conversion facilities in some areas and concerns about the ability of operators to pass fuel savings on to passengers.
The Federal Government has therefore continued to call for greater cooperation among state governments, transport unions, private investors and vehicle manufacturers.
Tinubu said the government would continue supporting the expansion of CNG infrastructure, conversion centres and participation by transport operators.
He maintained that the country should focus on expanding cheaper alternatives rather than returning to the petrol subsidy system.
For millions of Nigerians who depend on buses, taxis, tricycles and other forms of commercial transportation every day, the expected reduction in fares could have a direct effect on household expenses and the cost of doing business.
The October 1 target will therefore be closely watched by commuters across the country as governments and transport operators move to translate the promised savings from CNG into lower fares.
For now, the Federal Government’s message remains clear: cheaper energy should lead to cheaper transportation, with the government expecting Nigerians to begin seeing more of those savings from October 1.
