Tinubu Targets Lower Transport Fares Nationwide with CNG, EVs
Tinubu Targets Lower Transport Fares Nationwide with CNG, EVs
Tinubu Targets Lower Transport Fares Nationwide with CNG, EVs
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Tinubu Targets Lower Transport Fares Nationwide with CNG, EVs

 

President Bola Tinubu has directed states to accelerate the deployment of compressed natural gas (CNG) and electric buses to reduce transportation costs for Nigerians from October 1.

Tinubu disclosed this in a statement on Saturday, saying the Federal Government and the 36 state governors had agreed on the objective of delivering measurable reductions in transport fares.

He said an implementation committee for the National Affordable CNG Transit Programme had been established under the Nigeria Governors’ Forum, chaired by Kwara State Governor AbdulRahman AbdulRazaq.

According to the President, the committee, alongside PI-CNG, state governments and other stakeholders, is working to identify priority transport corridors and determine appropriate interventions ahead of the October 1 target.

Tinubu cited several examples of reduced transport fares resulting from the deployment of CNG and electric vehicles across the country.

He said CNG-powered and electric public transport services in Borno had reduced fares to between N50 and N100 on routes where commercial operators charge between N300 and N600.

In Kaduna, he said 100 CNG-powered buses provided free transportation on major routes and carried about 3.2 million passengers in their first year, saving commuters more than N3.5bn in transport costs.

Tinubu also said CNG buses deployed to Pacesetter Transport in Oyo reduced the Lagos-Ibadan fare from about N8,000 to N3,200 during the initial deployment.

He added that alternative-energy transit services in Adamawa had reduced fares by up to 50 per cent, while the deployment of 100 CNG buses in Enugu reduced the Enugu-Nsukka fare from N2,500 to N1,500.

In Plateau, government-supported buses were carrying about 13,000 commuters daily at N200, compared with commercial fares of more than N500, he said.

The President said passengers using CNG-converted commercial vehicles on some Abuja routes had also benefited from a 40 per cent fare reduction through the Federal Government’s partnership with the National Union of Road Transport Workers.

He said the Suleja-Abuja fare in Niger State had fallen to N550 from about N800, while Abia had deployed 40 electric buses with fares subsidised by 50 per cent.

Tinubu said the examples demonstrated that cheaper energy could translate into lower transportation costs, adding that the current global energy crisis made the expansion of alternative-fuel transportation more urgent.

He said more than 120,000 vehicles had been converted to CNG over the past three years, while Nigeria now had more than 400 certified conversion centres and over 90 CNG refuelling stations.

The President said Nigeria should not return to the petrol subsidy regime, which he described as costly and exposing the economy to fluctuations in international oil prices.

Instead, he called for accelerated investment in CNG and other cheaper transportation alternatives.

Tinubu noted that Edo had 50 CNG buses in active service, Kano had converted more than 1,000 commercial vehicles, while Delta, Kwara and Lagos were expanding CNG-supported transport services.

He added that Akwa Ibom had taken delivery of 50 CNG buses ahead of commercial operations.

The President urged all states to sustain preparations towards the October 1 target by working with transport unions and commercial operators, supporting vehicle conversions and fleet deployment, and facilitating the infrastructure needed to expand alternative-energy transportation.

He said the Federal Government would continue to support CNG infrastructure and access, expand conversion capacity and create an enabling environment for states, transport operators, manufacturers and private investors to participate.

 

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