President says cheaper gas-powered transport is already reducing commuting costs as Federal Government pushes states to expand affordable CNG services
President Bola Ahmed Tinubu has directed states to intensify efforts to reduce transportation costs through the expansion of compressed natural gas (CNG) and electric-powered public transport ahead of October 1.
Tinubu said the target was agreed upon during his August 27 meeting with the governors of Nigeria’s 36 states, with the objective of ensuring that more Nigerians begin to see measurable reductions in transportation fares from October 1.
The President said an implementation committee for the National Affordable CNG Transit Programme had subsequently been established under the Nigeria Governors’ Forum, chaired by Kwara State Governor AbdulRahman AbdulRazaq.
According to Tinubu, the committee, Presidential Initiative on CNG and Electric Vehicles (PI-CNG & EV), state governments and other stakeholders are working to identify priority transport corridors and determine appropriate interventions.
The President cited existing CNG and electric transport programmes in several states as evidence that cheaper energy can translate into lower fares.
In Borno State, he said CNG-powered and electric public transport services are carrying passengers for between ₦50 and ₦100 on routes where commercial operators charge between ₦300 and ₦600.
Tinubu said Kaduna State currently operates 100 CNG-powered buses providing free transportation on major routes, with the buses carrying about 3.2 million passengers during their first year and saving commuters more than ₦3.5 billion in transport costs.
In Oyo State, he said CNG buses deployed to Pacesetter Transport reduced the Lagos–Ibadan fare from about ₦8,000 to ₦3,200 during the initial deployment.
The President also cited reductions in other states, including Adamawa, where alternative-energy transit services have reportedly cut fares by up to 50 per cent, and Enugu, where the Enugu–Nsukka fare has fallen from ₦2,500 to ₦1,500 following the deployment of 100 CNG buses.
In Plateau State, Tinubu said government-supported buses carry about 13,000 commuters daily at ₦200, compared with commercial fares of more than ₦500.
He also pointed to CNG-converted commercial vehicles operating on Abuja routes under a partnership with the National Union of Road Transport Workers.
According to the President, fares have fallen by 40 per cent on several routes, including Area 1–Gwagwalada, where the fare has dropped from ₦1,500 to ₦900; Nyanya, from ₦700 to ₦420; and Wuse, from ₦400 to ₦240.
Tinubu said passengers on the Suleja–Abuja route in Niger State are paying about ₦550 compared with ₦800, while Abia State has deployed 40 electric buses with fares subsidised by 50 per cent.
“These are not projections. Nigerians are already experiencing these savings,” the President said.
Tinubu said the Federal Government would continue supporting states to expand CNG transport services amid renewed pressure on petrol and diesel prices arising from disruptions in global energy supplies.
He said Nigeria’s substantial natural-gas resources provided an opportunity to reduce the country’s exposure to fluctuations in international energy markets.
The President said his administration had spent the past three years developing a CNG transportation ecosystem, claiming that more than 120,000 vehicles had been converted, alongside more than 400 certified conversion centres and over 90 CNG refuelling stations nationwide.
He also rejected calls to return to the former petrol subsidy regime, describing it as economically damaging and arguing that Nigeria should instead accelerate the development of cheaper domestic energy alternatives.
Tinubu said Edo State currently has 50 CNG buses in active service, while Kano has converted more than 1,000 commercial vehicles.
He added that Delta, Kwara and Lagos were expanding CNG-supported transport services, while Akwa Ibom had received 50 CNG buses ahead of commercial operations.
The President urged all state governments to sustain preparations ahead of the October 1 target, particularly through partnerships with transport unions and commercial operators, vehicle conversion, fleet deployment and expansion of supporting infrastructure.
He said the ultimate objective was to ensure that savings generated through cheaper energy were reflected directly in the fares paid by commuters.
“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,” Tinubu said.
The statement was issued on September 19, 2026.
