Tinubu, Governors Move to Cut Transport Fares Nationwide, Target October 1 Rollout

 

President Bola Ahmed Tinubu has announced plans by the Federal Government and state governors to reduce transportation costs across the country, with the initiative expected to begin taking effect from October 1, 2026.

Tinubu disclosed this in a statement issued on Thursday, August 27, following discussions with the Governors’ Forum on measures to bring down the cost of intra-state transportation.

The President said the governors had, on their own initiative, agreed to take immediate steps to reduce transport fares in their respective states, particularly by taking advantage of cheaper fuel alternatives such as Compressed Natural Gas (CNG) and electric vehicles.

According to Tinubu, the Federal Government is already investing heavily in the transition to alternative energy for transportation.

He said more than 120,000 vehicles had been converted to CNG nationwide through the Presidential CNG Initiative, while over 100,000 additional conversion kits are currently being processed.

The President added that the government was expanding conversion centres and refuelling infrastructure across the country to support the growing number of CNG-powered vehicles.

Tinubu also disclosed that the Federal Government, through the Midstream and Downstream Gas Infrastructure Fund, is financing more than 100 gas projects nationwide. The projects include 15 CNG mother stations and 86 daughter stations.

He said four of the projects were commissioned in May across Lagos, Abuja and Owerri, including a 15-station refuelling network in Lagos and an Abuja facility capable of serving up to 1,000 cars and tricycles as well as 50 trucks and buses daily.

The President further revealed that he had directed the rollout of another 500 CNG refuelling stations nationwide, in addition to the 500 stations previously ordered by the Fund.

This, he said, would bring the total number of planned stations under the programme to 1,000 across the country.

Tinubu said intra-state transportation was where Nigerians experienced the impact of rising transport costs most directly, stressing that state governments have significant influence over the sector.

He expressed optimism that the governors’ decision would help bring the benefits of the energy transition directly to commuters.

The Federal Government and state governments have also agreed to establish a joint committee to begin implementing the measures immediately.

Tinubu said vehicles running on CNG could spend between 60 and 80 per cent less on fuel compared with petrol-powered vehicles.

He therefore said the savings should ultimately be reflected in the fares paid by Nigerians.

“From October 1, our goal is that Nigerians begin to partake in those savings through lower transport fares,” the President stated.

“We have agreed that cheaper fuel should result in cheaper fares!”

The President called on all levels of government to continue working together to ensure that the benefits of the country’s energy transition translate into tangible relief for Nigerians.