Nigerian President Bola Ahmed Tinubu stated that the federal government, in collaboration with state governors, is working to lower travel costs across the country. This is being achieved through reduced fuel expenses associated with the use of compressed natural gas (CNG) and electric vehicles.
Following discussions with the Forum of Governors of Nigeria on Thursday, Tinubu announced that the governors agreed to take immediate measures to decrease transportation costs within their states. The initiative will focus on the savings offered by CNG and electric vehicles as the government accelerates the nation's transition to alternative energy sources.
According to the president, under the Presidential CNG Initiative, over 120,000 vehicles nationwide have already been converted, and more than 100,000 additional conversion kits are being prepared. The government is also expanding conversion centers and refueling station infrastructure across the country.
More than 100 gas projects are currently being financed through the Mid and Low Stream Gas Infrastructure Fund, including 15 mother CNG stations and 86 subsidiary stations. Tinubu noted that four projects were commissioned in May in Lagos, Abuja, and Owerri. These include a network of 15 filling stations in Lagos and a facility in Abuja capable of serving up to 1,000 cars and tricycles daily, as well as 50 trucks and buses.
The president also ordered the deployment of another 500 CNG filling stations. Combined with the 500 stations previously ordered by the fund, the program is set to provide 1,000 CNG stations nationwide. Tinubu emphasized that reducing intra-state transport costs is particularly important because citizens directly feel the impact of fuel prices here, and state governments play a key role in determining local transport expenses.
The federal and state governments have agreed to establish a joint committee to begin implementing measures aimed at passing CNG savings on to passengers. According to Tinubu, CNG vehicles can consume 60% to 80% less fuel compared to similar gasoline-powered vehicles. The government's goal is for citizens to benefit from these savings through reduced transport fares starting October 1st. Tinubu concluded: 'We have agreed that cheaper fuel must lead to cheaper fares,' calling on all levels of government to work together to ease the cost of living for Nigerian citizens.