Tinubu, Governors set October 1 deadline for lower fares

The Federal Government and state governors have agreed to jointly deploy Compressed Natural Gas (CNG) and electric vehicles as part of measures to reduce the cost of intra-state transportation across the country from October 1.

President Bola Ahmed Tinubu disclosed this on Thursday after meeting with governors elected on the platform of the All Progressives Congress (APC).

Tinubu acknowledged the increasing cost of transportation within states and said the Federal Government had directed the rollout of an additional 500 CNG refuelling stations nationwide.

The latest directive brings the total number of CNG refuelling stations under the programme to 1,000, following an earlier order for 500 stations.

The President said the Federal and state governments had also agreed to establish a joint committee to immediately begin implementing measures aimed at bringing down transportation costs.

According to Tinubu, the governors have independently resolved to take immediate steps to reduce transport fares in their respective states, with emphasis on the cost advantages offered by CNG and electric vehicles.

“I have also directed the additional rollout of another 500 CNG refuelling stations nationwide in addition to the 500 stations ordered earlier in the year by the Fund, bringing the programme to 1,000 stations across the country,” he said.

Tinubu said the Federal Government was already making significant investments in the transition to alternative energy, noting that more than 120,000 vehicles had been converted to CNG nationwide under the Presidential CNG Initiative.

He added that more than 100,000 additional conversion kits were currently in the works, while conversion centres and refuelling infrastructure were being expanded across the country.

The President further disclosed that the Federal Government, through the Midstream and Downstream Gas Infrastructure Fund, was financing more than 100 gas projects nationwide.

The projects include 15 CNG mother stations and 86 daughter stations, he said.

Tinubu noted that 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 1,000 cars and tricycles as well as 50 trucks and buses daily.

The President said the governors were now taking steps to bring the benefits of cheaper fuel to residents in their respective states.

He explained that vehicles powered by CNG could spend between 60 and 80 per cent less on fuel compared with petrol-powered vehicles.

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

“We have agreed that cheaper fuel should result in cheaper fares! Each tier of government must keep doing its part and work together for the benefit of every Nigerian. Nigeria First.”

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