President Bola Ahmed Tinubu has announced a coordinated framework between the Federal Government and the Nigeria Governors’ Forum (NGF) aimed at driving down public transport costs across the country.
Following a high-level meeting in Abuja on Wednesday, August 26, 2026, the administration outlined a series of structural energy investments designed to pass fuel savings directly to commuters.
Key Highlights of the Initiative:
- October 1 Target Date: The Federal Government and State Governors have set October 1 as the target date for citizens to begin benefiting from lower transport fares.
- Joint Committee Formed: A combined Federal and State committee has been established to oversee the immediate implementation of transport cost-reduction measures.
- Expansion of Refuelling Infrastructure: President Tinubu ordered the deployment of 500 additional CNG refuelling stations, bringing the total national target to 1,000 stations nationwide.
- Vehicle Conversion Progress: Through the Presidential CNG Initiative, over 120,000 vehicles have been converted to compressed natural gas nationwide, with an additional 100,000 conversion kits currently in production.
- Major Infrastructure Projects: Financing via the Midstream and Downstream Gas Infrastructure Fund supports over 100 gas projects across Nigeria, including 15 CNG mother stations and 86 daughter stations.
The Core Economic Rationale
“A vehicle running on CNG spends 60 to 80 per cent less on fuel than one running on petrol. From October 1, our goal is that Nigerians begin to partake in those savings through lower transport fares. We have agreed that cheaper fuel should result in cheaper fares!”
— President Bola Ahmed Tinubu
Advertisement
State-Level Implementation Strategy
Because intra-state transportation falls within state jurisdiction, governors agreed under the proposed National Affordable CNG Transit Programme (NACTP) to:
- Facilitate local conversion of commercial vehicle fleets.
- Accelerate local fuelling infrastructure build-outs.
- Secure formal fare-reduction commitments from participating commercial transport operators.
Discover more from Ayobami Blog
Subscribe to get the latest posts sent to your email.
