Governors Plan Cheaper Transport Fares Through CNG Scheme
The Nigeria Governors’ Forum (NGF) has announced plans to reduce transportation fares nationwide through the proposed National Affordable CNG Transit Programme (NACTP).
The initiative, discussed at the governors’ meeting in Abuja on Wednesday, is expected to leverage the lower operating costs of compressed natural gas (CNG) to make public transportation more affordable for Nigerians.
According to a communiqué signed by the NGF Chairman and Kwara State Governor, AbdulRahman AbdulRazaq, participating states would support the conversion of vehicles to CNG, provide transport fleets and facilitate the development of the necessary infrastructure.
In return, transport operators participating in the programme would be required to reduce passenger fares.
The governors, however, did not announce a commencement date, saying further work was required to finalise the programme’s financing and implementation framework.
Speaking with journalists after the meeting, Bayelsa State Governor Douye Diri said the initiative was part of the governors’ efforts to cushion the impact of high transportation costs following the removal of the petrol subsidy.
Diri explained that lowering transport costs could have a wider impact on the economy because transportation constitutes a significant portion of the cost of moving food, goods and other commodities.
“Transportation is key,” the governor said, stressing that the cost of moving goods from one location to another is eventually reflected in the prices paid by consumers.
He said adopting CNG could reduce the operating expenses of commercial transport operators because gas is cheaper than petrol, potentially leading to lower fares for passengers.
Diri said the objective was to develop practical measures to ease the economic burden on Nigerians rather than return to the former subsidy regime, which he said placed considerable pressure on government finances.
“The impact is expected to be on our people—the very common man that we all talk about,” he said.
The governor also dismissed claims that state governments had failed to account for funds accruing to them following the removal of the petrol subsidy, saying the allegation was untrue.
Meanwhile, the NGF received a presentation from the Minister of Industry, Trade and Investment, Jumoke Oduwole, on opportunities for states to participate in CANEX Weekend 2026 and the Intra-African Trade Fair 2027, both scheduled to hold in Lagos.
