Several Nigerian states are expanding compressed natural gas (CNG) transport services as the Federal Government pushes for lower CNG transport fares and cheaper commuting costs across the country. The move is part of the National Affordable CNG Transit Programme, with the government targeting measurable reductions in transportation costs for more Nigerians from October 1, 2026.
President Bola Tinubu said the Federal Government and the 36 state governors agreed on the October 1 target during their August 27 meeting, after which an implementation committee was established under the Nigeria Governors’ Forum to coordinate the programme with states and other stakeholders.
States Expand CNG Transport Services
Several states are already using CNG buses and electric vehicles to provide cheaper transportation, although the scale and structure of the programmes differ from one location to another. The Presidency says more than 120,000 vehicles have been converted to CNG over the past three years, while Nigeria now has more than 400 certified conversion centres and over 90 CNG refuelling stations.
In Oyo State, CNG buses deployed to Pacesetter Transport initially reduced the Lagos-Ibadan fare from about ₦8,000 to ₦3,200, according to the President. In Enugu, the deployment of 100 CNG buses reportedly reduced the Enugu-Nsukka fare from ₦2,500 to ₦1,500, while alternative-energy transport services in Adamawa have reduced some fares from ₦8,000 to ₦4,000.
The Federal Government has also highlighted developments in Borno, Kaduna, Plateau, Niger and Abia, where CNG or electric-powered transport services are being used to provide cheaper journeys for commuters. In Borno, government-supported services reportedly charge between ₦50 and ₦100 on routes where commercial operators charge between ₦300 and ₦600. Kaduna has also operated CNG-powered buses that provide free transportation on major routes.
CNG Transport Fares Fall on Some Abuja Routes
The Federal Capital Territory is also part of the CNG transport expansion, with CNG-converted commercial vehicles operating on several Abuja routes through a partnership involving the National Union of Road Transport Workers.
The Presidency said the programme has reduced fares on some routes by about 40 per cent. The Area 1-Gwagwalada fare, for instance, reportedly fell from ₦1,500 to ₦900, while the Nyanya fare dropped from ₦700 to ₦420. On the Wuse route, the fare reportedly declined from ₦400 to ₦240.
The reported reductions have increased attention on whether the wider CNG programme can deliver similar savings to commuters in other parts of the country. For many passengers, the important issue is not simply the availability of CNG vehicles but whether lower fuel costs eventually translate into lower fares.
However, the rollout still faces challenges. Transport operators in some states have raised concerns about inadequate refuelling infrastructure, expensive vehicle conversion and long queues at existing CNG stations. These issues could affect how quickly operators can expand their fleets and how widely cheaper transport services become available.
The Federal Government has continued to emphasise the need for states to work with transport unions, commercial operators and other stakeholders to expand conversion and fleet deployment. It has also backed the development of additional CNG infrastructure as part of the wider effort to reduce dependence on petrol and cushion transportation costs.
With October 1 approaching, attention is now shifting to how effectively the states can expand their CNG programmes and pass the savings from cheaper energy on to commuters. The success of the initiative will depend not only on the number of vehicles converted but also on the availability of refuelling stations, affordable operations and effective coordination with transport operators.
For commuters facing high transportation costs, the expansion of CNG transport fares remains closely linked to the broader question of whether cheaper energy can produce sustained reductions in the fares they pay every day.
Beyond the immediate reduction in fares, the CNG programme is also expected to influence how transport operators manage their businesses in the long term, particularly as the cost of petrol continues to affect daily operations. Lower fuel expenses could give operators more room to maintain vehicles, increase the number of trips and serve routes that have become difficult to operate profitably. However, commuters will only feel the full benefit if operators maintain the reduced fares and states continue to monitor implementation. The availability of reliable CNG stations will also remain important because shortages or long waiting times could increase operating costs and limit the number of vehicles serving passengers.
