President Bola Ahmed Tinubu and state governors have agreed to take immediate measures aimed at reducing transportation costs across Nigeria, with the new fares expected to take effect from October 1.
The agreement was reached as part of efforts by the Federal Government and state governments to ease the economic burden on Nigerians, particularly the high cost of transportation.
The initiative will focus on expanding the use of cheaper energy sources, especially Compressed Natural Gas (CNG) and electric vehicles, to lower the operating costs of commercial transportation.
President Tinubu disclosed that more than 120,000 vehicles have already been converted to CNG, while over 100,000 additional conversion kits are currently being processed.
He said the Federal Government is also expanding CNG conversion centres and refuelling stations across the country, with plans to increase the number of CNG stations nationwide to 1,000.
According to the President, vehicles powered by CNG can achieve fuel savings of between 60 and 80 per cent compared with petrol powered vehicles, creating room for transport operators to reduce fares.
Tinubu said a joint Federal and State committee would commence implementation of the measures immediately to ensure that the benefits of cheaper energy are reflected in transportation costs.
“We have agreed that cheaper fuel should result in cheaper fares,” the President said.
He stressed the need for all levels of government to work together to reduce the burden of transportation costs on Nigerians.
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