Nigeria targets lower transport fares with CNG rollout

President Bola Tinubu announced on Thursday, August 27, 2026, that the federal government and state governors have agreed to implement measures to reduce transportation fares nationwide starting October 1, 2026. The initiative centers on leveraging cheaper Compressed Natural Gas and electric vehicles to lower costs, particularly for intrastate travel.

Following a meeting with the Nigeria Governors Forum, President Tinubu stated that the governors resolved on their own initiative to take immediate steps to bring down transportation costs in their states. A joint federal-state committee will be established immediately to implement the measures. "We have agreed that cheaper fuel should result in cheaper fares," Tinubu said in a statement.

The president outlined significant federal investment in the energy transition through the Presidential CNG Initiative. Over 120,000 vehicles have been converted to CNG nationwide, with more than 100,000 additional conversion kits being processed. The government is also expanding conversion centers and refueling infrastructure. The Midstream and Downstream Gas Infrastructure Fund is financing over 100 gas projects, including 15 CNG mother stations...