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Tinubu orders rollout of 500 more CNG stations, targets cheaper transport fares

President says nationwide expansion will bring total planned stations to 1,000 as FG and states move to reduce transport costs from October…

President Bola Tinubu has ordered the rollout of an additional 500 compressed natural gas refuelling stations across Nigeria as part of efforts to reduce transportation costs.

Tinubu announced the directive in a statement he personally signed on Thursday, following discussions with members of the Nigeria Governors’ Forum on measures to make transportation more affordable.

The President said he was encouraged by the governors’ decision to pursue measures aimed at reducing transport fares, with a focus on the cost savings offered by CNG and electric vehicles.

According to Tinubu, the Federal Government is currently financing more than 100 gas projects nationwide, including 15 CNG mother stations and 86 daughter stations.

He said the additional 500 stations would be established on top of the 500 stations earlier ordered by the relevant government fund, bringing the total number of planned CNG refuelling stations to 1,000 across the country.

“I have also directed the additional rollout of another 500 CNG refuelling stations nationwide in addition to the 500 stations ordered earlier in the year by the Fund, bringing the programme to 1,000 stations across the country,” Tinubu said.

The President said the initiative would focus particularly on intra-state transportation, where Nigerians directly experience the impact of rising transport costs.

“Intra-state transport is where Nigerians feel the cost most directly, and it is where the states hold the levers,” he said.

Tinubu said the Federal and state governments had agreed to establish a joint committee to begin implementing measures aimed at reducing transport fares.

He said vehicles powered by CNG could save between 60 and 80 per cent in fuel costs compared with petrol-powered vehicles.

“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!”

The President urged all levels of government to work together to ensure that the benefits of lower energy costs translate into reduced transportation expenses for Nigerians.

The announcement follows a communiqué issued by the Nigeria Governors’ Forum after its meeting in Abuja on Wednesday.

The governors said they were considering measures to reduce transportation fares nationwide under the proposed National Affordable CNG Transit Programme.

According to the forum, the initiative would leverage the lower operating costs of CNG-powered vehicles to provide more affordable public transportation.

Tinubu had, in August 2023, approved the establishment of the Presidential Compressed Natural Gas Initiative as part of efforts to cushion the impact of petrol subsidy removal and reduce energy costs for Nigerians.

The latest expansion of the CNG infrastructure is expected to increase access to cheaper automotive fuel and support the government’s broader plan to transition more vehicles from petrol to gas-powered alternatives.

Opeyemi Owoseni

Opeyemi Oluwatoni Owoseni is a broadcast journalist and business reporter at TV360 Nigeria, where she presents news bulletins, produces and hosts the Money Matters program, and reports on the economy, business, and government policy. With a strong background in TV and radio production, news writing, and digital content creation, she is passionate about delivering impactful stories that inform and engage the public.

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