P-CNGI Enforces 40% Fare Slash on CNG Vehicles in Bold Move to Cushion Transport Costs

In a landmark implementation of the Presidential Compressed Natural Gas Initiative (P-CNGI), the Federal Government on Friday began enforcing a 40% reduction in public transport fares on CNG-converted commercial vehicles, signalling the administration’s most assertive step yet to provide cost relief for Nigerians grappling with the impact of petrol subsidy removal.

The move, launched in partnership with the National Union of Road Transport Workers (NURTW) at Abuja’s Area 1 Park in Garki, marks a critical stage in President Bola Tinubu’s ambitious energy transition and cost-of-living mitigation agenda. The P-CNGI is the flagship programme under the Presidential Initiative on CNG (Pi-CNG), designed to reduce Nigeria’s dependence on petrol by converting commercial vehicles to run on domestically abundant and cheaper natural gas.

From Policy to Practice: Enforcing Real-World Impact

P-CNGI CEO and Programme Director, Mr. Michael Oluwagbemi — represented at the launch by Mr. David Idakwo, the Regional Coordinator (North) — said the fare reduction reflects Tinubu’s commitment to affordable transportation, energy transition, and economic relief for citizens.

“This isn’t just policy rhetoric. Today, we demonstrate how CNG is translating into real savings for commuters. We have worked hand-in-hand with the NURTW to ensure that the fare relief is immediate and verifiable,” he said.

Routes affected by the reduction include:

• Area 1 to Gwagwalada: reduced from ₦1,500 to ₦900
  
• Area 1 to Bwari/Dutse: ₦1,500 → ₦900
  
• Area 1 to Kuje: ₦1,200 → ₦720
  
• Area 1 to Nyanya: ₦700 → ₦420
  
• Area 1 to Wuse: ₦400 → ₦240
  
• And others across Abuja’s satellite and urban corridors.
  

P-CNGI officials noted that vehicles eligible for the reduced fares will carry visible P-CNGI stickers to assure passengers and allow for public monitoring.

How It Works: Gas as a Game-Changer

The enforcement signals Nigeria’s deeper pivot from petrol dependency to Compressed Natural Gas (CNG) — an abundant, cleaner, and significantly cheaper fuel source. The switch not only promises cost savings of over 40% on operating expenses for transporters, but also aligns with global calls for greener, more sustainable energy practices.

With over 50% of NURTW’s Abuja fleet already converted, and conversion continuing daily, the P-CNGI believes this is just the first wave of fare reductions. Importantly, airport shuttles, which have seen 70% conversion, are next in line for enforced reductions.

Industry analysts have long highlighted the promise of natural gas as a transitional fuel for Africa’s energy evolution. But up until now, real execution has lagged. This fare enforcement is being hailed as a watershed moment.

Crucial Oversight: Taskforces, Mystery Shoppers and Sanctions

To ensure compliance, the P-CNGI has deployed a joint taskforce of NURTW officials and government operatives, while mystery shoppers are boarding buses to monitor fare enforcement. Non-compliant drivers will be sanctioned.

Commuters are encouraged to report anomalies via P-CNGI’s hotline (07000000264) or email ([email protected]), in a bid to entrench transparency and citizen participation in the subsidy regime.

A Calculated Policy Shift with High Economic Stakes

The fare reduction underscores Tinubu’s larger economic balancing act — following the removal of fuel subsidies and floating of the naira, both of which sparked inflation and public frustration. The CNG intervention is aimed at restoring public goodwill while charting a new direction for Nigeria’s energy landscape.

While significant logistical and infrastructure challenges remain — including limited CNG refuelling stations and the need for private sector investment — this fare implementation demonstrates that the government is ready to move from promise to performance.

As more vehicles are converted and filling stations retrofitted across the federation, observers expect ripple effects on transport cost indices, household inflation, and carbon emissions. However, for the initiative to achieve scale and sustainability, inter-agency synergy, private capital inflow, and mass education of drivers and commuters will be critical.

Bottom Line

The 40% fare reduction represents a bold, tangible win for a government under pressure to deliver on its “renewed hope” mantra. It also places the Presidential CNG Initiative at the centre of a larger narrative — where energy innovation meets economic intervention.

For Nigerians who commute daily and transporters seeking lower costs, this could be the first visible dividend of Tinubu’s energy reforms. But how far and how fast the momentum travels beyond Abuja will determine the true success of the P-CNG revolution.