CNG Initiative: Nigeria to Cut Transportation Cost by 40%

The Nigerian Government has announced a plan to increase compressed natural gas infrastructure and cut transportation fares by over 40 percent.

This initiative was formalised during a Memorandum of Understanding signing ceremony in Abuja on Friday, which brought together key stakeholders, including representatives from the National Union of Road Transport Workers from Itakpe, Adavi, and Ajaokuta train station units in Kogi State.

The Programme Director of the Presidential Compressed Natural Gas Initiative, Michael Oluwagbemi, emphasised the government’s commitment to affordable transportation amidst rising fuel prices.

“We are working hard to bring transportation prices down, especially during these challenging times. Mr President has introduced a great alternative to the petrol problem—compressed natural gas,” he stated.

He added that under the new plan, fares for eight-passenger vehicles would be reduced from N12,000 to N7,000, while fares for four-passenger vehicles would drop from N13,000 to N8,000 for trips from Abuja to Ajaokuta train station.

Oluwagbemi noted, “Specifically, the trip from Itakpe Station to Warri costs N5,000, showcasing the benefits of our infrastructure investments over the past five years.

“This represents a significant savings of over 40 per cent. Passengers travelling from Abuja to Ajaokuta Station will greatly benefit from Mr President’s intervention,” he added.

Punch/Hauwa Abu