President Bola Tinubu has ruled out any return to Nigeria’s former petrol subsidy regime, saying the country must instead accelerate the development and adoption of cheaper energy alternatives, particularly Compressed Natural Gas (CNG).
The President made the position known on Saturday, September 19, 2026, while providing an update on the National Affordable CNG Transit Programme.
According to Tinubu, the Federal Government and the 36 state governments agreed during a meeting on August 27 that Nigerians should begin to experience measurable reductions in transportation costs from October 1.
He subsequently directed states to intensify their preparations and ensure that savings from cheaper energy are reflected in the fares paid by commuters.
The Presidency said an implementation committee for the National Affordable CNG Transit Programme had been established under the auspices of the Nigeria Governors’ Forum, with Kwara State Governor AbdulRahman AbdulRazaq as chairman.
Tinubu rejects return to subsidy
Tinubu said current global energy pressures should not push Nigeria back to petrol subsidies, arguing that the country should make greater use of its domestic gas resources.
He said the Federal Government had spent the past three years developing a CNG transportation ecosystem and that more than 120,000 vehicles had already been converted to CNG.
The President also said Nigeria now has more than 400 certified conversion centres and over 90 CNG refuelling stations, with the numbers continuing to increase.
“Nigeria has the gas. We are building the infrastructure. We are already seeing the savings,” Tinubu said, urging states to move faster so that more Nigerians can benefit from lower transport fares.
States asked to translate savings into lower fares
The President called on state governments to work with transport unions and commercial operators, support vehicle conversions and fleet deployment, and provide the infrastructure required for alternative-energy transportation.
He stressed that the objective was not simply to increase the number of CNG vehicles but to ensure that the lower energy costs ultimately benefit commuters through reduced fares.
The Presidency cited several examples of fare reductions already being recorded.
In Adamawa, alternative-energy transit services have reportedly reduced fares by as much as 50 per cent, while Enugu’s Enugu-Nsukka route has seen its fare reduced from ₦2,500 to ₦1,500 following the deployment of CNG buses.
In Abuja, passengers on some CNG-supported routes have also reportedly benefited from fare reductions, including the Area 1-Gwagwalada route, where the stated fare fell from ₦1,500 to ₦900.
Akwa Ibom gets 50 CNG buses
The development also has implications for Akwa Ibom, where the President said the state had taken delivery of 50 CNG buses ahead of the commencement of commercial operations.
Tinubu also cited developments in Edo, Kano, Delta, Kwara and Lagos, saying states were expanding CNG-supported transportation services.
Edo, according to the President, already has 50 CNG buses in active service, while Kano has converted more than 1,000 commercial vehicles.
For Akwa Ibom commuters, however, the immediate question will be when the 50 buses will commence commercial operations and what impact they will have on fares once deployed.
October 1 target
The October 1 target now places pressure on state governments and transport operators to demonstrate how the CNG programme will translate into tangible savings for commuters.
The Federal Government says it will continue supporting CNG infrastructure, vehicle-conversion capacity and greater participation by states, transport operators, manufacturers and private investors.
Tinubu’s latest position therefore signals that the administration intends to respond to rising transportation costs through alternative energy and targeted transport interventions rather than a return to petrol subsidies.
Whether the October 1 target produces broad-based fare reductions will depend largely on the readiness of individual states, the availability of CNG infrastructure, the participation of commercial transport operators and how much of the resulting energy savings is ultimately passed on to passengers.
