FG rolls out 500 new CNG stations nationwide to cut transport costs
President Bola Tinubu has ordered the rollout of 500 additional Compressed Natural Gas (CNG) refuelling stations across Nigeria, bringing the planned total under the federal programme to 1,000 stations nationwide. The directive, announced after a meeting with the Nigeria Governors' Forum, aims to lower transportation costs following the removal of the petrol subsidy. Tinubu said more than 120,000 vehicles have already been converted to CNG, with over 100,000 additional conversion kits being processed, and the government is expanding conversion centres and refuelling infrastructure to support this growth. The Midstream and Downstream Gas Infrastructure Fund is financing more than 100 gas projects, including 15 mother stations and 86 daughter stations; four of these were commissioned in May in Lagos, Abuja and Owerri, notably a 15-station CNG network in Lagos and an Abuja facility capable of serving up to 1,000 cars and tricycles and 50 trucks and buses daily. The president noted that CNG-powered vehicles can save between 60 and 80 percent on fuel costs compared with petrol vehicles, and he expects these savings to translate into lower transport fares starting October 1. A joint federal-state committee will work to ensure the cost reductions are passed on to commuters. Will transport operators actually reduce fares in line with the fuel savings, or will commuters continue to bear high costs despite the cheaper CNG option?