Michael Oluwagbemi, CEO of the Presidential Compressed Natural Gas Initiative (PCNGI), revealed a 40% reduction in transport fares for commuters using CNG-powered taxis at Area One Motor Park in Garki, Abuja.
The announcement was made during a press briefing at the park on Friday, following the conversion of over half the park’s vehicles to CNG.
Represented by David Idako, the regional CNG coordinator for the North, Oluwagbemi explained that the fare reduction, effective immediately, aims to alleviate the financial strain caused by the removal of fuel subsidies.
The initiative, developed in partnership with the National Union of Road Transport Workers (NURTW), also seeks to encourage the use of CNG as a more affordable and eco-friendly alternative to petrol.
Idako stated, “We’ve collaborated with NURTW to convert many of their vehicles to CNG. As part of our agreement, they’ve committed to lowering fares to ease the burden of fuel subsidy removal on Nigerians. Today, we’re enforcing this price reduction at Area One, where over 50% of vehicles are now CNG-powered. We’re also expanding CNG availability nationwide.”
The new fares, ranging from N240 to N900 depending on the route, include:
Area One to Gwagwalada: reduced from N1,500 to N900
Area One to Bwari Dutse: reduced from N1,500 to N900
Area One to Kuje: reduced from N1,200 to N720
Area One to Galadimawa: reduced from N500 to N300
Area One to Mpape: reduced from N1,000 to N600
Area One to Zuba: reduced from N1,500 to N900
Area One to Lugbe: reduced from N700 to N420
Area One to Jabi: reduced from N720 to N420
Area One to Wuse: reduced from N420 to N240
Area One to Nyanya: reduced from N700 to N420
Area One to Kabusa: reduced from N800 to N480
Area One to Apo: reduced from N500 to N300
A task force comprising PCNGI and NURTW members will monitor adherence to the new fares to ensure compliance. Vehicles display CNG stickers and updated fare information, and passengers are encouraged to report non-compliant drivers.
Ibrahim Jibril, NURTW Garki Branch Secretary, endorsed the initiative, noting that CNG costs significantly less than petrol—N4,500 versus N20,000 for equivalent usage, saving drivers up to 75%.
He praised the President’s efforts to reduce transport costs and confirmed the union’s task force will enforce the fare reductions.
Tosin Coker, PCNGI’s commercial coordinator, assured that efforts are underway to expand CNG availability. Two new stations, complementing the existing 10 stations, are set to open in Abuja next month.
The fare reduction program will extend to Area 3 and other motor parks in Abuja, with plans for nationwide implementation.
WHAT YOU SHOULD KNOW
The 40% fare reduction for CNG-powered taxis in Abuja is a strategic intervention that addresses immediate economic hardship while laying the groundwork for a cleaner, more sustainable transport system.
By leveraging Nigeria’s natural gas resources, the PCNGI reduces transport costs, mitigates the impact of fuel subsidy removal, and promotes environmental benefits.
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