The Nigeria Governors' Forum (NGF) has proposed a national compressed natural gas (CNG) transit programme aimed at reducing public transportation costs across the country, following the removal of the petrol subsidy. The initiative, named the National Affordable CNG Transit Programme (NACTP), was announced in a communiqué issued after the NGF's meeting on Wednesday in Abuja, as reported by TheCable. The document was signed by Kwara Governor AbdulRahman AbdulRazaq, who chairs the forum.
Proposed Programme Details
Under the proposed arrangement, state governments would support the conversion of commercial vehicles to CNG, provide fleets, and help develop the necessary fuelling infrastructure. In return, transport operators who join the programme would be expected to reduce passenger fares. The governors did not provide a start date for the initiative, acknowledging that more work remains on financing and the implementation framework.
Governors' Rationale for CNG Adoption
Bayelsa Governor Douye Diri, speaking to journalists after the meeting, said the initiative is the NGF's direct response to the rising cost of transportation following subsidy removal. According to The Nation, Diri argued that bringing down transport costs would have a ripple effect on the broader economy, since moving food and other commodities makes up a large portion of what consumers eventually pay.
"Transportation is key," Diri said, adding that the cost of moving goods between locations feeds directly into consumer prices. He said adopting CNG could produce a "multiplier effect" across several sectors, given that gas is cheaper than petrol as a fuel for commercial vehicles. The governor stressed that the focus remains on practical steps to cushion the impact of subsidy removal on ordinary citizens rather than revisiting a subsidy model that previously placed heavy pressure on government finances.
"The impact is expected to be on our people — the very common man that we all talk about," he said. Diri also pushed back against suggestions that state governments had not properly accounted for funds received following the petrol subsidy removal. "That cannot be true. But we will leave that debate for another day," he said.
Trade and Investment on the Agenda
Separately, the forum received a presentation from Jumoke Oduwole, Minister of Industry, Trade and Investment, on how states could participate in CANEX Weekend 2026 and the Intra-African Trade Fair (IATF) 2027, both scheduled to hold in Lagos.
Reactions to Fuel Subsidy Restoration Plans
Meanwhile, Legit.ng reported that former Kaduna Central Senator Shehu Sani spoke at a press conference in Abuja to reject Atiku Abubakar's plan to restore fuel subsidy. Sani argued Nigeria spent between N3 trillion and N4 trillion on subsidies, calling the policy economically unsustainable for an oil-producing nation. The former senator also weighed in on the 2027 presidential race, declaring his support for a southern presidential candidate.
