FG pushes for 30% fare reduction at Abuja airport with CNG transition

The Federal Government, through the Presidential Compressed Natural Gas Initiative (P-CNGI), has signed an agreement with taxi operators at Nnamdi Azikiwe International Airport, Abuja.

The deal will lead to the conversion of 800 vehicles from petrol to compressed natural gas (CNG) to reduce shuttle fares by 30 per cent.

Programme Director and Chief Executive of P-CNGI, Michael Oluwagbemi, said at the agreement signing in Abuja that the conversion aligned with the current administration’s commitment to transitioning one million commercial vehicles to CNG.

Oluwagbemi, who was represented by Programme Execution Coordinator, Folarin Oworo, explained that the airport taxi operators managed a fleet of 800 vehicles and that the 30 per cent fare discount would take effect once 50 per cent of the fleet is converted.

“The airport taxi operators have about 800 fleet of vehicles and we have agreed that once we hit 50 per cent conversion, which is about 400 vehicles, a 30 per cent discount will be implemented immediately.

“There are various prices based on the distance one is travelling, so the 30 per cent will be applied accordingly based on the current prices for the areas one is going,” he said.

He added that a rate card with fare discounts would be made available to all passengers based on destination. To ensure compliance, he said, there would be regular monitoring.

Oluwagbemi emphasized that P-CNGI has partnered with accredited conversion centres to facilitate the transition to CNG in Abuja.

He noted that when the programme was launched a year ago, only one CNG refilling station was operational in the capital, but that the number has increased to seven. More stations are in development as the Nigerian Midstream and Downstream Petroleum Regulatory Authority (NMDPRA) continues processing approvals to expand capacity, he said.

He also addressed safety concerns, explaining that explosions are only possible with illegal installations where substandard cylinders are used.

To improve efficiency, Oluwagbemi said the programme has provided 65- and 75-litre cylinders to reduce refilling times while plans are also underway to introduce different sizes and shapes to accommodate various vehicles and cargo requirements.

Airport Taxi Operators spokesman, Aliyu Abdulaziz-Aliyu, commended the initiative and thanked the Federal Government for offering the conversion service free of charge.