Subsidy or no Subsidy? Tinubu promises cheaper transport from Oct

President Bola Ahmed Tinubu has announced that state governors have agreed to take immediate steps to reduce transportation costs in their respective states by adopting cheaper fuel options such as Compressed Natural Gas (CNG) and electric vehicles. The plan aims to bring lower transport fares starting from October 1. This announcement comes following the ongoing debate about the petrol subsidy between Tinubu's presidential candidate Atiku Abubakar and the ruling party.

Atiku has proposed a redesigned subsidy that would support domestic production and reduce the cost of fuel for Nigerians. However, the Presidency has criticized Atiku's proposal, calling it an example of "serious ignorance of governance and economy." Tinubu expressed satisfaction with the governors' initiative to address the issue and stated that the federal and state governments are investing in the energy transition, with over 120,000 vehicles converted to CNG and more gas projects under development.

He also directed the additional rollout of 500 CNG refuelling stations nationwide. In response, Atiku accused Tinubu of panic-driven actions, stating that the announcement is not a policy innovation but a confession of failure. Atiku urged Nigerians not to be distracted by the proposed committees and October promises, emphasizing that the government's focus should be on addressing the immediate economic challenges faced by citizens.