Aimed at easing the burden of high transport costs and creating new job opportunities for Nigerias, the Presidential Compressed Natural Gas Initiative (PCNGI), has slashed fares by 40 percent for CNG-powered taxis operating from the Area One Motor Park in Abuja, while also announcing the empowerment of more than 2,000 Nigerian youths.
Addressing journalists at the park on today, the Programme Director and CEO of PCNGI, Engineer Michael Oluwagbemi—represented by David Idakwo, PCNGI’s Regional Manager for the North—said the initiative is part of a broader effort to reduce the economic strain caused by fuel subsidy removal.
He explained that the fare reduction, a result of collaboration with the National Union of Road Transport Workers (NURTW), reflects the growing shift toward affordable, eco-friendly alternatives.
“This initiative directly targets the pockets of the people,” Idakwo said, affirming “We have converted many of the taxis here to CNG and reached an agreement with the Union to reduce fares accordingly. Today, we begin enforcing that commitment.”
“Our agreement with NURTW ensures that the public enjoys lower transport costs,” he said, adding that “This is not just a subsidy alternative, it is a strategic solution that creates jobs and supports our local economy.”
The empowerment of more than 2,000 youths across the country under the initiative includes training in vehicle conversion, maintenance, and operation of CNG systems, boosting Nigeria’s skilled workforce.
Over 50 percent of vehicles at the park are now powered by compressed natural gas.
As a result, fares from Area One to major locations across the city have dropped significantly. A trip to Gwagwalada now costs N900, down from N1,500; Bwari and Dutse fares have also fallen to N900.
Passengers to Kuje will now pay N720 instead of N1,200, while a ride to Galadimawa has dropped from N500 to N300. Fares to Mpape and Zuba have been reduced to N600 and N900 respectively.
A joint PCNGI-NURTW task force has been established to enforce compliance, with converted vehicles clearly marked with fare tags.
Confirming this, NURTW Branch Secretary in Garki, Ibrahim Jibril, said over 75 percent of vehicles at the park now use CNG.
He added that the task force would ensure that only converted vehicles apply the new fare structure, and passengers will be able to easily identify them by labeled price tags.
The PCNGI is a flagship initiative under President Bola Ahmed Tinubu’s palliative response, designed to offer long-term relief and sustainable energy solutions to Nigerians.