Lagos Rolls Out CNG, Electric Buses, To Subsidise Transport Fare

Posted on October 3, 2026

The Lagos State Government has taken delivery of Compressed Natural Gas (CNG) and electric vehicle (EV) buses as part of efforts to expand the state’s public transportation fleet and promote cleaner mobility.

The buses were received on behalf of the state government on Thursday and handed over to operators under the Lagos Metropolitan Area Transport Authority (LAMATA) at the Bus Rapid Transit (BRT) Depot in the Ketu area of the state.

LAMATA received the CNG buses under the Presidential Initiative PI-CNG & EV.

The initiative is aimed at expanding cleaner, more efficient and affordable public transportation options for residents.

Speaking at the event, the Commissioner for Transportation, Oluwaseun Osiyemi, said the buses would help move more commuters with fewer vehicles while potentially reducing waiting times on supported routes.

He expressed appreciation to President Bola Tinubu for facilitating the deployment of CNG and electric buses to states across the country.

Osiyemi said the intervention was part of measures to reduce the cost of public transportation while promoting cleaner and more sustainable mobility.

According to him, “The intervention will translate to more accessible and affordable transportation, improved commuting experience, reduced reliance on conventional fuel and cleaner air for communities.”

He described the development as another practical step towards building a transportation system capable of serving residents more efficiently and sustainably.

Osiyemi also called for continued Federal Government support and increased private-sector investment in CNG infrastructure, fleet financing, maintenance, EV charging, ticketing and fleet management.

LAMATA Managing Director/CEO, Engr. Abimbola Akinajo, disclosed that Lagos currently has approximately 150 CNG buses, including 36 buses allocated to operators under LAMATA’s regulatory framework.

She said the additional 20 buses would further strengthen service capacity and connect more communities across the metropolis.

Akinajo said LAMATA will no longer accept new diesel buses from operators, and existing ones will be progressively replaced with CNG and EV buses.

She said the shift is helping the agency manage costs after diesel prices more than doubled this year, keeping fares from rising as sharply as they otherwise would.

The long-term goal is a fully electric regulated bus system.

Oando Plc has completed the test run of its electric buses with an initial 50 buses shipped and on their way out of 500 coming to Lagos.

Dana has also gave 30 CNG buses through LAMATA for public transport.

In total, over 2000 buses are being expected through the private sector under a PPP arrangement which has already been ratified by the Lagos House of Assembly.

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