FG Slashes Inter-state Fares, Labour Knocks Government Over 50% Transport Subsidy

The Federal Government on Wednesday announced a 50 percent reduction in transportation costs along 22 interstate routes during the Yuletide season.

The Minister of Solid Minerals Development, Mr Dele Alake, who chairs the Inter-Ministerial Committee on Presidential Intervention, disclosed this when he briefed State House correspondents at the Aso Rock Villa, Abuja.

Also, the spokesperson for the National Union of Road Transport Workers, NURTW, Segun Falade, said the union would commence the implementation of the fare subsidy today.

Giving further explanation, Alake said the 50 per cent reduction in the fares was arrived at in conjunction with companies operating luxury buses.

He added that President Bola Tinubu had directed that commuters on all train services would get free rides from today till January 4, 2024.

But the Nigeria Labour Congress, NLC and Trade Union Congress, TUC faulted the initiative, describing the Federal Government as confused.

The Nigeria Union of Teachers, however, lauded the package as a welcome development.

Alake explained that the President okayed the directives in the spirit of the season given the economic realities facing Nigerians.

He added that from today, Nigerians wishing to embark on inter-state travel to any part of the country—Abuja, Lagos, Kano, Kaduna, Enugu, Port Harcourt, Owerri, Ibadan, Akure, Maiduguri, Sokoto, and other major inter-state transportation—hubs will be able to do so at half the cost.

He assured Nigerians that there would be no price hikes at the expense of the passengers because the costs had been determined during the negotiations.

However, Alake declined to mention the total amount of rebate the government would give for the project, arguing that cost counts little given the priority of the intervention.

The NURTW spokesperson, Falade, confirmed that the union had resolved to commence the price slash from today, following the directive by the Presidency.

He said the decision came after deliberations by the executive members of the NURTW on modalities for the smooth operation of the directive.

50 per cent discount to the union.

But the organised labour comprising the NLC and the TUC expressed disappointment with development, labelling it as “a show of confusion” on the part of those in government.