The Lagos governor, Babajide Sanwo-Olu has approved a N100 increase in fares of the Bus Rapid Transit (BRT) on all routes.
The increase, according to a statement on Wednesday signed by the spokesperson for Lagos State Metropolitan Area Transport Authority (LAMATA), Kolawole Ojelabi, is to sustain their operations across the state.
The increase takes effect from July 13.
With the latest development, a ride from Ikorodu to TBS will now cost N600 from N500, while Berger to Ajah will now cost N700, from N600.
Oshodi to Abule Egba will cost N450 from N350 and Abule-Egba-CMS-Obalende will attract a fare of N600.
Why we increased BRT fares
The agency explained that the economic realities haven’t been favourable to their operations.
“Operations of the transport scheme, of late, had been hampered due to rising cost of inputs required for sustainable service offering and the attendant high number of buses out of operation as a result of lack of spare parts,” the transport agency explained.
“For instance, the exponential increase in the pump price of diesel from N187 to N830/litre between August 2020 and June 2022, had greatly affected the optimal performance of the bus operating companies leading to the withdrawal of buses from operation and longer waiting time at bus stations.”
According to the statement, Mr Sanwo-Olu also “approved a proposal for a bailout for the bus operating companies to cushion the effect of the harsh operating environment and safeguard private partnership investment and forestall the demise of formalised bus operations in the state.
“Because of the economic situation, the government is also providing support for the Bus Operating Companies given the continuous increase in fuel price.
“This is to ensure that the increase to the passenger is kept to a minimum. The fare increase notwithstanding, the government noted that whatever support this would provide to the operators, it would still not cover the cost of fueling, thus likely to put the continued survival of the bus operations on a tight rein.”
The governor approved the transport agency’s request to convert “the current diesel buses in operation to the use of compressed natural gas (CNG).”
In 2020, due to the negative impact of the COVID-19 pandemic, the state government announced an upward review of the BRT fares. (Premium Times)