Transport Fare in Nigeria Increases above N40% in 12 Months


CEM REPORT | Transport Fare has increased significantly across all forms over the last 12 months following spike in price of fuel and coupled with access difficulty experienced in the past months especially by both air and road transport operators across the country.

While hike in Jet-A1 price and the scarcity of the product dealt a great deal on air transport, fuel (diesel and pms) and the general inflationary pressure in country escalated cost of vehicle operations and maintenance which has been passed to passengers in the form of increased fare.

For instance, commuting in Lagos has become more expensive as transport workers has added to route fares. Bus fare from Iyana-Ipaja to Oshodi that seldom rise to 200 in the time past is now steady at N300 and sometimes increase to N400 or N500 at peak periods.

Transport Fare Watch for May 2022 released recently by the Nigerian Bureau of Statistics, shows that the average fare paid by air passengers for specified routes single journey, increased by 0.73% on a month-on-month basis from N55,501.49 in April 2022 to N55,906.86 in May 2022. On a year-on-year basis, the fare rose by 52.95% from N36,552.70 in May 2021.

Also, the average fare paid by commuters for bus journey intercity per drop rose to N3,668.64 in May 2022, indicating an increase of 3.13% on a month-on-month basis compared to the value of N3,557.15 in April 2022. The fare, however, rose by 47.30% from N2,490.60 in May 2021.

While the average fare paid by commuters for bus journey within the city per drop increased by 2.00% on a month-on-month basis from N570.64 in April 2022 to N582.06, it rose by 45.86% from N399.06 in on year-on-year basis.

In another category, the average fare paid by commuters for journey by motorcycle per drop declined by 2.21% on a month-on-month basis from N426.84 in April 2022 to N417.39 in May 2022. This was a 47.66% rise from N282.67 in May 2021 on a year-on-year basis.

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Furthermore, the average fare paid for water transport (waterway passenger transportation) in May 2022 dropped to N941.63 from N951.93 in April 2022, showing a decline of 1.08% on a month-on-month basis. On a year-on-year basis, the fare rose by 13.68% from N828.35 in May 2021.

At the state level, Taraba recorded the highest air transport fare (for specified routes single journey) in May 2022 with N67,500.00, followed by Kogi, Yobe and Kebbi with N65,000.00 each. Conversely, seven states recorded the least with N50,000.00 (Borno, Gombe, Abuja, Kano Sokoto, Edo and Rivers).

For intercity bus travel (state route charged per person fare) in May 2022, the highest fare was recorded in Abuja with N5,540.00, followed by Adamawa with N5,200.00, while the least fare was recorded in Kwara with N1,655.56, followed by Zamfara with N2,054.55.

In terms of bus journey within the city (per drop constant route), Zamfara recorded the highest with N822.00, followed by Taraba with N750.00. On the other hand, Kogi recorded the least fare with N450.00, followed by Rivers and Lagos with N455.88 each.

In May 2022, Kwara state had the highest motorcycle transport fare with N693.75, followed by Lagos with N662.50. The least was recorded in Edo with N163.64, followed by Bayelsa with N175.00.

For water transport fare during the period under review, it was highest in Delta with N3,150.00, followed by Rivers with N2,985.71, while the least was recorded in Borno with N325.26, followed by Kebbi and Gombe with N400.00 each.

The distribution of transport fare categories by zones showed that the North-East recorded the highest fare of air transport in May 2022 with N57,916.67, followed by the NorthCentral with N56,125.91, while the South-South had the least with N54,211.05.

In terms of bus journey intercity, the South-West had the highest fare with N3,898.55, followed by the North-East with N3,754.39, while the North-West recorded the least with N3,517.65. In May 2022, transport fares of bus journey within the city recorded the highest in the NorthEast with N634.19, followed by the North-West with N606.83, while the South-West recorded the least with N544.31.

Also, commuters on motorcycles (Okada) paid the highest fare in the North-Central with N475.83, followed by the South-West with N470.68, while the North -West recorded the least with N310.55. The South-South had the highest charge paid on water transport with N2,190.21, followed by the South-West with N815.08, while the North -East recorded the least with N594.79.

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