Hardship: Lagos Govt Subsidises Public Transport Fares With N14.9bn

As part of measures to cushion the effects of the current economic hardship in the country, the Lagos State government on Tuesday revealed that it has subsidised the public transport fare with N14.9bn to ease commuters’ burden.

This was disclosed by the state’s Commissioner for Transportation, Mr. Oluwaseun Osiyemi, during the 2025 ministerial briefing to mark the second year of the second term of the State Governor, Mr Babajide Sanwo-Olu, led administration in office held at the state government Secretariat located in Alausa, Ikeja area of the state.

Flanked at the briefing by the state’s  Commissioner for Information and Strategy, Gbenga Omotoso, Special Advisers to the Governor on Transportation and Media and Publicity, Gboyega Akosile, among others, Osiyemi said the State Government established the Lagos Bus Service Limited (LBSL) to save commuters’ time and money and enhance socioeconomic development of the state.

Osiyemi said, “LBSL moved 60,882,000 passengers from May 2019 to February 2025. LBSL currently moves over 42,266 passengers daily, averaging 1000 daily bus trips.

“LBSL average fare for February was N542.66 while informal public transport fare was N1,097.73.

“Since inception, the LBSL average fare has been N261.67 cheaper than the average fares in Lagos. LBSL has implicitly subsidised fares for the Lagosians transported to an estimated sum of N14.9 billion.”

The commissioner further explained, “LBSL Driving School produced an additional 144 drivers for 3,537 certified high-capacity bus drivers as of 18 March 2025.

He added, “Public transport is safer than private cars in terms of accident rates and severity. Public transport enhances the overall safety and security of passengers. Public transport moves more people with fewer vehicles. Reduces Congestion — Public transport reduces traffic congestion and travel time.”

Harping on the state government’s bus reform initiative through the Lagos Metropolitan Transport Authority, LAMATA, Osiyemi disclosed that an additional three rolling stocks are expected in May to enhance service delivery with the increasing number of passengers on the Blue Line Rail.

He said, “The State Governor inaugurated the Blue Line Rail in the state in December 2022. The first phase of the infrastructure works for the rail project (Marina to Mile 2) has commenced operation.

“The Blue Line is one of seven Lagos metro rail lines, spanning from Marina to Okokomaiko. The first phase has already commenced with commercial passenger operations and has transported more than two million passengers.

“The full Line is 27km from Marina to Okokomaiko. Construction of phase 2 from Mile 2 to Okokomaiko started in December and is expected to carry 500,000 passengers daily.”