Nigeria’s transportation sector, a vital artery for economic and social life, is plagued by a chronic ailment: unregulated fares.
This free-for-all system, where prices fluctuate wildly based on whims and perceived demand, leaves millions vulnerable and exacerbates existing inequalities. It’s time for a structured, regulated approach to ensure fair and accessible transportation for all Nigerians.
The current situation is a chaotic marketplace where passengers are at the mercy of transporters. During peak travel periods, like festive seasons or fuel scarcity, fares can skyrocket by 200-300%, effectively barring low-income earners from essential travel.
According to the National Bureau of Statistics (NBS) Transport Fare Watch, average intercity bus fares have seen a year-on-year increase of over 40% in recent months, far outpacing the general inflation rate. This disproportionate increase places an unbearable burden on citizens already struggling with rising living costs.
Moreover, the lack of regulation breeds inconsistency and exploitation. A journey that costs N5,000 one day might cost N8,000 the next, with no justification.
This volatility makes budgeting and planning impossible, particularly for those reliant on daily or weekly travel for work or essential services. The absence of clear standards also allows for the proliferation of substandard vehicles and unsafe practices, jeopardizing passenger safety.
The argument against regulation often centres on the notion of a “free market.” However, in a context where information asymmetry is rampant and necessities are involved, a free market often translates to exploitation. The transportation sector is not merely a business; it’s a social service that facilitates economic activity and social cohesion.
Therefore, a regulatory framework is not about stifling the market; it’s about creating a level playing field.
This framework should include establishing reasonable upper limits and price ranges based on factors like distance, fuel costs, and vehicle type; developing transparent formulas for fare calculations that consider operational costs and profit margins; creating an entity with the authority to monitor and enforce regulations, ensuring compliance and addressing grievances; engaging stakeholders, including transporters, passengers, and civil society, in the development and implementation of regulations; and supplementing private transport with efficient and affordable public options to alleviate pressure on the system.
According to the Federal Ministry of Transportation, the number of registered vehicles in Nigeria has been growing at an average of 8% per year; therefore, the need for public transport is increasing.
The benefits of a regulated transportation sector are manifold. It would enhance affordability, promote fairness, improve safety, and foster economic stability. It would also contribute to social equity by ensuring that even the most vulnerable members of society can access essential services and opportunities.
While implementing such a system will undoubtedly present challenges, the cost of inaction is far greater.
The current unregulated environment perpetuates inequality, fuels social unrest, and hinders economic progress. It’s time for the Nigerian government to prioritise the well-being of its citizens and establish a transportation sector that serves the needs of all.
