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🇳🇬 Nigeria /Economy & Trade

Lagos to Enforce Cashless Bus Fares From August 1

From The Punch · () English

Translated from English, summarized and contextualized by DistantNews.

At a glance

News Named sources New plan
  • Lagos Metropolitan Area Transport Authority will enforce a cashless fare policy on public transport starting August 1.
  • Commuters and operators who engage in cash transactions may face penalties, including potential imprisonment.
  • The policy aims to improve transparency, accountability, and reduce revenue leakage in the transport system, supported by new tools for easier electronic top-ups.

The Lagos Metropolitan Area Transport Authority (LAMATA) is set to fully enforce its cashless fare payment policy on August 1, warning commuters that cash payments on regulated public transport services may lead to penalties. This initiative aims to strengthen accountability, enhance transparency, and ensure widespread compliance with electronic payment systems across Lagos's regulated transport network.

Existing Lagos State regulations require passengers using regulated public transport services to pay fares through the approved electronic payment platform, the Cowry Card.

— Idris AkinolaExplaining the legal basis for the cashless policy.

LAMATA's Head of Legal, Idris Akinola, emphasized that existing state regulations mandate the use of the approved electronic payment platform, the Cowry Card, for fares. Both passengers offering cash and operators accepting it could be held legally responsible for unauthorized transactions. Akinola urged transport operators to ensure their staff adhere to the policy and cooperate with LAMATA officials during enforcement.

Offenders convicted under the relevant laws could face severe penalties, including up to seven years in prison. Adekunle Tajudeen, Managing Director of Teejay Motors, confirmed that the company has trained its staff and instructed them not to accept cash, noting that some drivers have previously been jailed for such offenses. He also highlighted that passengers' willingness to offer cash contributes to the problem.

Offenders convicted under the relevant laws could face serious penalties, including up to seven years’ imprisonment.

— Idris AkinolaWarning about the consequences of violating the cashless policy.

Transport and urban mobility expert Adepoju Fawokon stressed that previous enforcement efforts, which primarily targeted drivers, proved insufficient. He advocated for holding both parties involved in cash transactions accountable to effectively reduce revenue leakage and ensure the sustainability of Lagos's regulated public transport system. To further support the transition, Olamide Afolabi of Touch and Pay Technologies announced new measures to address complaints about incorrect Cowry Card top-ups, including the Carry Hub platform and self-service kiosks, to simplify balance monitoring and card funding.

The goal of the policy is to reduce revenue leakage and protect the sustainability of Lagos’ regulated public transport system.

— Adepoju FawokonStating the primary objectives of the cashless transit initiative.
DistantNews Editorial

Originally published by The Punch in English. Translated, summarized, and contextualized by our editorial team with added local perspective. Read our editorial standards.

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