Nigerian ride-sharing startup Shuttlers has taken a significant step towards reducing its environmental footprint and cutting costs for its riders. In the first quarter of 2025, the company introduced 20 compressed natural gas (CNG)-powered vehicles to its fleet, which has already led to a 29% reduction in rider costs and a significant decrease in carbon emissions.
The move comes as fuel prices in Nigeria, Africa's largest oil producer, continue to rise, putting pressure on transportation budgets for both consumers and businesses. The adoption of CNG, a cheaper and cleaner alternative to petrol, has seen a significant push in the past year. Shuttlers' decision to incorporate CNG-powered vehicles into its fleet reflects a broader trend among mobility startups seeking to balance profitability with the economic impact of rising transportation costs and the general cost of living.
According to a LinkedIn post by Shuttlers' CEO, Damilola Olokesusi, the startup has completed 1,484 trips, serving 19,292 passengers, which accounts for 4% of its total Q2 user trips, using the CNG-powered buses. This is a significant milestone for the company, which last disclosed funding of $4 million in 2023.
One of the primary concerns surrounding the adoption of CNG is safety. The cylinders, typically placed under riders' seats, have raised concerns about explosions. However, Olokesusi assured that riders' feedback has been positive, and the company has taken necessary precautions to ensure safety. Shuttlers has equipped its vehicles with fireproof canisters and automatic extinguishers, backed by regular inspections, achieving "100% safe trips" in Q1 2025.
The introduction of CNG-powered vehicles is part of Shuttlers' plan to expand its non-petrol fleet in Q2. This move is expected to have a significant impact on the environment, as CNG is a cleaner-burning fuel that produces fewer greenhouse gas emissions compared to traditional petrol. As the startup continues to grow and expand its fleet, it will be interesting to see how this decision affects its bottom line and the overall ride-sharing industry in Nigeria.
The adoption of CNG-powered vehicles by Shuttlers is a step in the right direction, not only for the environment but also for the riders who will benefit from reduced costs. As fuel prices continue to rise, startups like Shuttlers are forced to think outside the box and find innovative solutions to stay competitive. This move is a testament to the company's commitment to sustainability and its willingness to adapt to changing market conditions.
As the ride-sharing industry continues to evolve, it will be interesting to see how other startups in the space respond to the challenges posed by rising fuel costs and environmental concerns. Shuttlers' decision to incorporate CNG-powered vehicles into its fleet sets a positive precedent, and it will be exciting to see how this move impacts the industry as a whole.