The Oyo State Government has spent N2.1 billion to subsidise transport fares for no fewer than 5,880,000 passengers across Ibadan and other inter-city routes between January and July 2025 under the Sustainable Action for Economic Recovery (SAfER) initiative.
Chairman and Sole Administrator of the Pacesetter Transport Services (PTS), Dr. Ibrahim Dikko, disclosed this during a media briefing at the Governor’s Office, saying the routes covered include Ibadan-Iseyin-Saki, Ibadan-Oyo-Ogbomoso, and Ibadan-Ibarapa.
He said the intervention, introduced by Governor Seyi Makinde in August 2023 to cushion the impact of economic hardship, offers subsidised transportation for students, pensioners, the elderly, people living with disabilities, and the general public using Pacesetter Buses.
“Since August 5th, 2023, when the SAfER initiative was launched, the state government has spent N2,151,000,000 to subsidise transportation for the people,” Dikko said.
He explained that from August to December 2023, N541 million was committed to the programme, allowing daily commutes for 26,000 to 30,000 residents. In 2024, the state invested N924 million and recorded over 9.95 million passengers. So far in 2025, N686 million has been spent, with 5.88 million people benefiting.
Dikko lauded Governor Makinde’s efforts to revive the once-moribund transport company, noting that since his own appointment in July 2023, the PTS has expanded routes, revived more buses, and implemented digital innovations.
He revealed that the service now operates 39 intra-city routes with 55 buses and five inter-city routes with 10 buses. Upon assuming office, he said he revived 30 buses for Ibadan routes and deployed 16 for inter-city services under SAfER, totalling 46 buses.
The PTS chairman also highlighted key reforms, including a digital payment system introduced in September 2023, installation of CCTV cameras and trackers in vehicles, and measures to curb diesel theft, revenue leakages, and route diversions by drivers.
Dikko maintained that the introduction of the card payment system increased revenues from N200,000 to over N1.5 million in a day, noting that the PTS has recorded a steady rise in the number of subscribers, with 262,000 subscribers recorded to date.
The chairman listed the installation of trackers on buses, fixing of speed monitors and CCTV cameras in buses as other reforms recorded by the company.
He equally mentioned the clearing of the company’s tax liabilities to the tune of N150 million, the payment of salaries without defaulting, acquisition of 20KVA and 250KVA generating sets, total reconstruction of the company and improved staff welfare, such as the introduction of overtime allowances, management meeting allowances and implementation of minimum wage, among others, as some of the achievements of the PTS.
He revealed how he has been able to expand the services of the PTS, which, according to him, have earned more revenues for the state, saying: “Let me say this. There are other avenues whereby we have expanded to make money, because we can’t rely on 50 per cent subsidies across all routes in the state.
“We have taken expansion as a core mandate, a mission. We have expanded. And that is why we have Lagos and Abuja routes to just augment. And also, we have introduced logistics services. You can send your goods and services to Ibadan, Lagos or Abuja.
“Also, there is an opportunity to make money from branding. You can brand our buses. So, those are ways we just augment and we have more profits.”
While fielding questions from newsmen, the PTS chairman added that the Oyo State Government received a total of 30 CNG buses from the Federal Government and that it has since deployed them to inter-state routes, with the Ibadan to Abuja operations launched earlier in 2025.
He noted that it would launch the Lagos to Abuja operations in a few days, while the Ibadan to Kwara operations will follow in a few weeks, with operations to other Southwestern states to be announced later in the year.
He also expressed the readiness of the PTS to launch a CNG conversion centre as well as Taxi Transport Services for easy movement of travellers within and outside the Ibadan International Airport after the upgrade, as well as to and fro the train station, among others.
When asked about the controversy that surfaced about the PTS at some point, Dikko maintained that it was a situation of corruption fighting back, saying, “When we came in, PTS was nothing to write home about. I can say it boldly that between July 2023, when I came in and December 2023, PTS was embroiled in crisis. There was a tax liability of N150 million, and they froze all the accounts of PTS.
“We cleared that tax liability in six months without going to the state government to help us, because it is a company and it has to run itself and be self-sustained. It is a must. So, we had to start working on how to boost the morale of the employees.
“We started paying back our gratuity and pensions from 1994. And, there were backlogs of promotions from 2009, and we said something had to be done so that we could, at least, boost morale. I can categorically tell you these facts, and you can come and cross-check them.
“Then, we started introducing N50,000 running cost per employee to boost their morale. But you know that when people are rigid and they cannot change, believing that they are bigger than the system, there will always be a problem. So, they sent those petitions to the House of Assembly saying that I was actually siphoning money.
“Let me give you an example. On our interstate operations, as of today, we have commuted 38,539 people. There is about N160.2 million that we have made in the past six months. There are proofs. How do you want to take this money that was paid electronically out?
“So, the controversy came because we have blocked loopholes, blocked every way through which some people can actually steal. So, they started going about and painting different pictures, different scenarios. They went to the House of Assembly, they petitioned DSS, police and all that.
“But when these people did their investigations, they saw that it was the accusers who were painting another picture. So, for me, I am standing by the truth. There is nothing to hide. All money made in PTS is electronically made. And, you cannot remove anything.”
The PTS chairman was accompanied to the press briefing by Mr. Aremu Taofeek, Director of Finance and Accounts and Mr. Mukhtar Azeez, Director of Business Planning and Financial Analysis.
