Ride-hailing sustainability in Nigeria cannot be reduced to debates about platform commission, Bolt said on Wednesday, arguing that long-term viability depends on balancing driver earnings, rider affordability and operational costs in a fragile economy.
The company’s comments follow renewed public scrutiny of ride-hailing pricing, driver earnings and commission structures, including recent strike action by driver unions in Abuja.
Bolt said that while commission levels often dominate public discourse, the economics of the marketplace are more complex.
“Sustainable ride-hailing is not about commissions in isolation. It is about ensuring that drivers can earn consistently, passengers can afford reliable transport, and cities can depend on safe, well-functioning mobility systems,” said Weyinmi Aghadiuno, head of regulatory & policy, Africa.
Breaking down the fare structure
To address what it described as misinformation, Bolt provided a breakdown of a typical N5,000 ride in Lagos. According to the company, drivers retain over 75 percent of the fare, while the remaining portion covers platform commission, VAT and other statutory levies.
In Lagos, Bolt’s commission stands at 20 percent, and 21 percent in Abuja, the company said, dismissing claims that it charges up to 30 percent.
Commission revenue, Bolt said, funds marketplace operations including demand generation, rider discounts, driver incentives, safety systems, insurance coverage, customer support and app infrastructure.
The company said that reducing commission without adjusting other cost inputs would affect its ability to sustain those services.
Pricing versus demand
Driver groups have called for higher base fares, citing rising fuel prices and vehicle maintenance costs. Nigeria has faced persistent inflation and fuel price volatility, squeezing both household incomes and transport operators.
Bolt acknowledged those pressures but said fare increases must reflect consumer purchasing power to avoid reducing trip volumes.
“If fares are pushed too high, demand falls. Drivers may earn less from fewer trips,” company representatives said during a media briefing.
The platform operates multiple ride categories, from lower-cost options to higher-end comfort rides, allowing riders to choose based on affordability. Pricing also varies by city, reflecting differences in demand patterns and economic conditions.
Scheduled rides, the company added, are priced 30 percent to 40 percent higher than regular on-demand trips, with algorithms factoring in expected traffic and demand conditions in advance.
Engagement with drivers
Bolt said it regularly engages drivers through roundtables, safety summits and in-app communications to explain pricing mechanics and gather feedback. It also maintains a working relationship with driver unions but noted that union membership is voluntary under Nigeria’s constitution.
In Abuja, where strike action recently occurred, Bolt said it is reviewing the issues raised.
The company also defended its policy of temporarily suspending drivers when serious safety complaints are reported, describing it as a precautionary measure pending investigation.
Economic pressures
Nigeria’s ride-hailing sector has expanded rapidly in recent years, but inflation, currency weakness and high fuel costs have increased pressure across the mobility value chain.
Bolt said the current environment requires constant review of fares, incentives and product features to maintain balance.
“Our role as a platform is to invest in demand generation, safety infrastructure and technology that enable drivers to maximise their earning potential over time, even amid rising economic pressures,” Aghadiuno said.
As tensions persist between platforms and driver groups, the debate underscores a broader challenge facing Nigeria’s gig economy: whether digital marketplaces can maintain affordable services while preserving income stability for service providers.
