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Dangote backs Tinubu’s CNG revolution with $280m

Simon Osuji by Simon Osuji
October 28, 2024
in Business
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Dangote backs Tinubu’s CNG revolution with $280m
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Dangote Cement Plc has made a substantial commitment to Nigeria’s clean energy future with an investment of over $280 million (₦460 billion) in compressed natural gas (CNG) technology and infrastructure.

This development aligns with the company’s support for President Bola Ahmed Tinubu’s CNG Initiative, aimed at steering Nigeria toward a low-carbon economy and providing more sustainable, affordable energy solutions.

Arvind Pathak, Group Managing Director of Dangote Cement Plc, stated that the $280 million investment is focused on acquiring 100 per cent CNG trucks, as part of the company’s long-term strategy to transition its entire fleet to compressed natural gas.

Pathak noted that this move marks a major milestone in Dangote’s clean energy transition, to operate the majority of its fleet on CNG by mid-2026.

The GMD emphasized that this shift represents a significant milestone in Dangote’s clean energy transition, to convert most of its fleet to CNG by mid-2026.

Pathak noted that, as of October, the company had received its first batch of 1,500 mono-fuel CNG trucks and is expecting an additional 1,600, bringing the total to 3,100 trucks by the end of the year.

Dangite has already established a CNG station in Obajana, capable of refuelling over 3,000 trucks, and another station is under development in Ibese to further bolster its operations.

Aliko Dangote, President and Chief Executive of Dangote Group, highlighted the alignment of this investment with Nigeria’s Nationally Determined Contribution (NDC) under the Paris Agreement, which targets net-zero emissions by 2060.

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