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Dangote Endorses Tinubu’s CNG Initiative with $280 Million Investment in Trucks and Infrastructure

by Ikenna Ngere
October 28, 2024
in Uncategorized
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In alignment with President Bola Tinubu’s push for compressed natural gas (CNG) as an affordable and cleaner energy option for Nigerians, Dangote Cement Plc has committed over $280 million to CNG technology and infrastructure development.

In a recent statement, Dangote Cement highlighted President Tinubu’s dedication to advancing CNG use and clean energy, emphasizing his administration’s efforts to foster private sector growth and expand Nigeria’s CNG infrastructure to drive economic development and enhance energy efficiency.

Tinubu’s initiative includes the distribution of one million free CNG conversion kits for commercial vehicles to support the transportation of people, goods, and food.

Addressing the initiative, President Tinubu underscored Nigeria’s imperative to tap into its natural gas resources for transportation, describing CNG as essential for Nigeria’s economic future and marking a transformative shift in the country’s energy strategy.

“Utilising natural gas to power Nigeria’s transportation industry is the next way to go,” Tinubu stated.

In support of this shift, Dangote Cement’s $280 million investment underscores its role as a leader in the CNG sector and its commitment to combatting climate change by fostering a low-carbon economy.

Arvind Pathak, Group Managing Director of Dangote Cement Plc, shared that the company plans to transition its entire fleet to 100% CNG-powered trucks as a long-term goal.

As of October, Dangote Cement has received its first shipment of 1,500 mono-fuel CNG trucks, with an additional 1,600 expected by year-end, bringing the total to 3,100.

Pathak highlighted that by mid-2026, the company aims for the majority of its fleet to run on CNG and is investing in expanding its CNG fuelling infrastructure to meet this target.

Pathak noted, “By mid- 2026, Dangote Cement aims to operate a fleet predominantly powered by CNG. To facilitate this transformation, we are investing in expanding our CNG fuelling infrastructure, ensuring that our growing fleet has reliable access to CNG as our fuel.”

The deployment is expected to accelerate in the first quarter of 2025, with Dangote Cement on track to meet its target timeline.

Aliko Dangote, President and Chief Executive of Dangote Group, affirmed that the company’s investment aligns with Nigeria’s commitment under the Paris Agreement to achieve net-zero emissions by 2060.

He said: “In this pursuit of transition to clean energy, we are optimistic of a remarkable accomplishment by President Bola Tinubu, as he has taken the lead in the nation’s drive towards energy efficiency. This presupposes private sector intervention to support this noble idea initiated by the President.”

 

Tags: Aliko DangoteArvind PathakBola TinubuCNG
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