Victor EzejaDangote Cement Plc has said its investment in Compressed Natural Gas (CNG) infrastructure has boosted Nigeria’s transition to use of cleaner fuel.
The company announced that it has made significant investments worth over $280 million in CNG technology and infrastructure.
Join our WhatsApp ChannelThe company said the gesture not only strengthens its leadership in the CNG sector but also reflects its dedication to mitigating climate change and supporting a transition to a low-carbon economy.
Group Managing Director of Dangote Cement Plc, Arvind Pathak, explained that the investment aims to acquire 100 per cent CNG trucks as part of a long-term plan to transition its entire fleet to CNG.
Pathak revealed that the company aims to operate a fleet predominantly powered by CNG by mid 2026. He said that as at October, the company has received its first batch of 1,500 mono-fuel CNG trucks while expecting additional 1,600 CNG trucks; totalling 3,100 before the end of the year
“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,” Pathak stated.
He assured that there are plans to aggressively pursue this timeline of deployment, beginning from the first quarter of 2025. “We are keeping our eyes on the ball to ensure that we do not miss our target dates of full compliance”, he added.
The company’s investment in the CNG infrastructure supports President Bola Tinubu’s CNG Initiative, aimed at providing cheaper and cleaner fuelling alternatives for all Nigerians.
Tinubu’s administration had after removing subsidy on petrol in 2023, unveiled the Presidential Initiative on Compressed Natural Gas Pi-CNG to exploit Nigeria’s abundant gas resources and deploy CNG as a cheaper and cleaner alternative fuel.
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The president had during his October 1 address to Nigerians, stated that CNG deployment will save Nigeria N2 trillion monthly spend on importation of fuel.
The president has also maintained his administration’s drive to create a conducive environment for private sector investments and expand Nigeria’s CNG infrastructure to enhance energy efficiency and drive economic growth. As part of this initiative, he ordered the distribution of 1 million free CNG conversion kits for commercial vehicles involved in transporting people, food, and goods.
The deployment of CNG in transportation is an economic necessity for Nigeria, Tinubu emphasised at a recent event, adding that “Utilising natural gas to power Nigeria’s transportation industry is the next way to go.”
Highlighting Dangote Cement’s commitment to Nigeria’s energy transition agenda, Pathak said the company’s CNG station at Obajana is capable of refuelling over 3,000 trucks, adding that a second station is currently under development in Ibese to further support fleet operations.
President/Chief Executive, Dangote Group, Aliko Dangote said the company’s investments in CNG are also in line with Nigeria’s Nationally Determined Contribution (NDC) under the Paris Agreement, which aims for net-zero emissions by 2060.
“In this pursuit of transition to clean energy, we are optimistic of a remarkable accomplishment by President Bola Ahmed 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,” Dangote added
According to him, the company’s early adoption of CNG has made it the largest operator of CNG trucks in Nigeria, emphasising that the initiative is a boost to President Tinubu’s quest towards enhancing the nation’s energy independence and contributing to a more secure energy future.
“We are now using CNG vehicles, especially with the new policy of the Federal Government, launched under the Renewed Hope Agenda by His Excellency, President Bola Ahmed Tinubu. We are committed to a cleaner and greener future,” Dangote stated.
Victor Ezeja is a passionate journalist with six years of experience writing on economy, politics and energy. He holds a Masters degree in Mass Communication.
