Dangote Cement Plc has made significant strides in the fight against climate change by investing over $280 million in compressed natural gas (CNG) technology and infrastructure. This investment aligns with President Bola Ahmed Tinubu’s CNG Initiative, which seeks to provide Nigerians with more affordable and cleaner fuel options.
The President has been vocal about the need for Nigeria to leverage its abundant natural gas resources, particularly in the transportation sector. At a recent event, he stated, “Utilising natural gas to power Nigeria’s transportation industry is the next way to go,” highlighting the economic necessity of CNG transportation. This initiative also includes the distribution of one million free CNG conversion kits for commercial vehicles, aimed at enhancing the transition to cleaner energy sources.
In reinforcing its leadership in the CNG sector, Dangote Cement’s investment not only showcases its commitment to environmental sustainability but also demonstrates its role in supporting Nigeria’s energy independence. Group Managing Director Arvind Pathak emphasized that the company aims to transition its entire fleet to CNG, with a target to operate predominantly on this fuel by mid-2026. Currently, Dangote has received its first batch of 1,500 mono-fuel CNG trucks, with a total of 3,100 trucks expected by the end of the year.
Pathak stated, “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 company plans to accelerate this transition beginning in the first quarter of 2025, with a commitment to meeting its target dates for full compliance.
Additionally, Pathak highlighted the significant impact of Dangote Cement’s CNG infrastructure investments on Nigeria’s overall transition to cleaner fuels. The company operates a CNG refuelling station in Obajana capable of servicing over 3,000 trucks, with plans for a second station in Ibese to further enhance its fleet operations.
Aliko Dangote, President and CEO of Dangote Group, expressed confidence in the initiative’s alignment with Nigeria’s Nationally Determined Contributions (NDC) under the Paris Agreement, which sets ambitious targets for net-zero emissions by 2060. He stated, “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.”
Dangote’s early adoption of CNG has positioned it as Nigeria’s largest operator of CNG trucks, which not only boosts the company’s operational efficiency but also contributes to a more sustainable energy future for Nigeria. “We are committed to a cleaner and greener future,” Dangote added, reinforcing the company’s dedication to supporting the national drive towards energy efficiency and sustainability.
With these investments and initiatives, Dangote Cement is setting a benchmark for other companies in Africa’s MSME sector to follow, highlighting the importance of private sector involvement in addressing climate challenges while contributing to economic growth and job creation. This strategic move underscores the potential of clean energy solutions in enhancing business operations while fostering a sustainable environment for future generations.
