In a statement released on Sunday, the company highlighted that this substantial investment not only reinforces its position as a leader in the CNG sector but also underscores its commitment to addressing climate change and facilitating a shift towards a low-carbon economy.
President Tinubu has identified gas as Nigeria’s transitional fuel, emphasizing his administration's efforts to foster a favorable environment for private sector investments and to expand Nigeria’s CNG infrastructure, thereby improving energy efficiency and stimulating economic growth.
As part of this initiative, he has mandated the distribution of one million complimentary CNG conversion kits for commercial vehicles engaged in the transportation of people, food, and goods.
In alignment with this initiative, Dangote Cement has committed to ensuring that its trucks operate on CNG.
Arvind Pathak, Group Managing Director of Dangote Cement Plc, stated that the $280 million investment is focused on acquiring a fleet of 100 percent CNG trucks as part of a long-term strategy to convert its entire fleet to CNG.
“This initiative represents a pivotal step in Dangote’s transition to clean energy, with plans to operate the majority of its fleet on CNG by mid-2026. As of October, the company has received its initial shipment of 1,500 mono-fuel CNG trucks and anticipates an additional 1,600 CNG trucks, bringing the total to 3,100 by 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.
Plans are underway to actively pursue the deployment timeline, set to commence in the first quarter of 2025.
"We are focused on achieving our target dates for full compliance," he stated.
Pathak further mentioned that the company's investments in CNG infrastructure have significantly aided Nigeria's shift towards cleaner fuel alternatives.
He highlighted the CNG station in Obajana, which can refuel over 3,000 trucks, as a testament to this commitment, with a second station in development in Ibese to enhance fleet operations.
Aliko Dangote, President and Chief Executive of the Dangote Group, remarked that the company's CNG investments align with Nigeria's Nationally Determined Contributions under the Paris Agreement, which aims for net-zero emissions by 2060.
"In our transition to clean energy, we are hopeful for significant achievements under President Bola Ahmed Tinubu's leadership, as he spearheads the nation's efforts towards energy efficiency. This requires private sector involvement to support the commendable initiative introduced by the President," Dangote noted.
He emphasized that the company's early embrace of CNG has positioned it as the largest operator of CNG trucks in Nigeria, reinforcing President Tinubu's vision for enhancing the country's energy independence and fostering a more secure energy future.
"We are now utilizing CNG vehicles, particularly in light of the new Federal Government policy launched under the Renewed Hope Agenda by His Excellency, President Bola Ahmed Tinubu. We are dedicated to fostering a cleaner and greener future," Dangote concluded.