The much-anticipated fuel distribution scheme of the Dangote Petroleum Refinery has hit a snag as shipping delays in China prevented the timely delivery of 4,000 Compressed Natural Gas (CNG)-powered trucks.
Although the $20 billion Lekki-based refinery had scheduled the rollout for August 15, only 450 trucks have so far arrived in Lagos, with another 150 expected next week. Company insiders confirmed that limited shipping capacity from China was the major setback, as vessels were unable to handle the volume of trucks and tankers bound for Nigeria.
“So far, 200 trucks came in the first shipment, 250 in the second, and 150 are due next week,” a senior Dangote Group executive disclosed.
With barely 11 percent of the trucks on ground, the refinery’s direct fuel distribution plan faces shipping delays. However, Dangote Industries assured that 60 additional shiploads are expected over the next six weeks.
In June, the refinery announced a N720 billion investment to deploy the 4,000 CNG trucks nationwide. The initiative, projected to save Nigeria over N1.7 trillion annually in fuel distribution costs, aims to lower energy expenses for more than 42 million micro, small, and medium enterprises while creating over 15,000 direct jobs across the logistics chain.
Amid concerns from tanker drivers and the Natural Oil and Gas Suppliers Association of Nigeria (NOGASA) about possible job losses, Dangote recently reached an agreement with stakeholders.
The refinery clarified that it would not bypass existing distribution networks but instead sell to bulk buyers, allaying fears of disruption in the supply chain.
“This programme is designed to enhance efficiency, curb smuggling, and support economic growth, while keeping existing distributors in the loop,” said Dangote Industries spokesperson, Anthony Chiejina.
