Shipping Delays Stall Dangote’s CNG Truck Deployment, 450 Units Delivered

The Dangote Group has announced that global shipping disruptions have delayed the arrival of its compressed natural gas (CNG) trucks, slowing down its ambitious plan to roll out 3,550 vehicles to support Nigeria’s energy transition and reduce reliance on petrol and diesel.

Out of the total order, only 450 trucks have so far arrived in the country, with the remainder still stranded in transit due to ongoing global logistics challenges. The trucks, manufactured by Chinese partners, are a key component of Dangote’s broader push to deepen CNG adoption in Nigeria as part of efforts to lower costs, cut emissions, and accelerate the use of alternative fuels.

Group Executive Director, Strategy, Capital Projects and Portfolio Development, Devakumar Edwin, disclosed this in Lagos while briefing journalists on the progress of the CNG initiative. He explained that the delay was caused by congestion at Asian ports and global vessel shortages, which have forced extended waiting times and higher shipping costs.

Edwin reassured that the company remains committed to its CNG rollout, stressing that the initiative will significantly ease pressure on Nigeria’s energy sector. “We have already received and deployed 450 units, and we are confident that once global shipping challenges ease, the remaining 3,100 trucks will arrive. Our goal is to provide Nigerians with affordable and cleaner transportation solutions, which are critical at this time of high fuel costs,” he stated.

The CNG trucks, according to Dangote, are designed for both passenger and cargo transport. They are expected to play a vital role in reducing operating costs for businesses and transport operators, while also supporting government’s policy shift toward alternative fuels. Following the removal of petrol subsidies, Nigeria has been grappling with high transport and logistics costs, which have trickled down to consumer goods and services.

Analysts say the delay in the full arrival of Dangote’s trucks may slow down the momentum of CNG adoption in the short term. However, they believe the arrival of even 450 units represents a significant first step in demonstrating the viability of natural gas-powered transportation in the country.

Nigeria has long struggled with under-utilisation of its abundant natural gas resources. Despite holding one of the largest gas reserves in Africa, the country has historically relied heavily on petrol and diesel. Industry experts argue that initiatives like Dangote’s CNG trucks provide a practical pathway to diversifying fuel options, while also reducing foreign exchange demand for imported refined fuels.

The company also announced that the first set of trucks already deployed are being tested across different routes to measure fuel efficiency, durability, and adaptability to Nigerian road conditions. Feedback from early users, according to Edwin, has been encouraging, with operators reporting cost savings of up to 40 percent compared to diesel-powered vehicles.

Meanwhile, the federal government has pledged its support for the initiative. Minister of State for Petroleum Resources (Gas), Ekperikpe Ekpo, commended Dangote for aligning with the Presidential Compressed Natural Gas Initiative (PCNGI), which seeks to accelerate the adoption of gas-powered vehicles nationwide. He noted that large-scale investments by private players are essential to ensuring the success of the programme.

Stakeholders in the transport sector also expressed optimism, describing the arrival of the first batch of trucks as a welcome development. The National Union of Road Transport Workers (NURTW) said the trucks could help stabilise transport fares and relieve pressure on both operators and commuters. “We have been struggling with the high cost of diesel and petrol. If CNG vehicles can cut costs, then our members and passengers will benefit greatly,” a union official remarked.

However, challenges remain. Experts have raised concerns over the availability of CNG refueling stations, spare parts, and trained technicians to maintain the vehicles. Without an extensive fueling and servicing infrastructure, widespread adoption may face hurdles. Dangote officials said the company is working with partners to establish fueling points across strategic locations in Nigeria to address this gap.

The shipping delays affecting Dangote’s order are part of broader global supply chain disruptions. In recent months, container shortages, bottlenecks at major ports, and rising freight charges have hampered the timely delivery of goods worldwide. Nigeria, which imports most of its manufactured products, has been particularly vulnerable to such disruptions.

Despite these setbacks, Dangote Group has maintained confidence in its long-term plans. Edwin emphasised that the company’s investment in CNG technology is not just about profit, but about contributing to national development. “This is a solution for Nigerians, by Nigerians. It will create jobs, reduce dependence on imported fuel, and strengthen our economy,” he said.

With global energy markets in transition and Nigeria facing significant fiscal pressures, the gradual deployment of Dangote’s CNG trucks is being closely watched as a test case for private sector-led innovation. Observers believe that if successful, the project could encourage other investors to scale up gas-based transport solutions across the country.

For now, the partial delivery highlights both the opportunities and challenges of implementing alternative fuel projects in developing economies. The coming months will be crucial in determining how quickly Dangote can overcome logistical hurdles and deliver the full fleet, while government and industry players work to provide the infrastructure necessary for CNG vehicles to thrive in Nigeria.