By Onilede Titi Faith
Dangote Petroleum Refinery has begun the phased rollout of 4,000 Compressed Natural Gas (CNG), trucks in a landmark move set to reshape the distribution of petrol, diesel, and aviation fuel across Nigeria.
The trucks, which have arrived in Lagos, will be deployed nationwide starting August 15, 2025.
The initiative is part of the refinery’s strategy to take direct control of fuel logistics, eliminating intermediaries, cutting distribution costs, and easing the financial burden on marketers and consumers.
Backed by a ₦720 billion investment, the programme is projected to save over ₦1.07 trillion annually in distribution costs, savings that traditionally trickle down to consumers as higher pump prices.
The refinery estimates the economy-wide impact at around ₦1.7 trillion in annual relief.
Under the model, refined products will be delivered directly to filling stations, industries, telecom operators, aviation users, and other large-scale consumers, reducing bulky logistics expenses and stabilizing retail prices.
A nationwide network of mother-and-daughter CNG refuelling stations will support the fleet, enabling the refinery to meet Nigeria’s daily demand for 65 million litres of refined products; 45 million litres of PMS, 15 million litres of diesel, and 5 million litres of aviation fuel.
The project is also expected to boost small business competitiveness by lowering energy costs for over 42 million micro, small, and medium enterprises (MSMEs).
It is projected to create 15,000 direct jobs, from drivers to station managers and refuelling operators.
Beyond economics, the switch to CNG offers significant environmental benefits, with cleaner combustion compared to diesel, supporting Nigeria’s clean energy transition.
The Federal Government has welcomed the initiative, with the Presidential Compressed Natural Gas Initiative describing it as a pivotal step in advancing gas-powered transport.
The Independent Petroleum Marketers Association of Nigeria (IPMAN), also praised the plan, citing reduced logistics costs and improved fuel access in underserved areas.
