Dangote Refinery is set to launch its fleet of Compressed Natural Gas (CNG) trucks today, marking the start of nationwide distribution of Premium Motor Spirit (PMS). The refinery received the first batch of its 4,000 CNG‑powered trucks in August, aiming to reduce reliance on third‑party carriers for fuel distribution in Nigeria. Aliko Dangote describes the move as both a strategic choice and a national imperative, expecting it to lower logistics costs and lessen the environmental impact of fuel distribution.
The 4,000‑truck project represents an investment of over N720 billion and is intended to benefit more than 42 million micro, small and medium enterprises (MSMEs) by reducing energy expenses. The trucks will run on CNG supplied by local partner Tetracore Energy Group and are designed to transport refined products directly from the refinery.
Earlier, the Depot and Petroleum Products Marketers Association of Nigeria (DAPPMAN) accused the refinery of offering lower prices to international buyers while quoting higher rates to local off‑takers. In response, Dangote Refinery explained that it abandoned the Single Point Mooring (SPM) system for fuel distribution to avoid extra costs. The SPM system would have added N75 per litre in handling charges, amounting to N1.5 trillion annually. By using gantry loading and direct trucking, the refinery aims to eliminate these charges entirely, generating substantial savings that can be redirected toward critical infrastructure investments.
The decision is also presented as a partnership with credible distributors and an effort to expand humanitarian outreach, ensuring petroleum products reach Nigerians transparently and affordably. The launch of the CNG trucks is a significant development for Nigeria’s petroleum industry, with the potential to reshape the country’s energy landscape. As the refinery begins nationwide PMS distribution, it is expected to increase product availability and reduce costs for consumers. The initiative’s success will be closely monitored, and its impact on the industry will be assessed in the coming months.
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