Nigerians and stakeholders in the energy sector have expressed apprehension as Dangote Refinery commenced nationwide fuel distribution on Monday, September 15, 2025, deploying its fleet of Compressed Natural Gas (CNG) trucks.
Over the weekend, hundreds of the refinery’s trucks were sighted on Nigerian highways, departing from the Lekki-Epe Expressway in Lagos State.
The $20 billion refinery had earlier disclosed an investment of N720 billion to acquire 4,000 CNG-powered trucks, though only about 1,000 have so far been delivered. According to Dangote Group, the initiative is aimed at reducing fuel retail prices and could save the country up to N1.7 trillion annually in distribution costs.
Last Thursday, the company unveiled a new fuel price template, fixing the ex-depot price at N820 per litre, while retail prices are expected to range between N841 and N851 per litre across states.
Despite the promise of cost savings, the rollout has stirred unease and disruption in Nigeria’s downstream oil sector, with analysts warning of far-reaching implications for existing players.