Aliko Dangote has announced plans to invest more than $10 billion in Africa’s power sector over the next three to four years, as his business group considers redirecting funds from some planned projects into electricity generation.
Dangote disclosed the plan in an interview with Al Jazeera, saying the scale of Africa’s electricity deficit presents a major challenge to industrial growth and economic development.
According to reports, Dangote said some projects, including a proposed steel venture, could be reconsidered as the group focuses more resources on power. He argued that reliable electricity is essential for businesses and industries to operate efficiently and for African economies to expand.
The planned investment would cover power-generation projects across Nigeria and other African markets. The announcement comes as businesses across the continent continue to deal with high energy costs and unreliable electricity supply, with many companies relying on diesel and other alternative sources to keep operations running.
Dangote’s comments also come at a significant period for his group, with the Dangote Petroleum Refinery currently undergoing an initial public offering in Nigeria. The refinery has been operating at a reported capacity of 700,000 barrels per day, while its IPO is expected to raise funds for further expansion.
The proposed power investment could therefore represent another major expansion of Dangote Group’s involvement in Africa’s infrastructure and energy sectors.
Dangote said the group’s objective is to put capital into areas where it believes the continent has significant unmet needs, particularly electricity.
