Dangote Unveils 20,000MW Power Expansion Plan

Africa’s richest businessman, Aliko Dangote, has announced plans by the Dangote Group to venture into large-scale electricity generation with a target of producing up to 20,000 megawatts of power.

Dangote disclosed this during an interview with Makhtar Diop, saying the planned investment forms part of the group’s broader expansion drive across key sectors of the African economy.

“We are now going into power — 20,000 megawatts,” Dangote said.

The proposed capacity is far above Nigeria’s current average electricity generation, which fluctuates between 4,000 and 4,500 megawatts despite an installed capacity estimated at over 13,000MW.

The billionaire businessman said the group’s investments now span several strategic sectors, including fertiliser production, liquefied natural gas, mining, agriculture and maritime infrastructure.

He also reflected on the challenges encountered during the development of the Dangote Refinery, revealing that many doubted the project would succeed at the early stage.

“At the time when I started this refinery… I have never ever seen crude oil in my life. People openly said this refinery will never happen,” he stated.

The refinery, valued at about $20 billion, currently has an installed capacity of 650,000 barrels per day and has commenced fuel production.

Dangote said the success of the refinery has strengthened his belief in investing heavily within Africa despite prevailing economic and infrastructural challenges.

“How do we open up Africa? We will open Africa by demonstrating that we believe in Africa, by investing our money in Africa,” he said.

He added that the group was also expanding its fertiliser production capacity to about 12 million tonnes annually while developing potash and phosphate mining projects in Congo and Brazil.

“Today, in about two and a half years, we will be the largest fertiliser company in the world. We are putting up 12 million tons of urea. We are opening up mines of potash and phosphate in Congo and Brazil. We are building the biggest deep-sea port with an 18-meter draft. We are doing LNG,” Dangote added.

According to him, the company’s stronger cash flow and improved financial flexibility are helping to drive the expansion projects.

He, however, stressed that Africa must tackle trade and structural barriers to attract meaningful investments capable of transforming the continent’s economy.