Aliko Dangote has announced plans to invest more than $10 billion in Africa’s power sector over the next three to four years, as the business group considers redirecting funds from some planned ventures, including its steel project, toward electricity generation.
Dangote said the investment is aimed at addressing Africa’s severe electricity shortage and supporting industrialisation across the continent. He identified unreliable power supply as one of the major obstacles to economic growth and investment in Africa.
The announcement comes shortly after the Dangote Petroleum Refinery and Petrochemicals IPO opened on the Nigerian Exchange at ₦525 per share on September 14. The public offer comprises 4.1 billion shares and could raise about ₦2.15 trillion, or $1.6 billion, if fully subscribed.
The refinery IPO is Africa’s largest-ever public share offering and has attracted significant interest from Nigerian retail investors. The offer allows eligible investors to subscribe for as few as 10 shares, worth ₦5,250, with the offer scheduled to run until October 13.
Dangote’s proposed power investment signals a possible shift in the group’s priorities, with electricity infrastructure becoming a major focus alongside its existing interests in oil refining, fertiliser and manufacturing.
The billionaire said the group could cancel or scale back certain businesses and redirect capital toward power. He expects the investment to contribute to a broader transformation of Africa’s energy landscape over the coming years.
For Nigeria, where businesses and households continue to face challenges with reliable electricity supply, the proposed investment could add significant private-sector capacity to the power industry. However, details on specific projects, locations, generation capacity and financing have yet to be fully disclosed.
The announcement places Dangote’s latest expansion at the intersection of two major developments: the refinery’s historic move into public ownership and a potential $10 billion push into Africa’s electricity sector.
