Dangote Plans $10bn Investment to Tackle Africa’s Power Crisis

President of Dangote Group, 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 continent grapples with persistent electricity shortages.

Dangote disclosed the plan in an interview with Al Jazeera, saying reliable electricity was essential to Africa’s economic transformation, industrialisation and job creation.

According to him, the planned investment could involve redirecting funds from one or two businesses the group is considering cancelling, including its steel project, into power-related investments.

He said the decision was driven by the scale of Africa’s electricity deficit and the need for African businesses to play a greater role in addressing infrastructure challenges.

Dangote said more than 600 million Africans still lack access to electricity, describing the situation as a major obstacle to development.

He argued that inadequate electricity supply affects industrial production, investment and economic expansion, stressing that sustainable growth would be difficult without dependable power.

The businessman said the investment formed part of a broader economic transformation across Africa.

Dangote also linked improved electricity supply with stronger economic performance and political accountability, arguing that reliable power would strengthen public confidence in governments.

He said the Dangote Group’s focus on power reflects the importance of electricity to expanding productive activities and reducing Africa’s dependence on imported goods.

The planned investment comes as African countries increasingly seek private-sector capital to expand electricity generation and distribution and strengthen energy infrastructure. However, details of the projects, including the countries involved, generation capacity, financing structure and implementation schedule, have not yet been fully disclosed.

Dangote’s announcement also comes as the group pursues expansion across several sectors, including fertiliser and other industrial businesses.

He has also urged African companies to invest more heavily within the continent.

The proposed investment, if implemented as announced, would represent a significant expansion of Dangote Group’s involvement in Africa’s electricity sector.

It could also place the conglomerate among private-sector participants seeking to address the continent’s longstanding power deficit.

Dangote maintained that access to reliable electricity should remain a priority for African economies seeking to expand manufacturing, attract investment and create employment.