Africa’s power crisis could receive a major private-sector boost as Aliko Dangote plans to invest more than $10 billion in the continent’s power sector.
The billionaire businessman disclosed the plan during an interview with Al Jazeera, saying the investment could be made over the next three to four years.
Dangote said the group is considering redirecting funds from some planned businesses into electricity generation and other power-related projects.
He identified reliable electricity as one of the major requirements for Africa’s economic development.
According to him, the continent cannot achieve meaningful industrial growth or create enough jobs without addressing its persistent power shortages.
Dangote also pointed to the scale of Africa’s electricity deficit, noting that more than 600 million people across the continent still lack access to electricity.
The shortage has remained a major challenge for businesses, particularly manufacturers that depend on stable and affordable power to maintain production.
For many companies, unreliable electricity means higher operating costs as businesses are forced to rely on diesel generators and other alternative sources.
Dangote’s proposed investment could therefore have implications beyond the power industry.
More reliable electricity could support manufacturing, mining, agriculture, telecommunications and other sectors that require consistent energy supplies.
The plan also comes as African governments and development institutions seek greater private-sector participation in closing the continent’s infrastructure gap.
The African Development Bank estimates that hundreds of billions of dollars will be required to expand Africa’s power infrastructure and increase electricity access.
Private investment is therefore expected to play an increasingly important role in meeting the continent’s energy needs.
For Dangote Group, the proposed investment would also represent a further expansion beyond its established interests in cement, manufacturing, fertiliser and other industrial sectors.
The group has already made major investments in infrastructure and industrial production, particularly in Nigeria.
Dangote’s latest proposal suggests that power could become another major area of focus for the conglomerate as Africa’s demand for electricity continues to rise.
The investment could also support the broader development of African industries by making it easier for businesses to operate and expand locally.
For Africa, the bigger challenge will be ensuring that new investments translate into dependable electricity for both businesses and households.
As countries across the continent pursue industrialisation and economic growth, solving the power deficit remains central to those ambitions.
Dangote’s proposed $10 billion-plus investment therefore puts private capital at the centre of one of Africa’s most pressing economic challenges.
