Africa’s richest man, Aliko Dangote, has pushed back against claims that his dominance in key industries amounts to a monopoly, stressing that Nigeria’s economy will benefit more from increased competition in refining and other capital-intensive ventures.

Speaking on the role of his $20 billion refinery, Dangote explained that while profitability is necessary to keep such massive projects alive, the goal is not to shut out other players. 

Instead, he argued, Nigeria needs more investors bold enough to take on the scale of challenges the country faces.

“If businesses like ours don’t make money, no one else will be encouraged to enter this space. That’s how you end up with only one supplier. We don’t want to be the only ones — the industry needs more participants,” he said.

Lessons from Cement to Refining

Dangote recalled how his entry into the cement market was encouraged by former President Olusegun Obasanjo, who wanted Nigeria to reduce dependence on imports. 

Although his initial efforts to set up in Benue State faced resistance, he eventually built the Obajana plant in Kogi State, which has grown into the largest cement facility in Africa.

He sees a similar opportunity in the energy sector, pointing out that Nigeria’s heavy reliance on imported fuel has been plagued by inefficiencies and corruption. 

According to him, fuel-importing vessels often fail to discharge fully, while low-paid inspectors are easily compromised.

Why Nigeria’s Refining Model Is Broken

Dangote criticized the operations of state-owned refineries, describing them as unsustainable. He noted that while the Dangote Refinery is able to produce 54% gasoline from crude oil, the Nigerian National Petroleum Company Limited (NNPC) yields only 18%, with most of it being low-value fuel oil.

“The more they run those plants, the more money they lose,” he said, stressing that efficiency is crucial if Nigeria is to reduce its import bill.

Addressing Industry Criticism

The billionaire also dismissed concerns from petroleum marketers who question the capacity of his refinery to meet Nigeria’s demands. 

He argued that the facility’s ability to export fuels including a landmark shipment of 320,000 barrels of petrol to the United States in September proves otherwise.

“If we didn’t have capacity, how are we exporting?” he asked. “It’s the same tactics that once destroyed Nigeria’s textile industry that some are trying to use against us.”

What the Dangote Refinery Means for Nigeria

With a daily refining capacity of 650,000 barrels, the Lagos-based complex is the largest single-train refinery in the world. 

Beyond reducing Nigeria’s reliance on imported petroleum products, the project is expected to save the country up to $25 billion annually in foreign exchange while generating thousands of jobs across the energy value chain.

For Dangote, the long-term vision is clear: Nigeria’s energy future will be stronger if more refineries emerge to share the burden. “We need players, not monopoly,” he insisted.