A proposed mega-refinery project backed by Nigerian industrialist Aliko Dangote is igniting regional competition in East Africa, with Kenya and Tanzania both positioning themselves to host what could become one of the continent’s most transformative energy investments.

The refinery, still in its planning and expansion phase, is being viewed as a potential game changer for a region that remains heavily dependent on imported refined fuel, despite having significant crude oil reserves. If realized, the project could reshape fuel supply chains, reduce import dependency, and strengthen industrial capacity across East Africa.

Mr. Aliko Dangote says the refining capacity could reach 2.1 million barrels per day by 2030, positioning it among the world’s largest refining operators.

“From East Africa, we will be able to serve the region… this refinery is more justified when you look at the volumes,” he said.

Rising Fuel Costs Drive Energy Alternatives

Escalating global tensions linked to the U.S.– Israel conflict with Iran have contributed to rising fuel prices across several African countries.

In Uganda, this pressure is accelerating interest in alternative energy solutions. In another ambitious and revolutionary project, a government-backed electric bus manufacturing initiative is now offering a cleaner and more affordable mobility option, positioning itself as part of a broader transition toward sustainable transport across the continent.

SOURCE: Business Africa/AfricaNews