Alfred Okugbeni: How Sitrak’s Electric Trucks Can Cut Haulage Costs, Drive Nigeria’s Industrial Growth

Nigerian Sinotrucks Limited, a company representing the Chinese truck brand Sinotruk in Nigeria, is investing in electric commercial vehicles to reduce logistics expenses and support the country's energy transition. Founder and Managing Director Alfred Okugbeni asserts that cheaper transportation is crucial for tackling inflation and strengthening the economy.

The company has introduced Sitrak electric commercial trucks to the Nigerian market, targeting manufacturers, FMCG companies, and fleet operators seeking to slash operating expenses and boost distribution efficiency.

Okugbeni believes that electric mobility is part of a broader effort to lower the cost of doing business, improve the movement of goods, and strengthen Nigeria's industrial competitiveness. He highlights how transportation costs affect not only logistics companies but also the final prices consumers pay for goods, making transport efficiency vital in the wider inflation debate.

Manufacturers and distributors, with their predictable delivery routes and charging facilities, are well-positioned to benefit from electric trucks.

The economics of electric commercial vehicles will be crucial to their adoption in Nigeria, where fleet operators face expensive diesel, maintenance costs, financing constraints, and challenging road conditions. Okugbeni points to the company's success with CNG trucks, which reduced operating costs by 30-35 percent, expecting electric trucks to deliver even greater savings with an estimated 40-50 percent reduction in costs compared to conventional operating baselines.

The main attractions for fleet owners are not just the potential for energy savings but also improved cost predictability and reduced exposure to fuel-related operational risks. Fuel theft and the use of substandard fuel are significant challenges for conventional truck operators in Nigeria. Electric vehicles, according to Okugbeni, could help operators address these problems while providing better planning and fleet management capabilities.

Nigerian Sinotrucks is initially focusing on light electric trucks for intra-city distribution, targeting FMCG manufacturers with factories and distribution centers that operate around the clock. This approach could be particularly attractive for companies moving products between factories, warehouses, retail outlets, and urban distribution centers.

The company is also monitoring investments in charging stations, particularly those involving fuel retailers and other infrastructure providers, as it plans to expand beyond urban distribution as the market develops and charging options become more widely available.