Nigeria is back on track in efforts towards developing a renewable energy sector.
With the country’s grid network fluctuating consistently, the Government has reasoned that a strong energy mix policy would help advance energy efficiency and achieve energy security for the rising population.
This thinking led to initiatives like the Renewable Energy Master Plan (REMP) and the Solar Naija, which aims to increase renewable energy’s share in the national mix and provide clean energy to millions of people.
Key plans include reaching 36 per cent of electricity from renewables by 2030 and the Nigeria Energy Transition Plan (ETP), which outlines efforts towards carbon neutrality by 2060, with a focus on solar, wind, and biomass energy sources.
The REMP plan aims to significantly increase the proportion of renewable electricity in Nigeria’s generation mix, targeting 36 per cent by 2030, up from 13 per cent in 2015, while the Solar Power Naija initiative seeks to provide solar energy to 5 million households, benefiting approximately 25 million people.
Also, the National Renewable Energy and Energy Efficiency Policy (NREEEP) aims to boost the use of renewable energy across the country.
The National Committee to Revolutionise Nigeria’s Renewable Sector launched in August 2025, further underscores the government’s commitment to clean energy, job creation, and environmental sustainability.
Following the nation’s commitment to carbon neutrality by 2060 at COP26, the Nigeria Energy Transition Plan (ETP) was developed to achieve this goal while meeting the country’s energy demands.
The Backlash Of Planned Ban On Solar Panels Import
While above initiatives are seen to be at embryonic stage, the government announced a potential ban on solar panel imports which immediately sparkd concerns over increased costs, reduced energy access, and negative impacts on the renewable energy sector, potentially hindering energy access gains and investor confidence.
While aiming to boost local manufacturing, experts and groups like Center for the Promotion of Private Enterprise (CPPE) warn that the abrupt policy could worsen the energy crisis by making solar solutions unaffordable for households and businesses, forcing a return to costly fuel generators.
They urge the government to pursue a more balanced approach with a clear roadmap for capacity building instead of an immediate import restriction.
Their concerns are that the ban is expected to cause price spikes, making solar energy, especially for off-grid solutions, unaffordable for average Nigerians and businesses.
Nigeria has a significant energy access problem, and a solar import restriction could hinder efforts to expand access, particularly in rural areas where solar is often the only viable option.
The move they opined could disrupt the growing momentum of solar energy adoption, reverse recent energy access gains, and dampen investor confidence in Nigeria’s renewable energy sector.
Higher solar panel costs may also push people back to using fuel-powered generators, leading to increased costs for businesses and households and exacerbating environmental pollution.
Nigeria currently lacks the domestic production capacity to meet demand, making an import ban unsustainable and likely to create scarcity.
Driving New Production Plan
The two million large solar panel per year capacity production factory launched by the government is seen as a major leap in the country’s desire to boost renewable energy development.
The plant is expected to help the country reduce import of solar panels.
The country has launched the joint venture to build its first large-scale solar panel factory, aiming to produce approximately two million units per year and add one gigawatt of renewable energy capacity.
The project, announced on September 17 by the Rural Electrification Agency, state-backed InfraCorp, and Dutch firm Solarge BV, is designed to reduce import dependence and accelerate electrification in Africa’s most populous nation.
More than 85 million Nigerians still lack reliable power, according to the World Bank. The shortfall forces households, businesses, and government offices to spend an estimated $5 billion annually on diesel generators.
Officials say local production can support the country’s National Public Sector Solarisation Initiative, which targets schools, hospitals, and other facilities, while reducing the cost of off-grid projects that already supply millions of users.
At full capacity, the plant will produce approximately 5,500 panels per day, each with an average capacity of 500 watts.
That output is equivalent to one gigawatt of installed solar per year, enough to power more than 1.5 million households. The REA has committed to purchasing at least 200 megawatts annually for five years, thereby ensuring a stable base level of demand for the venture.
Nigeria’s solar market has expanded quickly but remains dominated by imports from China and Turkey.
Industry estimates place the value of solar modules and accessories sold locally at over $600 million in 2024, with a projected growth rate of 15 per cent to 20 per cent annually.
Almost all demand is concentrated in off-grid and mini-grid systems. The International Renewable Energy Agency has assessed Nigeria’s solar potential at over 200 gigawatts, underscoring the opportunity for a domestic manufacturing hub.
The factory is expected to reduce costs for developers by lowering shipping expenses and mitigating currency risks, while creating 1,000 to 2,000 direct jobs and generating additional employment opportunities in metal fabrication, logistics, and packaging. Local content requirements aim to source 50 per cent of goods and labor from Nigerian firms within three years, giving small manufacturers and suppliers a foothold in a market long dominated by imports.
Replacing diesel generation with solar could avoid as much as 2 million tons of carbon dioxide annually, the equivalent of removing 300,000 cars from the road, according to officials.
Solarge said its recyclable thermoplastic technology reduces lifecycle emissions by half compared with conventional silicon panels, adding a climate-friendly dimension to Nigeria’s industrial push.
Yet the broader picture highlights the scale of the challenge. Nigeria imported 1,721 megawatts of Chinese panels in 2024, making it Africa’s second-largest buyer after South Africa. More than four million modules worth $200 million entered the country that year, though first-quarter imports in 2025 plunged 89 per cent to ₦125 billion as policy uncertainty set in.
PricewaterhouseCoopers warns that an abrupt curb on imports could “leave millions in the dark” and argues for a phased three- to five-year transition that combines quotas, tariffs, and procurement support.
For now, the new factory signals intent, but Nigeria must balance its industrial ambitions with the reality of deep reliance on foreign supply chains.
NASENI’s Solar-powered Irrigation Pumps Debut
The National Agency for Science and Engineering Infrastructure (NASENI), is also pushing the drive towards renewable energy development.
The agency has excitedly welcomed the endorsement of its solar-powered irrigation pumps by the National Economic Council (NEC) for nationwide rollout ahead of the 2025 dry-season farming.
This landmark decision, taken at NEC’s 152nd meeting held at the Presidential Villa, Abuja underscores the Council’s confidence in NASENI’s capacity to deliver homegrown, energy-efficient solutions that directly respond to Nigeria’s food security challenges.
For decades, Nigerian farmers have struggled with the high cost of irrigation, heavily dependent on fuel-powered pumps.
In line with its 3Cs mandate—Creation, Collaboration, and Commercialisation—NASENI developed the solar-powered irrigation pump as an affordable, energy-efficient, and sustainable alternative.
The NASENI solar irrigation pump is also designed to help boost agricultural productivity by lowering operational costs for farmers, increasing yields, raising incomes, and improving rural livelihoods.
Speaking on the development, the executive vice chairman/chief executive officer of NASENI, Mr. Khalil Suleiman Halilu, commended NEC’s resolution.
“NEC’s decision is a strong vote of confidence in our ability to deliver energy-efficient, homegrown solutions that will boost food production, lower costs for farmers, and secure livelihoods. Special appreciation to President Bola Ahmed Tinubu for the continuous support, ensuring NASENI remains at the forefront of advancing his administration’s reforms on industrialisation, technology transfer, and food security. Together, we are building a more resilient agricultural sector, harvesting more sustainably and unlocking infinite possibilities for Nigeria,” he said.
To facilitate immediate mass production and distribution of the pumps, NEC further mandated the Honourable Minister of Budget and Economic Planning, Senator Abubakar Atiku Bagudu, to work out funding modalities for NASENI.
This endorsement reinforces NASENI’s role as a key driver of President Tinubu’s #RenewedHope Agenda, particularly in advancing industrialization, local technology transfer, and sustainable solutions for national prosperity.
NEMiC To Drive Cleaner Energy Transition
Keen on making broader impact on the energy transition initiative, the Federal Government took a more decisive stance by inaugurating the National Energy Masterplan Implementation Committee (NEMiC).
The move marks the beginning of Nigeria’s transition to a cleaner, more inclusive and sustainable energy future.
The inauguration, which took place on September 18 in Abuja, formally launched the implementation phase of the National Energy Masterplan (NEMP), a framework designed to diversify Nigeria’s energy mix, strengthen security of supply, and align with global climate action targets.
The Minister of Innovation, Science and Technology, Chief Uche Geoffrey Nnaji,
said the committee’s work would have a direct impact on households, industries and communities.
“The National Energy Masterplan is not just a document; it is a blueprint for transforming our energy landscape. NEMiC must fast-track the deployment of energy solutions that are reliable, affordable, and climate-friendly. The work you do will directly influence Nigeria’s economic growth, social progress, and environmental sustainability,” Nnaji said.
Constituted on October 17, 2024, by the Energy Commission of Nigeria (ECN), NEMiC is tasked with mobilising funding, investing in renewable energy infrastructure and overseeing projects in solar, wind, hydro, biomass and other emerging technologies. The committee will also drive the operationalisation of the National Energy Fund, designed as a “fund of funds” to channel resources into energy efficiency and infrastructure projects.
At the ceremony, ECN Chief Executive Officer Dr. Mustapha Abdullahi, who chairs the committee, submitted the implementation roadmap to the Minister. He outlined strategic steps to meet the Masterplan’s goals, including accelerating renewable deployment and expanding access to reliable power.
Nnaji pledged full government support. “The decisions and actions taken by this Committee will define Nigeria’s energy trajectory for decades to come. This is a responsibility of the highest order, and I am confident NEMiC has the capacity, the vision, and the commitment to rise to the occasion,” he said.
The event drew representatives from government, finance, and industry, including executives from Mainstream Energy Solutions Limited, Polaris Bank, Stanbic IBTC, First Trustees, CardinalStone, and global engineering firms such as China Machinery Engineering Co. (CMEC), Power China International Group, and Energy China. International development organisations, including UNIDO and UNDP also signaled support.
With over 80 million Nigerians lacking reliable electricity and more than 90 per cent of households dependent on biomass for cooking, stakeholders said the Masterplan provides an opportunity to close long-standing energy gaps while unlocking new economic frontiers.
Committee members include Abdullahi as Chairman, Mr. Nurudeen Yakubu, Group CEO of Nor Group Ltd, as Co-Chairman, alongside Prof. Kassim Gidado, Dr. Robert Ngwu, Babangida Sabo, Adamu Suilaman of the Federal Ministry of Innovation, Science and Technology, and several directors from the ECN.
