FG Moves to Ban ₦200bn Solar Panel Imports, Champions Local Production
New push for homegrown renewable energy manufacturing as government partners with Lagos State and private investors.
The Federal Government has announced a renewed drive to halt the importation of solar panels — a practice that has cost Nigeria over ₦200 billion — in favor of boosting local manufacturing and creating homegrown energy solutions.
Speaking at a roundtable event in Victoria Island, Lagos, the Managing Director and CEO of the Rural Electrification Agency (REA), Abba Aliyu, highlighted the urgent need to localize the production of photovoltaic (PV) solar panels and other renewable energy components.
The event also marked the signing of a Memorandum of Understanding (MoU) between the REA and the Lagos State Government to support rural electrification across underserved communities in the state.
“Over ₦200 billion has been spent on the importation of PV panels,” Aliyu said. “While importation may still have a role, our key focus now is to domesticate the production of this equipment — and Lagos will lead this charge.”
Lagos Leads the Way in Renewable Manufacturing
Aliyu revealed that a PV panel assembly plant in Ikotun, Lagos, has recently scaled up its capacity from 10 megawatts to 110 megawatts, thanks to a collaboration with the REA. He also announced an upcoming $150 million investment by Green World into a lithium battery assembly facility, with a joint development agreement already in progress.
As Nigeria’s commercial and innovation capital, Lagos is expected to play a central role in the government’s plan to scale domestic production of renewable energy infrastructure.
FG Backs Local Industry, Targets Full Import Ban
Minister of Science and Technology, Uche Nnaji, echoed the federal government’s stance, affirming that solar panel imports will be phased out in favor of supporting local producers.
“We already have factories like NASENI producing solar panels, and several private firms are doing the same. Through Presidential Executive Order No. 5, we will eliminate imports and fully back Nigerian manufacturers,” Nnaji said.
He emphasized that leveraging science and technology for local innovation is essential to the country’s energy independence and economic growth.
Industry Cautions Against Hasty Ban
Despite the government’s strong push, the Renewable Energy Association of Nigeria (REAN) has voiced caution. The association warned that a blanket ban on imports could threaten access to solar energy for millions of Nigerians who still lack stable electricity from the national grid.
Solar energy remains a vital stopgap — and in many cases, a primary source of power — for rural and off-grid communities across the country.