Nigeria is accelerating efforts to localise renewable energy manufacturing, increasing installed solar panel production capacity from 120 megawatts (MW) two years ago to about 300MW, with an additional 3.7 gigawatts (GW) in the pipeline as it positions itself as a West African hub.

Managing Director of the Rural Electrification Agency (REA), Dr. Abba Aliyu, disclosed this during a webinar hosted by the African Association of Energy Journalists and Publishers (AJERAP). He said the growth is driven by deliberate government policies aimed at attracting private sector investment.
According to him, Nigeria secured about $425 million in 2025 to establish eight renewable energy manufacturing plants, while locally produced solar panels are already being exported from Lagos to Accra, Ghana.

Aliyu attributed rising investor confidence to regulatory reforms, particularly the Nigerian Electricity Regulatory Commission’s 2026 Mini-Grid Regulations. These increased allowable mini-grid capacity from 1MW to 5MW, and up to 10MW for interconnected systems, enabling larger renewable projects. He said the framework also simplifies licensing and clarifies grid interactions.

He noted that expanded mini-grid capacity could support cross-border electricity trade, especially in border communities, enhancing regional integration. While the West African Power Pool is driving grid connectivity, Aliyu called for a complementary off-grid market across the region.

Sponsored

Nigeria’s electricity access model is also gaining traction across Africa. Countries including Mozambique, Benin Republic, Burkina Faso, Niger, Chad, Mauritania and Mauritius are studying the framework for possible adoption.

Aliyu highlighted the Distributed Access through Renewable Energy Scale-Up (DARES) programme as the world’s largest publicly funded renewable energy access initiative. The programme targets electricity access for 17.5 million Nigerians by connecting over 2.5 million households and deploying 1,350 mini-grids, including 250 interconnected systems.

Funded with $750 million, the programme is expected to attract an additional $1.1 billion in private investment through a results-based financing model that requires developers to commit capital upfront.

He said partnerships with institutions such as Citibank Nigeria, Lotus Bank and the International Finance Corporation underscore growing confidence in Nigeria’s renewable energy strategy.

SPONSORED

LEAVE A REPLY

Please enter your comment!
Please enter your name here