Nigeria Sees Dramatic Drop in Solar Panel Imports: A Push Toward Local Manufacturing and Clean Energy Transition

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In a significant shift in Nigeria’s renewable energy sector, the importation of solar panels has plummeted by 89% in the first quarter of 2025. Data from the National Bureau of Statistics (NBS) indicates that the value of photovoltaic cells and panels imported into Nigeria dropped from N237.309bn in the final quarter of 2024 to N125.294bn in the first quarter of 2025. This dramatic decrease aligns with the government’s long-term goals to boost local manufacturing and transition the country toward clean energy solutions.

The decline in solar panel imports comes at a pivotal time for Nigeria’s energy strategy. Abba Aliyu, Managing Director/CEO of the Rural Electrification Agency (REA), recently confirmed that Nigeria’s solar manufacturing capacity has increased substantially. “We now have a 600-megawatt photovoltaic (PV) panel manufacturing capacity,” Aliyu stated, highlighting a considerable jump from the previous capacity of 110 megawatts. He pointed out that facilities like Lagos’s 100-megawatt LPV plant and Abuja’s JRV facility, with its 250-megawatt capacity, are now fully operational and contributing to Nigeria’s local production efforts.

The Nigerian government has set ambitious goals to halt solar panel imports entirely. Minister of Science and Technology, Uche Nnaji, announced in March that the federal government plans to phase out imports to promote domestic production. This move aligns with the presidential order prioritizing local content in science, engineering, and technology. According to Nnaji, the nation’s abundant lithium reserves will play a crucial role in powering the transition. He stated that the lithium will be processed and used in battery production for electric vehicles, which are also part of the nation’s clean energy strategy.

Nnaji also discussed the government’s ongoing efforts to solve the nation’s persistent power challenges. “We are developing mini-grid solutions to support hospitals, homes, and institutions, particularly in off-grid areas,” he said. “By the end of this year, hospitals and other key institutions across Nigeria will begin benefiting from solar-powered solutions.”

In addition to the growth of local manufacturing, Nigeria is also witnessing an increase in the number of renewable energy service companies. Aliyu noted that the number has grown from about 10 to over 50 companies, further driving innovation and competition within the industry. This expansion is expected to accelerate the nation’s off-grid power solutions, moving more homes and institutions away from the traditional reliance on the national grid and fossil fuels.

The country’s energy plans aim not only to resolve Nigeria’s longstanding power shortages but also to contribute to environmental sustainability. The focus on solar and renewable energy will help reduce carbon emissions and foster a cleaner, greener energy landscape.

For now, with local solar production ramping up, Nigerians can look forward to greater energy independence and cleaner, more sustainable power options. However, as the solar industry continues to grow, it will be crucial for the government and local manufacturers to meet the rising demand for energy while maintaining affordability and quality.

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