The Rural Electrification Agency (REA) has thrown its weight behind a solar panel production initiative in Lagos, as the federal government moves to phase out the importation of photovoltaic (PV) solar panels. This decision follows revelations that Nigeria spent over ₦200 billion on solar panel imports in recent years.
The shift is part of a broader strategy to promote local manufacturing and reduce dependence on foreign-made renewable energy components.
In alignment with this agenda, the REA and the Lagos State Government have signed a Memorandum of Understanding (MoU) aimed at expanding electricity access to underserved rural communities across the state.
Lagos, widely seen as Nigeria’s innovation hub, is expected to lead the transition to domestically produced solar technology. As part of the drive, the REA is working with private sector partners to strengthen local capacity. One such milestone is the establishment of a solar panel assembly plant in Ikotun, which started with a 10-megawatt capacity and has since expanded tenfold to 100 megawatts.
In a further push for clean energy infrastructure, the REA is also finalising a joint development agreement with Green World to build a lithium battery assembly plant in Lagos. The $150 million facility is expected to play a critical role in supporting Nigeria’s long-term renewable energy goals.
This policy direction aligns with broader federal initiatives championed by the Ministry of Science and Technology, which aims to boost local innovation and industrial self-sufficiency. The National Agency for Science and Engineering Infrastructure (NASENI) is already producing solar panels at select facilities, showing promise in meeting future demand.
However, the proposed restriction on solar imports has sparked debate. The Renewable Energy Association of Nigeria (REAN) has warned that a premature ban, without adequate local manufacturing readiness, could slow sectoral growth and compromise energy access for millions.
Solar technology has become a vital alternative for communities across Nigeria lacking reliable national grid access. It powers homes, schools, healthcare centres, and businesses, offering a cleaner and more affordable alternative to diesel generators.
While the government aims to boost local production, stakeholders are calling for a measured approach—one that fosters domestic growth without disrupting access to global technology and supply chains.
As Nigeria navigates its energy transition, the success of its solar industrialisation plans will depend on striking the right balance between policy ambition, industry capacity, and the realities of local production.
