Economic analysts and industry stakeholders have expressed concerns regarding the federal government’s alleged plan to ban solar panel imports.
Reports indicate that authorities aim to prohibit imports to boost local manufacturing and promote clean energy adoption nationwide.
Government Justifies Policy with Executive Order No. 5 on Local Content
Minister of Science and Technology, Uche Nnaji, emphasized Nigeria’s capacity to produce solar panels using domestic resources.
The National Agency for Science and Engineering Infrastructure (NASENI) has been identified as central to these local production efforts.
Lithium Processing Cited as Key to Energy Independence
Nnaji highlighted Nigeria’s abundant lithium reserves, stressing ongoing efforts to process them for use in vehicle batteries.
He reassured citizens that the government is committed to adding value to raw materials to strengthen industrial development.
Experts Fear Ban Will Disrupt Solar Energy Startups and Worsen Electricity Shortages
Industry experts argue that restricting imports could harm startups and disrupt existing investments in renewable energy projects nationwide.
The Centre for the Promotion of Private Enterprise (CPPE) strongly advised against the policy, citing severe energy access limitations.
Nigeria Faces Acute Electricity Deficit, Making Solar Crucial
Dr. Muda Yusuf, CPPE Director, noted that Nigeria’s per capita electricity consumption is significantly below the sub-Saharan average.
He emphasized that solar adoption has been instrumental in addressing the country’s persistent power supply challenges.
Ban Could Exacerbate Energy Costs and Limit Accessibility
The CPPE warned that local production cannot meet demand, making import restrictions detrimental to affordable energy access.
Higher costs for solar solutions would place them beyond the financial reach of average Nigerian households and businesses.
CPPE Proposes Policy Adjustments to Support Local Solar Manufacturing
Instead of a ban, the CPPE urged the government to offer incentives to investors in solar panel production locally.
They recommended tax relief, tariff concessions, and low-interest financing to support growth in the renewable energy sector.
Call for Import Duty Reductions on Batteries and Inverters
The CPPE also proposed cutting import duties on batteries, inverters, and wind turbines to improve energy security.
Lowering costs would reduce dependence on the national grid and enhance productivity across various economic sectors nationwide.
