Key points
- REA plans to establish 3.7GW of local solar PV manufacturing capacity by the end of 2027.
- The agency says local production will reduce imports and strengthen Nigeria’s renewable energy value chain.
- Nigeria has mapped more than 700,000 communities to guide least-cost electrification.
- About 80 million Nigerians still lack reliable access to electricity.
Main story
The Rural Electrification Agency (REA) says it plans to establish 3.7 gigawatts (GW) of local solar photovoltaic (PV) panel manufacturing capacity by the end of 2027 as part of efforts to deepen domestic renewable energy production and expand electricity access.
Managing Director of the agency, Abba Aliyu, disclosed the plan in Abuja during a benchmarking visit by officials of the Zanzibar Utilities Regulatory Authority (ZURA).
Aliyu said the agency is encouraging Chinese solar manufacturers to establish production facilities in Nigeria, adding that locally assembled solar panels are already being exported from Lagos to neighbouring Ghana.
According to him, expanding local manufacturing will reduce dependence on imported solar equipment while strengthening Nigeria’s renewable energy value chain.
He said falling global prices of solar panels and lithium batteries had made off-grid electricity the most cost-effective solution for millions of underserved communities, accelerating the growth of renewable energy worldwide.
Aliyu said Nigeria’s electricity access rate currently stands at 61.2 per cent, leaving about 80 million people without reliable electricity.
He explained that the REA has adopted a least-cost electrification strategy that identifies the most appropriate technology for each community instead of relying solely on grid expansion.
Under the plan, more than 700,000 communities have been mapped nationwide, with about 45 per cent expected to be served through solar home systems, 31 per cent through mini-grids and the remaining 24 per cent through grid extension.
Aliyu also said the agency has developed one of Africa’s largest geospatial electricity databases, covering more than 51,000 health facilities, 11,000 markets, schools, factories, dams, electricity feeders and existing mini-grids to support planning and investment decisions.
He added that REA’s interventions also focus on communities receiving fewer than six hours of electricity daily, warning that rising population growth, increased electrification and emerging technologies such as artificial intelligence and data centres would continue to drive electricity demand.
The issues
Nigeria’s push to localise solar panel manufacturing is aimed at reducing import dependence, lowering project costs and building a domestic renewable energy industry capable of supporting the country’s growing demand for off-grid and grid-connected electricity solutions.
What’s being said
“The agency is encouraging Chinese solar manufacturers to establish production facilities in Nigeria.” — Abba Aliyu, Managing Director, Rural Electrification Agency.
Bottom line
By expanding local solar manufacturing and deploying technology-driven electrification strategies, the REA aims to improve electricity access while positioning Nigeria as a stronger player in Africa’s renewable energy industry.
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