In a significant move to enhance service delivery and drive operational earnings, Oando Plc has signed a Memorandum of Understanding (MoU) with the Rural Electrification Agency (REA) to develop a groundbreaking 1.2-gigawatt (GW) solar project.
The transformative project highlights Oando’s commitment to clean energy and its strategic vision for business expansion. The MoU, signed on March 19, features Oando Clean Energy’s President & CEO, Demola Ogunbanjo, who emphasized the project’s critical role in Nigeria’s energy future.
“This marks Africa’s first solar module assembly plant with a recycling line, ensuring that old and non-functional solar panels are repurposed into raw materials for various applications,” Ogunbanjo stated.
This innovative approach underscores Oando’s dedication to sustainability and a circular economy, ensuring a minimized environmental footprint and maximized impact. Upon completion, the 1.2 GW solar project will be Nigeria’s largest renewable energy initiative, positioning the country as a leader in Africa’s transition to clean energy.
The first phase, a 600-megawatt (MW) line, is expected to be operational by 2026, significantly expanding the country’s solar photovoltaic (PV) infrastructure and strengthening local manufacturing capabilities. This expansion is projected to generate thousands of jobs, fostering both social and economic development.
Beyond energy generation, Oando’s solar project represents a broader strategy to enhance nationwide energy accessibility, particularly in underserved rural areas. Through its collaboration with REA, Oando is working to bridge the gap between urban and rural electrification, ensuring that millions of Nigerians gain access to reliable and affordable electricity. This advancement will power homes, businesses, and essential services, contributing to improved living standards and economic growth.
Oando’s clean energy commitment extends beyond power generation to sustainable transportation solutions. The company has formed a strategic investment partnership with the Lagos State Government to introduce 5,000 electric buses for public transportation. This initiative aims to reduce reliance on fossil fuels and align with Nigeria’s broader sustainability goals.
By integrating renewable energy projects with sustainable mobility solutions, Oando is making significant strides toward creating an environmentally friendly future for Nigeria. The company’s clean energy strategy, which merges solar power with electric transportation, is expected to yield long-term financial benefits. Oando’s diversification into the fast-growing clean energy sector is set to drive revenue growth through power generation, solar module assembly, and electric vehicle deployment.
The timing of Oando’s partnership with REA is critical, given Nigeria’s persistent energy challenges, including supply shortages, inadequate infrastructure, and overdependence on fossil fuels. This solar initiative is a major step toward diversifying the nation’s energy mix and providing a sustainable solution to the country’s growing energy needs.
Aligned with Nigeria’s energy transition goals, the project will contribute to reducing carbon emissions and increasing the share of renewable energy in the overall energy mix. Additionally, the initiative plays a vital role in Nigeria’s broader economic ambitions, addressing power deficits that hinder industrialization and economic progress. By expanding energy access across urban and rural regions, Oando’s investment in solar infrastructure is expected to stimulate business growth, attract investment, and create jobs, ultimately strengthening Nigeria’s economic resilience.
The MoU for the 1.2 GW solar project reflects a forward-thinking, sustainable approach that aligns with global clean energy trends, solidifying Oando’s position as a leader in renewable energy development. Alongside its collaboration with the Lagos State Government on electric buses, this initiative exemplifies Oando’s strategic vision to drive business growth while championing Nigeria’s sustainable energy future.
As Nigeria embarks on its journey towards a cleaner, more energy-efficient future, Oando’s leadership in renewable energy and its partnership with REA stand as a testament to progress and innovation. As Ogunbanjo aptly put it, “The future of clean energy starts now.”
