FG Stands Firm on Solar Panel Import Ban, Signs MOU for Local Production

Despite various opinions urging caution, the Federal Government has reiterated its decision to halt the importation of solar panels into Nigeria.

With unreliable electricity supply still a major challenge across the country, many Nigerians have turned to solar energy as an alternative. However, the government has now unveiled a new approach that seeks to phase out foreign imports while encouraging domestic solutions.

In recent years, the value of imported photovoltaic solar panels has grown significantly, reportedly nearing N200 billion annually. The government believes ending this practice will ease pressure on the naira and conserve foreign reserves.

To offer a sustainable substitute, authorities are looking inward by supporting local manufacturing of solar components.

Federal Government Signs MOU for Local Solar Panel Production

Abba Aliyu, the Managing Director and CEO of the Rural Electrification Agency (REA), made this known during a meeting held on Victoria Island, Lagos. The gathering brought together the REA and Lagos State Government to sign a Memorandum of Understanding (MOU) for powering rural communities.

Aliyu noted that Lagos is expected to lead in this effort, as plans are already underway for local production of solar panels within the state.

He pointed out that an assembly plant located in the Ikotun area has begun operations.

“They started with 10 megawatts, but with the collaboration with REA, they have moved and increased their capacity to an additional 100 megawatts,” Aliyu revealed.

He also mentioned an upcoming joint development agreement with Green World for a lithium battery assembly plant in Lagos worth $150 million.

Government Pledges Support for Local Solar Manufacturers

According to The PUNCH, the Minister of Science and Technology, Uche Nnaji, also assured that the government is backing domestic production.

Citing the contributions of the National Agency for Science and Engineering Infrastructure (NASENI), Nnaji said that local manufacturing is already ongoing.

“With NASENI here, you know that we have panels. It has a factory that has started producing solar panels, and other private individuals are also producing solar panels as we speak. So, all we need to do is, even through science and technology, through our Presidential Executive Order No. 5, we will stop all these importations of solar panels. We will support our local industries to grow,” he stated.

Nonetheless, the REA has advised that the import ban should not take immediate effect until local capacity is strong enough to meet growing demand. Solar energy remains a lifeline for millions in underserved communities across Nigeria.

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