REA Targets 3.7GW Local Solar Manufacturing

The Rural Electrification Agency (REA) plans to establish 3.7 gigawatts (GW) of local solar panel manufacturing capacity by the end of 2027 as Nigeria steps up efforts to improve electricity access and reduce reliance on imported renewable energy equipment. The initiative is expected to strengthen the country’s clean energy industry while supporting long-term energy security.

Speaking in Abuja during a benchmarking visit by officials of the Zanzibar Utilities Regulatory Authority (ZURA), REA Managing Director, Engr. Abba Aliyu, said the agency is encouraging Chinese solar manufacturers to set up production facilities in Nigeria. He noted that locally assembled solar panels are already being exported from Lagos to neighbouring Ghana.

Aliyu said expanding solar panel manufacturing will reduce import dependence and strengthen Nigeria’s renewable energy value chain. He explained that falling prices of solar panels and lithium batteries have accelerated global renewable energy adoption, making off-grid electricity the most affordable solution for millions of underserved communities.

According to him, Nigeria’s electricity access rate currently stands at 61.2 per cent, leaving around 80 million people without reliable power supply. To tackle this challenge, REA has adopted a least-cost electrification strategy that identifies the most suitable technology for each community instead of relying solely on extending the national grid.

The agency has mapped more than 700,000 communities across the country. Under its electrification plan, about 45 per cent will be served through solar home systems, 31 per cent through mini-grids and the remaining 24 per cent through grid expansion.

Aliyu also revealed that REA has developed one of Africa’s largest geospatial electricity databases, covering more than 51,000 health facilities, 11,000 markets, thousands of schools, factories, dams, electricity feeders and existing mini-grids. He said the database will support investment planning and improve decision-making across the power sector.

He added that the agency’s programmes also focus on communities that receive fewer than six hours of electricity each day. Looking ahead, Aliyu warned that electricity demand will continue to rise as Nigeria’s population grows, more sectors become electrified and technologies such as artificial intelligence and data centres require greater amounts of power.

How important is local manufacturing to achieving Nigeria’s renewable energy and electricity access goals?