Nigeria expands solar manufacturing to 300MW, targets 3.7GW hub
Nigeria Increases Solar Manufacturing Capacity to 300MW, Aims for 3.7GW Hub
By Udeme Akpan, Energy Editor
Nigeria is intensifying its efforts to develop local renewable energy manufacturing. The country’s installed solar panel production capacity has risen from 120 megawatts (MW) two years ago to approximately 300MW, with plans for an additional 3.7 gigawatts (GW) as part of its strategy to become a regional hub in West Africa.
Dr. Abba Aliyu, Managing Director of the Rural Electrification Agency (REA), made the announcement during a webinar organized by the African Association of Energy Journalists and Publishers (AJERAP). He noted that this growth is supported by targeted government policies designed to attract private sector investments.
In 2025, Nigeria secured about $425 million to establish eight renewable energy manufacturing facilities. Locally produced solar panels are already being exported from Lagos to Accra, Ghana.
Aliyu credits increasing investor confidence to regulatory reforms, particularly the Nigerian Electricity Regulatory Commission’s 2026 Mini-Grid Regulations. These regulations have allowed for mini-grid capacity expansions from 1MW to 5MW, and even up to 10MW for interconnected systems, facilitating larger renewable projects. The new framework also simplifies the licensing process and clarifies interactions with the grid.
He emphasized that the expanded mini-grid capacity could facilitate cross-border electricity trade, particularly benefiting communities near borders and promoting regional integration. While the West African Power Pool works on enhancing grid connectivity, Aliyu advocates for a complementary off-grid market throughout the region.
Nigeria’s electricity access model is gaining interest across Africa, with countries such as Mozambique, Benin Republic, Burkina Faso, Niger, Chad, Mauritania, and Mauritius exploring the framework for potential implementation.
Aliyu highlighted the Distributed Access through Renewable Energy Scale-Up (DARES) program, touted as the world’s largest publicly funded renewable energy access initiative. This program aims to provide electricity access to 17.5 million Nigerians by connecting over 2.5 million households and deploying 1,350 mini-grids, including 250 interconnected systems.
With funding of $750 million, the program is expected to attract an additional $1.1 billion in private investments through a results-based financing model requiring developers to invest capital upfront.
Aliyu also pointed to partnerships with prominent institutions, such as Citibank Nigeria, Lotus Bank, and the International Finance Corporation, as indicators of the growing confidence in Nigeria’s renewable energy strategy.
