The Managing Director of the Rural Electrification Agency, Abba Aliyu, has announced that Nigeria is working to expand its local solar manufacturing capacity to 3.7 gigawatts by 2027. He made this known on Thursday in Abuja during a benchmarking visit by officials of the Zanzibar Utilities Regulatory Authority. Aliyu also disclosed that Nigeria has begun exporting locally assembled solar photovoltaic panels to Ghana.
According to him, the long-term goal is to reduce dependence on imported solar products, attract Chinese manufacturers to set up in Nigeria, and build a stronger domestic value chain around renewable energy equipment. He said the agency’s mini-grid program and broader electrification strategy are central to achieving universal electricity access in Nigeria by 2060.
Aliyu stated that the total funds available to REA for renewable energy projects have now reached $1.23 billion. He explained that the money comes from federal budget allocations, regulatory surpluses including 2% from NERC’s tariff, funds from development finance institutions and donors, in-kind grants from bilateral partners, and intervention funds from the Federal Government.
Speaking on tariffs, Aliyu said mini-grid customers are paying cost-reflective rates willingly because it is still cheaper than powering private generators. He noted that while there is a perception of a tariff problem in the media, customers pay N250 per kWh compared to about N600 per kWh for diesel generators.
He added that REA created Renewable Energy Service Companies to deploy mini-grids, and some of them now manage up to 30 megawatts. He said very soon these RESCOs could grow to over 100 megawatts in generation, distribution, metering and connections, putting them on the same scale as some Distribution Companies.
Also speaking, World Bank consultant supporting ZURA, William Gboney, described Nigeria as one of Africa’s leaders in off-grid electrification and mini-grid regulation. He said the visit was organized to help Zanzibar’s regulator learn from Nigeria’s experience in off-grid regulation, geospatial planning, and project implementation. Gboney stressed that universal electricity access now means more than just grid connection, and that power must also be reliable, affordable, and support productive economic activities.
REA reaffirmed its commitment to working with government, regulators, investors and development partners to scale up local manufacturing, expand energy access, and strengthen Nigeria’s renewable energy sector.
