The Nigerian government has taken a significant step towards addressing the country’s power challenges by signing a historic memorandum of understanding (MoU) to launch a gigawatt (GW) solar PV manufacturing plant in the country
The agreement, reached at the ongoing 28th session of the Conference of Parties (COP28) in Dubai, United Arab Emirates, signifies Nigeria’s commitment to a sustainable and self-reliant future and its determination to increase power efficiency.
The agreement was initiated by Infrastructure Corporation (Infracorp) led by Dr Lazarus Angbazo, who signed the contract with two partners – Solarge BV of the Netherlands and the African Green Infrastructure Investment Bank.
The signing is seen as a significant catalyst in unlocking the potential of various economic sectors such as agriculture, healthcare and education.
At the summit, the Minister of Power, Adebayo Adelabu, emphasized the importance of adequate energy supply for a country to unlock its full potential and assured the international community that President Bola Tinubu-led administration was fully dedicated to fulfilling its promises.
He noted that the current power situation in Nigeria is dire, with insufficient transmission infrastructure, limited distribution capacity and various challenges hindering generation.
Adelabu highlighted that renewable energy was no longer just a future aspiration but a current necessity.
“We bear witness to the enormous stress on our national grid that continues to trigger power outages that adversely affect the daily lives of our citizens: homes, schools, hospitals, and businesses of diverse scales,” he said.
He added that leveraging the African Continental Free Trade Agreement (AfCFTA) would position Nigeria as a regional leader in transforming the energy landscape across West Africa and the entire continent.
While commending the Infracorp-led consortium for successfully securing the plant, the Coordinating Minister for the Economy, Olawale Edun, said available data indicates a substantial market size for solar energy in Nigeria and the West Africa region.
Noting that the coexistence of abundant sunlight resources and limited energy access in Sub-Saharan Africa presents a complex and challenging paradox, Edun said the establishment of a solar PV manufacturing plant has the potential to address various socioeconomic challenges and bring about positive impacts across different sectors.
Angbazo said the objective of the project was to revolutionise Nigeria’s energy sector and have a positive impact on various sectors of the economy. He said the goal is to elevate Nigeria’s economy to $1 trillion through sustainable and climate-resilient infrastructure.
“The project focuses on local manufacturing, green manufacturing and renewable energy, equipment manufacturing and climate resilient infrastructure,” he said.
InfraCorp is a government-supported infrastructure investment entity established and co-owned by the Central Bank of Nigeria (CBN), Africa Finance Corporation (AFC) and Nigeria Sovereign Investment Authority (NSIA).
