April 10, 2025

REAN Urges FG to Reconsider Ban on Importation of Solar Panels

REAN Urges FG to Reconsider Ban on Importation of Solar Panels

The Renewable Energy Association of Nigeria has urged the Federal Government to halts its plan to ban the importation of solar panels.

The association, in a statement yesterday, through its President, Mr Ayo Ademilua said the “ban on solar imports, without first strengthening local production capabilities, risks derailing this progress.”

Recently, the Minister of Science and Technology, Uche Nnaji, said the Federal Government plans to ban the importation of solar panels to promote local manufacturing and accelerate Nigeria’s shift toward clean energy solutions.

He said the growth of the renewable energy sector would be hugely impacted if the ban is implemented as companies that depend on the importation of solar panels would slowly go out of business, thereby, leading to job losses and hampering the growth of the industry.

“However, creating an enabling environment for businesses to thrive must come before any restrictive measures that could stifle progress and inadvertently hurt the very industry the government seeks to empower.

“Solar energy has become a beacon of hope for millions of Nigerians who remain underserved by the national grid. Businesses, communities, and individuals rely on solar solutions to power homes, schools, hospitals, and enterprises. The renewable energy sector has grown significantly, attracting investment and fostering innovation. A ban on solar imports, without first strengthening local production capabilities, risks derailing this progress,“ Ademilua warned.

He posited that local production could not be achieved overnight.

“Manufacturing is not built overnight. For local production to scale and compete globally, manufacturers need access to finance, infrastructure, technology, and skilled labour.

“The current reality presents hurdles—high production costs, supply chain inefficiencies, and limited access to raw materials. Expecting local manufacturers to meet national demand without addressing these challenges is unrealistic and counterproductive.

“Restricting imports too soon could lead to unintended consequences. Prices may rise, making solar solutions less accessible for ordinary Nigerians.”

“Rather than an outright ban, a phased approach that nurtures local manufacturing while keeping the market open to necessary imports would be more effective. Incentivising local producers through tax breaks, grants, and infrastructure support would build the foundation needed for long-term sustainability. Encouraging partnerships between international companies and Nigerian firms would facilitate knowledge transfer and technology exchange, strengthening the industry from within,” Ademilua advised.

He added, “The focus should be on fostering a competitive and sustainable industry—one that supports local businesses without cutting off the lifeline that imports currently provide.

“REAN remains committed to working alongside policymakers to develop solutions that balance national interests with industry realities. We urge the government to reconsider the proposed ban and instead prioritise building a resilient, self-sustaining solar industry that truly serves the Nigerian people.”