Renewable energy adoption in Nigeria is set to accelerate in the coming years, mirroring global trends. In particular, solar uptake is rising, fuelled by the country’s abundant sunshine, high energy costs, and restricted access to the national grid in Nigeria. Solar energy is advancing decentralised power generation in the country, with government and multilateral initiatives providing support, and the Rural Electrification Agency (REA) playing a key role in driving implementation.
Despite recent progress, Nigeria’s solar industry remains nascent. In 2024, grid-connected solar operators contributed approximately 0.2% of total electricity generation, with ₦3.5 billion estimated revenue. A fuller assessment of the solar industry’s revenue, factoring in proprietary data from the growing pool of residential and commercial users, alongside mini-grid and other off-grid projects, would yield a higher estimate. The industry remains fragmented, with numerous players and new entrants drawn by the growing demand for alternative power sources. Key suppliers of isolated solar systems in Nigeria include Arnergy Solar and Sun King. Prominent mini-grid operators comprise Green Village Electricity, Husk Power Systems, and Nayo Tropical Technology, among others. Indigenous manufacturers such as Auxano and LPV Technologies Limited have also emerged as ambitious players in solar panel production. Okra Solar provides technology-driven solar energy solutions through proprietary artificial intelligence (AI) and internet of things (IoT)-enabled mesh grid technology, designed to support electrification in sparsely populated rural areas. Earthbond delivers a unique approach by operating an integrated clean-energy marketplace that supports small and medium-sized businesses in Nigeria with solar power solutions and access to financing.
The outlook for Nigeria’s solar industry is positive, supported by rising off-grid adoption among corporates, rural communities, and individuals seeking greater energy independence. Growth is further supported by advancements in battery storage technologies, smart distribution networks, and continued backing from global donors and government initiatives. Nonetheless, the industry continues to face headwinds from complex policy frameworks, inflationary pressures, foreign exchange volatility, and supply chain vulnerabilities.
This report provides information on the solar industry in Nigeria, including:
The following audience has been taken into consideration in preparing this report:
