REA, Ecotech Seal Landmark Deal to Drive Local Solar Manufacturing, Boost Energy Transition

• John Enoh: MoU success depends on collective commitment to patronise locally manufactured products, services 

•Abba Aliyu: 85 million Nigerians—about 40% of population lack reliable access to grid electricity 

•Ecotech boss reveals plan to commence local manufacturing to boost jobs

James Emejo in Abuja

The Rural Electrification Agency (REA) and Ecotech Development Nigeria Limited, yesterday signed a landmark Joint Development Agreement that is expected to reshape the country’ s renewable energy landscape.

The initiative aimed at strengthening local solar manufacturing, deepening technology transfer and accelerating the industrialisation agenda.

The agreement establishes a framework for the annual offtake of up to 200 megawatts (MW) of locally manufactured solar photovoltaic modules and 200 megawatt-hours (MWh) of battery energy storage products, marking one of the country’s boldest moves yet to develop a domestic renewable energy value chain.

The partnership is designed to reduce Nigeria’s dependence on imported renewable energy equipment while creating jobs, retaining foreign exchange, expanding local technical capacity and supporting the federal government’s clean energy and industrial development objectives.

Speaking at the signing ceremony in Abuja, Minister of State for Industry, Senator John Enoh, described the agreement as a major milestone that reflects the kind of strategic collaboration required to build industrial capacity while expanding access to sustainable energy infrastructure.

He said the initiative comes as the implementation of Nigeria’s industrial policy gathers momentum, stressing that manufacturing, innovation and local value addition remained central to economic growth, employment generation and national competitiveness.

According to him, the agreement aligns squarely with the Nigeria First Policy, which seeks to place Nigerian industries, businesses and workers at the centre of national economic development.

Enoh said the success of the policy would depend not only on government interventions but also on a collective commitment to patronise locally manufactured products and services.

He noted that every Nigerian-made product strengthens domestic industries, supports jobs, reinforces supply chains and ensures that greater economic value remains within the country.

The minister added that the federal government intends to increasingly deploy public procurement as a catalyst for industrial development by creating sustainable demand for locally manufactured goods and infrastructure.

“No country has successfully industrialised without deliberately leveraging its domestic market to support local production,” he said.

Enoh further stressed that government alone cannot industrialise the economy, just as private investors cannot thrive without an enabling policy environment.

He said partnerships such as the REA-Ecotech collaboration would attract investments, reduce project risks, encourage innovation and fast-track the delivery of critical infrastructure.

The minister also pointed to the declining cost of solar technologies globally, saying Nigeria now has a unique opportunity to accelerate renewable energy deployment while positioning itself as a competitive manufacturing hub for solar panels, batteries, inverters and other clean energy technologies.

He maintained that building domestic manufacturing capacity would strengthen energy security, create quality jobs, facilitate technology transfer and integrate Nigeria more competitively into emerging global value chains.

Earlier, Managing Director/Chief Executive of REA, Abba Aliyu, described the agreement as a watershed moment for Nigeria’s renewable energy sector, noting that it represents the first commitment by a Tier-One Chinese renewable energy company to establish manufacturing and assembly operations in the country.

Aliyu said the initiative comes against the backdrop of Nigeria’s huge electricity access gap, revealing that more than 85 million Nigerians—about 40 per cent of the population—still lack reliable access to grid electricity.

While acknowledging the progress made under programmes such as the Rural Electrification Fund, the Nigerian Electrification Project and the Distributed Access through Renewable Energy Scale-Up initiative, he said the country still faces a significant electrification challenge

He lamented that nearly every solar installation across Nigeria depends on imported components, arguing that the country has for years financed industrial growth in other economies despite possessing enormous renewable energy potential.

According to him, every imported solar panel, battery and inverter represents lost opportunities for Nigerian factories, technicians and manufacturers.

Under the agreement, Aliyu explained, REA, through its renewable asset management subsidiary, will facilitate the annual offtake of up to 200MW of solar modules and 200MWh of battery energy storage systems to be manufactured and assembled locally by Ecotech.

He clarified that the arrangement is a non-exclusive framework and not a procurement mandate, adding that all transactions will continue to comply with existing public procurement regulations and be evaluated based on quality, price and reliability.

Aliyu expressed confidence that the initiative would significantly reduce import dependence, shorten project delivery timelines, strengthen local technical expertise, conserve foreign exchange and support President Bola Tinubu’s vision of building a $1 trillion economy through private sector-led industrialisation.

On his part, Managing Director of Ecotech Development Nigeria Limited, Mr. John Zhao, said the company would locally manufacture and assemble high-efficiency solar panels, battery storage systems and hybrid inverters for residential, commercial and industrial applications.

He explained that the company would also provide engineering design, system integration, installation, commissioning and long-term maintenance services to ensure the reliability and sustainability of deployed projects.

Zhao unveiled a broad portfolio of renewable energy solutions that will underpin the partnership, including high-efficiency bifacial solar modules ranging from 220 watts to 750 watts, with conversion efficiencies of up to 23.3 per cent.

He said the products are suitable for utility-scale power projects, commercial installations, grid-connected systems and interconnected mini-grids.

For homes and small businesses, Zhao said Ecotech would supply integrated energy storage systems with capacities of about 10 kilowatt-hours and 14 kilowatt-hours, alongside single-phase and three-phase hybrid inverters ranging from 5kW to 12kW.

He added that the company’s commercial and industrial portfolio includes 200kWh battery storage systems as well as larger containerised energy storage solutions with capacities ranging from about 1.075MWh to 2.15MWh.

According to him, the solutions are designed to be reliable, scalable and adaptable to varying operating conditions across Nigeria, while comprehensive technical support from manufacturing partners will ensure efficient deployment and long-term performance.

Zhao said the technologies are capable of powering hospitals, businesses, public institutions and interconnected mini-grid projects, demonstrating that the REA-Ecotech partnership is backed by practical, bankable solutions capable of accelerating Nigeria’s clean energy transition while supporting domestic industrial growth.