In this article, we explore the momentum behind the rise of electric mobility in Nigeria, highlighting key drivers, success stories, and the transformative potential of EVs for the country''s transportation landscape.
Smart, Green Vehicles. The Electric Motor Vehicle Company (EMVC) is an indigenous Nigerian EVcompany that provides environmental and sustainable mobility technology solutions by providing a full range of electric vehicles and complementary services to the electric mobility value chain market.
Our engagement with the key information has unveiled the intricate landscape of electric vehicle (EV) adoption in Nigeria. Through thorough thematic analysis, our findings have illuminated crucial themes related to the challenges, opportunities, and prospects in this evolving landscape.
A Tesla Y model price ranges from N20 million to N30 million. A Hyundai Kona electric vehicle''s price ranges from N24 million to N30 million. The affordability of these electric vehicles may be steep for most Nigerians, however, it is a small price to pay for the level of convenience owners of the car say they enjoy.
Key challenges overlaying EV commercialization in Nigeria. High upfront cost: Despite being cheaper on a lifecycle basis, the initial capital outlay of EVs is substantially higher than for internal combustion engine vehicles (ICEVs). Based on a Cox Automotive estimate, the average cost of a new EV is about $55,600 (around ₦23m).
The world is undoubtedly facing a crisis and 2023 was unfortunately dubbed the hottest in 174 years of record-keeping where humans directly measured the temperature of the planet. Hence, climate mitigation was a vital component of the conversations at COP28, leading the rather groundbreaking Global Stocktake (GST) text to call on countries to "accelerate emissions reductions from road transport through a range of pathways, including development of infrastructure and rapid deployment of zero and low emission vehicles."
Electric vehicles (EVs) are a significant part of meeting global goals on climate change. They feature majorly in mitigation pathways that limit warming to well-below 2C or 1.5C, which is in agreement with the Paris Agreement''s targets. The e-mobility drive globally has been increasing with China boasting one of the fastest growing EV markets in the world.
Recent years have seen exponential growth in sales of electric vehicles (EVs) together with greater range, wider model availability and improved performance. Research by Canalys showed that worldwide sales of electric vehicles (EVs) grew by 49% to 6.2 million units in H1 2023. EVs also constituted 16% of the global light vehicle market, a notable increase of 12.4% from the first half of 2022.
As a developing country, Nigeria has been making moves to push for electric vehicles (EVs) in the country. At COP28, President Bola Tinubu announced plans to deploy 100 electric buses for carbon reduction and modernisation of the transportation system in Nigeria. It was a welcome development with the potential to draw in foreign investment into the country’s e-mobility sector and an expansion of that initiative can make the public transport sector key in driving EVs adoption in Nigeria as is seen in Kenya.
Perhaps more ambitious – necessarily so – is Nigeria''s Energy Transition Plan (ETP) which targets 10% biofuel blends by 2030 and complete EV adoption by 2060. Many experts have posited that the removal of fuel subsidies may just boost the electric mobility sector as government and private sector partners may expend more potency to promote EVs and charging infrastructure for a sustainable future. But how much resources would be pumped into the sector and how fast it would grow remains uncertain.
From 1971 to 2014, the transportation sector''s average yearly contribution to the country''s total CO² emissions from fuel combustion was 48%. The government projected that by 2035, greenhouse gas (GHG) emissions from the transport sector could increase by up to 50%, and by almost 100% by 2050; under the business as usual (BAU) scenario.
Hence, transitioning to e-mobility is pertinent in decarbonising the transport sector in Nigeria. Accelerating the adoption of electric buses, two-wheelers, three-wheelers and cars requires substantial financial and technical resources, especially in developing countries. And here lies the problem for Nigeria''s green transport future.
For Nigeria, climate finance and e-mobility are not standalone entities; they are intertwined threads in the country’s sustainable future. International funds, grants, and investments pooled together from initiatives jointly or separately birthed by developed countries that are signatories to the Conference of the Parties (COP) can help address financial constraints and provide the necessary resources for building charging infrastructure, promoting research and development, and implementing supportive policies.
However, the GST text urged developed country parties to fully deliver on the $100 billion per year goal urgently and through 2025. Section 96 of the text notes that "scaling up new and additional grant-based and concessional finance from developed countries remains critical to support developing countries, particularly as they transition in a just and equitable manner and recognises that there is a positive connection between having appropriate fiscal space, and climate action and advancing on a pathway towards low emissions and climate resilient development."
It is apparent that Nigeria cannot unlock its future for e-mobility without intensive climate finance. Private climate finance is also instrumental in giving the country access to the tools, technology, knowledge capacity and inclusion mechanisms for its 2060 EV adoption. Thirty-six years does seem far from now but, with the slow pace at which we are going, we may not have gotten far by 2030 or 2035.
There is a huge potential in Nigeria’s e-mobility sector with several initiatives and partnerships already underway to promote e-mobility in the country. Collaborations between the government, private sector, and international organisations aim to develop charging infrastructure, provide incentives for EV adoption, and create a conducive policy environment.
In December 2023, the Minister of Finance and the Coordinating Minister of the Economy, Wale Edun, after his return from Dubai’s COP28 said major manufacturers of electric vehicles have started expressing interest in their determination to establish electric vehicles plants in Nigeria after the president launched an initiative of electric vehicles.
Moreover, in June 2023, the Federal Government adopted a new National Automotive Industry Development Plan (NADIP) that would span between 2023-2033. The NADIP will provide room for an increase in the local production of vehicles, reaching 40% of local content, and attaining 30% of locally produced electric vehicles (EVs). The National Automotive Design and Development Council (NADDC) revealed that the government has provided a 10-year tax relief for EV manufacturers in Nigeria, which is expected to increase investments in Nigeria''s auto sector.
Many companies are looking to enter Nigeria''s electric vehicle industry, planning to assemble thousands of EVs locally, driven by the rising fuel prices and the removal of fuel subsidies. Indigenous companies in Nigeria, such as Siltech and MAX, have already introduced their electric vehicle designs in the market, indicating further development and production.
ThinkBikes, a nonprofit organisation, started delivering its locally produced electric tricycles to customers in Nigeria, in 2022. Possible EVS, a Nigerian electric mobility firm, is gearing up to launch EV assembly plants in Nigeria that will produce up to 10,000 EVs annually. Saglev, a United States EV manufacturer, has finalised plans to begin assembling electric vehicles at its Assembly Plant located in Ikorodu, Lagos State.
With so much at stake for Nigeria''s sustainable future, the country must do all it takes to tap into all available finance initiatives set not just by COP countries, but private organisations. Although the Lagos State Government is working with the World Bank to enhance the e-mobility system and improve the transport sub-sector of the economy, the country can secure more funding from initiatives like the Global Facility to Decarbonize Transport (GFDT) and Green Climate Fund (GCF) with respect to e-mobility.
There’s also the Green Climate Fund (GCF) which received a boost to its second replenishment (GCF-2) with six new pledges from Australia, Estonia, Italy, Portugal, Switzerland and the United States of America (USA) in Dubai. The new funding at the opening high-level segment of world leaders at COP28 totalled $3.5 billion. The GCF is the world''s largest climate fund, mandated to support developing countries raise and realise their Nationally Determined Contributions (NDC) ambitions towards low-emissions, climate-resilient pathways.
In 2022, Nigeria was among 13 African countries to receive more than $194 million as part of its Inclusive Green Financing Initiative (IGREENFIN I) from the GCF. But we need to submit proposals on e-mobility in Nigeria in order to access specific funding for green transport.
Affordability for EVs is also a key challenge for Nigeria''s teeming population. The upfront cost is higher than internal combustion engine vehicles (ICEs). However, innovative financing models such as lease-to-own options and pay-per-use schemes can ease the financial burden for individual buyers. In Egypt, for instance, there is a subsidy of up to 50,000 Egyptian pounds on the purchase of locally manufactured EVs.
Nevertheless, the targets set at COP28 laid the foundation for some quantitative breakthroughs, ensuring that the journey toward a zero-emission road future remains at the forefront of global climate action. COP28 may have ended, but COP finance initiatives will yet play a vital role in expanding e-mobility in Nigeria, but sustained progress requires multiple approaches. Effective utilisation of existing initiatives, exploring innovative financing mechanisms, building capacity, and attracting diverse funding sources are crucial for scaling up context-based e-mobility solutions.
Ultimately, Nigeria must also exhaustively utilise future COPs as a platform for knowledge sharing and technology transfer. Partnerships with developed nations can provide access to advanced e-mobility technologies and expertise, accelerating Nigeria’s transition. By harnessing the potential of e-mobility, Nigeria can not only reduce its carbon footprint and improve air quality, but also create new jobs, spur economic growth, and solidify its position as a leader in sustainable development in Africa and the world.
About Nigeria electric vehicle range
As the photovoltaic (PV) industry continues to evolve, advancements in Nigeria electric vehicle range have become critical to optimizing the utilization of renewable energy sources. From innovative battery technologies to intelligent energy management systems, these solutions are transforming the way we store and distribute solar-generated electricity.
When you're looking for the latest and most efficient Nigeria electric vehicle range for your PV project, our website offers a comprehensive selection of cutting-edge products designed to meet your specific requirements. Whether you're a renewable energy developer, utility company, or commercial enterprise looking to reduce your carbon footprint, we have the solutions to help you harness the full potential of solar energy.
By interacting with our online customer service, you'll gain a deep understanding of the various Nigeria electric vehicle range featured in our extensive catalog, such as high-efficiency storage batteries and intelligent energy management systems, and how they work together to provide a stable and reliable power supply for your PV projects.
Related Contents
