REAN Reacts as FG Considers Ban on Solar Panel Imports
The Nigerian Renewable Energy Association has urged the federal government against implementing its proposal to prohibit the importation of solar panels.
The organization, in a declaration provided to our representative yesterday, stated that the choice to prohibit solar imports in Nigeria necessitates thorough reassessment.
Recently, the Minister of Science and Technology, Uche Nnaji, stated that the Federal Government is ready to back domestic production of solar panels while limiting imports.
Nnaji emphasized Nigeria's capability to manufacture solar panels via the National Agency for Science and Engineering Infrastructure.
"With NASENI present, we can confirm that we indeed have access to solar panels. The organization operates a facility that has begun manufacturing them, and several individual entities are currently engaged in their production as well. Therefore, with the aid of scientific advancements and technological progress, along with adherence to our Presidential Executive Order No. 5, we aim to halt all imports of solar panels. Instead, we intend to bolster and nurture our domestic industrial sectors," he stated.
In response, the REAN stated that they comprehend the government’s aim to boost local production, bolster economic stability, and maintain energy security. Nonetheless, they emphasized that the government should foster an inclusive atmosphere conducive to all participants.
Mr. Ayo Ademilua, the President of REAN, stated in his address that the administration's ambitions are laudable and have earned full backing from REAN.
Nonetheless, fostering a supportive atmosphere for enterprises to flourish should precede any constraints that might impede growth and unintentionally harm the sector the administration aims to strengthen.
"Solar energy has emerged as a ray of hope for countless Nigerians still lacking access to the national electricity grid. This technology supports businesses, communities, and individuals alike in powering their homes, schools, hospitals, and ventures. Consequently, the renewable energy industry has expanded considerably, drawing investments and encouraging new ideas. However, banning solar imports without initially boosting domestic manufacturing could jeopardize these advancements," cautioned Ademilua.
As he stated, local capabilities cannot be developed instantly unless the government tackles specific obstacles and issues.
He went on, "Establishing manufacturing capabilities doesn’t happen quickly. To enable local production to expand and stand up against global competition, manufacturers require access to financing, robust infrastructure, advanced technology, and trained workers."
The present situation poses several obstacles—including high production expenses, inefficient supply chains, and restricted access to raw materials. It would be impractical and unwise to expect domestic producers to fulfill national demands without tackling these issues first.
Limiting imports prematurely might result in unforeseen outcomes. This could cause prices to increase, thereby reducing accessibility of solar solutions for average Nigerians.
The head of REAN contended that companies relying on foreign parts might find it difficult to remain solvent, which could result in employment reductions rather than new jobs being generated.
He warned that the progress the renewable energy sector has made might decelerate, which could deter investors due to the ambiguity surrounding the policy landscape.
He recommended that the government adopt a step-by-step strategy rather than impose a complete prohibition.
“A gradual strategy rather than a complete prohibition should foster indigenous production while maintaining an open marketplace for essential imports. Supporting domestic manufacturers with incentives such as tax exemptions, subsidies, and improved infrastructure will lay down the groundwork required for enduring viability. Promoting collaborations between global enterprises and Nigerian businesses could enhance skill sharing and technological advancement, thereby reinforcing the sector internally,” observed Ademilua.
He asserted that Nigeria's shift towards cleaner energy is a process, rather than just one specific policy choice. To foster a robust renewable energy industry, he emphasized that the government should play a supportive role instead of hindering progress.
He recommended, "The emphasis ought to be on nurturing a competitive and sustainable sector—a market that bolsters local enterprises without severing the supply line that current imports maintain."
REAN continues to dedicate itself to collaborating with policymakers in crafting solutions that harmonize national interests with real-world industry needs. We encourage the government to reassess the suggested prohibition and focus on fostering a robust, independent solar sector that genuinely benefits the Nigerian populace.
Provided by SyndiGate Media Inc. Syndigate.info ).
