InfraCorp, Nigeria’s Rural Electrification Agency (REA) and Dutch manufacturer Solarge BV announced the creation of Solarge Nigeria Limited, a joint venture tasked with developing a solar panel factory with an annual capacity of 1 gigawatt. The project aims to strengthen domestic industrial capacities and supply modules to the government’s energy infrastructure programmes.
Public purchase commitment over five years
REA committed to purchase 200 megawatts of panels per year for five years to ensure stable demand for production. This public procurement contract is intended to secure the economic viability of the joint venture in its initial years of operation. InfraCorp, a public infrastructure financing vehicle, will provide funding for the plant, while Solarge BV will supply industrial equipment and technological know-how.
Target of 50% local content in three years
The partners set a target of achieving 50% local content within three years. This approach forms part of a strategy to reinforce the local industrial base and reduce import dependence in the solar sector. The plant is expected to supply photovoltaic modules for public projects, including the National Public Sector Solarisation Initiative (NPSSI) and the Renewed Hope Infrastructure Development Fund (RHIDF).
Market conditions still to be stabilised
The success of this operation depends on several factors: the sustained availability of public financing, consistent quality of local production, and adherence to procurement commitments by the authorities. Institutional demand is considered the main anchor of the joint venture’s business model in a market not yet structured at scale.
