Nigeria's EV push collides with an unreliable electricity grid

Nigeria's push to accelerate electric vehicle (EV) adoption is running into a familiar obstacle: an unreliable electricity supply. Government data shows that nearly 4,000 EVs received tax waivers in the first half of the year, marking the first approvals under a new incentive programme designed to promote cleaner transport.

The waivers are part of a broader strategy. Nigeria exempted EVs from value-added tax in 2024 and cut import duties to zero this year. The removal of a petrol subsidy in 2023, which sharply raised fuel costs, has also made electric motorcycles, cars, and buses more attractive to cost-conscious buyers.

However, the country's power sector remains a major constraint. The national grid supplies roughly 4,000 megawatts for a population of more than 200 million people, one of the lowest per-capita availability rates among major economies. This forces households and businesses to depend heavily on diesel and petrol generators.

That dependence has spilled into the EV ecosystem. Charging stations, dealerships, and battery-swapping operators routinely rely on backup generators when grid power fails. Bolanle Boboye, an executive at Saglev, Nigeria's first EV manufacturer, argues that waiting for perfect electricity would leave the country behind. "Even when EVs are charged using diesel-generated electricity, they can still help reduce overall emissions," he said.

Public charging infrastructure is still minimal. As of late 2025, there were about 48 public charging stations, mostly in Lagos and Abuja, compared with more than 500 in South Africa. Many EV owners therefore charge at home using portable cables plugged into standard household outlets.

The unreliable grid is also shaping vehicle choices. Extended-range EVs, which pair a battery with a small fuel-powered generator, have seen sales double this year, according to Boboye. Chinese brands like BYD and Geely are expanding with hybrid and electric models that executives say are better suited to local conditions. Geely's local partner, Tim Motors, reports that new-energy vehicles now account for about 2% of its sales in Nigeria.

Analysts see the clearest near-term opportunity in two- and three-wheelers. With more than 15 million motorcycles on the road, riders have been hit hard by fuel price rises. Stanley Nwankwo of Donda X Limited says electric motorcycles and tricycles have cut operating costs by two-thirds compared with petrol versions. Startups like MAX and Spiro are investing in battery-swapping networks, allowing riders to exchange depleted batteries in minutes and reducing their reliance on a fragile grid.