Senate moves forward on Electric Vehicle Transition Bill to promote local manufacturing and support Nigeria’s shift to green mobility.
The Senate has passed the Electric Vehicle Transition and Green Mobility Bill 2025 for its second reading.
The bill aims to establish a national framework to guide Nigeria’s transition to electric vehicles (EVs), boost local manufacturing, and strengthen the country’s commitment to environmental sustainability.
Sponsored by Senator Orji Uzor Kalu (Abia North), the legislation received broad support as lawmakers discussed strategies for achieving electric mobility through local content development, foreign partnerships, and the creation of a nationwide charging infrastructure.
Leading the debate, Senator Kalu explained that the bill seeks to transform Nigeria’s automotive and energy sectors by fostering innovation, creating jobs, and enhancing competitiveness in the global EV market.
Key incentives in the bill include tax holidays, import duty waivers, toll exemptions, subsidies, and road tax reliefs for EV users and investors. It also mandates that all fuel outlets install charging stations across the country.
A major provision requires foreign automakers to collaborate with licensed Nigerian assemblers and set up local assembly plants within three years, achieving at least 30 percent local content by 2030. Violations could attract fines of up to N250 million per breach, while unlicensed EV importers may face penalties of N500 million and confiscation of goods.
Economically, the bill positions Nigeria as a potential hub for electric vehicle manufacturing in Africa, mandating that assemblers produce at least 5,000 units annually while meeting international safety and technical standards. Investors in charging infrastructure will also benefit from government grants and tax credits.
Senate President Godswill Akpabio described the bill as a forward-looking legislative effort that aligns with President Bola Tinubu’s clean energy and economic diversification agenda.
The bill has been referred to the Senate Committee on Industry for further consideration and is expected to return to plenary within four weeks.
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