The Federal Government has approved tax waivers for nearly 4,000 electric vehicles imported into Nigeria in the first half of 2026 as it steps up efforts to accelerate cleaner transportation.
The approvals are the first batch processed under a new government programme aimed at encouraging electric vehicle adoption through tax incentives and local vehicle assembly.
The development comes despite persistent electricity shortages and a limited network of public charging stations, which remain among the biggest obstacles to mass adoption of electric vehicles in Nigeria.
Government data reviewed by Reuters showed that the tax waivers covered almost 4,000 electric vehicles during the first six months of the year.
The government has been introducing incentives to make EVs more competitive in the Nigerian market.
Electric vehicles were exempted from value-added tax in 2024, while import duties on EVs were reduced to zero this year from five per cent.
The measures followed the removal of the petrol subsidy in 2023, which pushed up fuel prices and increased interest in vehicles with lower running costs.
Nigeria’s Energy Transition Plan has also identified electric mobility as a key part of the country’s long-term effort to reduce transport emissions and achieve net-zero emissions by 2060.
The official plan envisages widespread adoption of electric vehicles across the transport sector, supported by incentives, regulations and investment in charging infrastructure.
But the transition faces a major hurdle: electricity supply.
Nigeria’s national grid currently supplies around 4,000 megawatts to a population of more than 200 million people.
The country also has a very small public charging network. An industry assessment cited by Reuters estimated that Nigeria had only about 48 public EV charging stations by late 2025, with most located in Lagos and Abuja.
South Africa, by comparison, had more than 500 public charging stations.
The shortage means many Nigerian EV owners rely on home charging, while charging stations, dealerships and battery-swapping businesses often turn to generators when grid power is unavailable.
Industry players, however, argue that Nigeria should pursue transport electrification and power-sector improvements at the same time.
Bolanle Boboye, an executive at Saglev, said Nigeria could not afford to wait until electricity supply became perfect before embracing electric mobility.
“If we wait for electricity to become perfect before adopting EVs, the rest of the world will leave us behind,” Boboye said.
He also argued that electric vehicles could still reduce emissions even when their batteries were charged using electricity generated from diesel.
The power challenge is already influencing the type of electric vehicles gaining popularity in Nigeria.
Extended-range electric vehicles, which combine battery propulsion with a fuel-powered range extender, are attracting consumers seeking the lower operating costs of electric propulsion without complete dependence on charging stations.
Hybrid vehicles are also gaining attention as manufacturers adapt their products to the Nigerian market.
The biggest opportunity for mass adoption could come from electric motorcycles and tricycles.
Nigeria has millions of motorcycles, many of them used commercially by riders whose businesses have been hit by higher petrol prices.
Battery-swapping networks being developed by mobility companies such as MAX and Spiro offer one potential solution. Riders can exchange depleted batteries for charged ones within minutes, reducing downtime.
Local manufacturers and international vehicle companies are also increasing their presence in Nigeria’s emerging new-energy vehicle market.
The government’s approval of tax waivers for nearly 4,000 EVs therefore represents a significant policy push, but it is only one part of the transition.
For electric mobility to move beyond an emerging niche, Nigeria will need reliable electricity, more charging and battery-swapping infrastructure, affordable vehicles and a strong local ecosystem for maintenance and manufacturing.
