Senate passes electric vehicle transition and green mobility bill for second reading

The Senate has passed the Electric Vehicle Transition and Green Mobility Bill, 2025, for second reading.

The proposed legislation seeks to establish a national framework for Nigeria’s transition to electric vehicles (EVs), promote local manufacturing, and advance the nation’s commitment to environmental sustainability.

Sponsored by Senator Orji Uzor Kalu (Abia North), the bill received widespread support from lawmakers, who emphasized the need for local content development, foreign investment, and nationwide charging infrastructure as key components of Nigeria’s transition to green mobility.

Leading the debate, Senator Kalu stated that the bill aims to transform the country’s automotive and energy sectors, foster technological innovation, and generate employment across the manufacturing value chain.

He explained that the legislation provides a range of incentives — including tax holidays, import duty waivers, toll exemptions, subsidies, and road tax reliefs — to encourage EV adoption and investment. The bill also mandates the installation of electric vehicle charging stations at all fuel service outlets nationwide.

A major provision requires foreign automakers to partner with licensed Nigerian assemblers and establish local assembly plants within three years, with a minimum of 30% local content sourcing by 2030. Non-compliance may attract fines of up to ₦250 million per violation, while unlicensed EV importers could face penalties of ₦500 million and confiscation of their goods.

Economically, the bill positions Nigeria as a potential hub for EV manufacturing in Africa, mandating that assemblers produce at least 5,000 units annually while adhering to international safety and technical standards. Investors who establish EV charging stations will also be eligible for government grants and tax credits.

Senate President Godswill Akpabio described the bill as a forward-looking initiative aligned with President Bola Tinubu’s agenda for economic diversification and clean energy transition.

The bill has been referred to the Senate Committee on Industry for further scrutiny and is expected to be presented for third reading within four weeks.

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