Nigeria's Abia State wins $145m solar manufacturing FID
A $145 million solar panel manufacturing plant has reached final investment decision in Abia State, signaling growing private capital confidence in the Nigerian region's dedicated power infrastructure.
A consortium of investors has committed up to $145 million to build a solar panel manufacturing facility in Nigeria's Abia State after reaching a final investment decision. The plant, which is being developed with Chinese partners, will be located in Isiala Ngwa South under a public-private partnership with the state government. The commitment marks a notable step in the region's efforts to build a domestic clean energy supply chain.
Construction is scheduled to begin in late September 2026, contingent upon the release of the first funding tranche. Dennis Madu Nwakamma, chief executive of local partner MD NWAKANMA NIGERIA Limited, said the facility will produce solar panels and related equipment. The project is also expected to create local jobs and provide technical training for young people in the state.
The state government has already secured the required land for the site. “I’m glad that at least you have reached the final investment decision where you are investing up to $145 million,” Governor Alex Otti said. “We had to do everything that was required to make the land available. And we would like to assure you that if there is any other thing that you need for this investment, do not hesitate to let us know.”
The proposed factory represents a significant addition to Abia’s emerging renewable energy and industrial ecosystem. The state distinguishes itself as one of the few in Nigeria operating a regulated electricity market. This grid independence is anchored by the 188MW Geometric Power Plant, which supplies electricity to the commercial hub of Aba and surrounding areas after coming online in February 2024.
The solar investment aligns with a broader push to attract private capital into localized manufacturing. In March, Governor Otti commissioned a $35 million industrial facility in Aba, representing the first phase of a planned $100 million investment designed to deepen the city's industrial base. Additionally, the state government recently acquired Afro Beverages from the Asset Management Corporation of Nigeria for N500 million to facilitate its operational revival.
Despite this influx of private capital, administrative bottlenecks remain a hurdle for larger infrastructure projects in the region. The Federal Government and the African Development Bank have recently pressured Abia State to resolve administrative delays threatening the commencement of the $263.8 million Abia State Integrated Infrastructural Development project.
