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Rising Fuel Costs Accelerate Electric Vehicle Adoption In Nigeria
Rising fuel costs are pushing Nigerians towards electric vehicles (EVs), as industry players, financiers and policymakers say lower running costs and flexible financing are making the shift increasingly practical.
According to them, the shift is being driven by everyday pressure, noting that as petrol prices rise and transport costs take a bigger share of incomes, EVs are beginning to look less like a futuristic option and more like a practical way for people and businesses to stay afloat.
These views were shared by stakeholders at the Abuja Compact on Electric Mobility Roundtable, which brought together government officials, financiers, operators and clean energy experts through keynote addresses, panel discussions, a closed-door session and an open strategy dialogue on scaling electric mobility in Nigeria.
Omolara Obileye, who represented the Chairman, Presidential Initiative on Compressed Natural Gas and Electric Vehicles (Pi-CNG & EV), Barr. Ismaeel Ahmed, said the financial case for EVs is becoming harder to ignore, especially after the removal of fuel subsidies.
“Today, charging an electric vehicle for a 200-kilometre journey would cost approximately N4,500. The same journey on petrol would cost about N22,500. That represents a five-to-one cost advantage in favour of electric vehicles,” she said.
She explained that government’s approach is not to choose one solution over another, but to manage a gradual transition.
“What we are navigating is not a choice between CNG and EVs. It is a deliberate, phased energy transition. The goal is a balanced energy mix: one that serves Nigerians today while building the infrastructure required for tomorrow,” she said.
Still, she acknowledged that the road ahead is not without obstacles, pointing to gaps in electricity supply, infrastructure and affordability.
“What we need now is visible momentum, driven by all the stakeholders represented here today,” she added.
Yusuf Suleiman, Chief Executive Officer of Bankrol Camel EV and Blue Camel Energy Ltd, said the opportunity goes beyond transportation, describing electric mobility as a gateway to broader economic growth.
“It is a pathway to improved energy access, a driver of industrialization, and a foundation for economic resilience, reducing our dependence on imported fossil fuels,” he said.
He noted the company is building an integrated system around EVs, including solar-powered charging stations and service centres, to work around Nigeria’s unreliable power supply.
“In reality, charging infrastructure must be able to operate independently of the national grid. What this proves is that a 100 per cent solar-powered charging system can work as a business model,” he said.
For many operators, the argument is no longer theoretical; it is financial.
Ahmed Garba Ahmed, Chief Operating Officer of Bankrol Camel EV, said the shift is already being driven by what people can save.
“Electric vehicles can reduce energy costs per kilometre by up to 60%… For commercial users, ride-hailing drivers, fleet operators and logistics companies, this is not just about sustainability. It is about margins. It is about profitability. It is about survival,” he said.
He added that EV adoption is no longer something to watch from a distance.
“The transition to electric mobility in Nigeria is no longer a future projection; it is already happening. The question is not if, but how fast, and who leads,” he added.
For Mohammed Abdul, Divisional Head, Core North, Alternative Bank, the real shift is happening through financing.
“Financing is often misunderstood, but it is central to adoption. These models are designed to address the realities of Nigeria’s informal transport sector, where credit histories are limited and income streams are irregular,” he said.
He said models such as lease-to-own, partnerships and pay-as-you-go are helping drivers and operators get into EVs without heavy upfront costs.
“Non-interest banking is not just about finance; it is about values, responsibility, and a commitment to ethical principles. One of the key principles is societal transformation, lifting people from poverty to prosperity,” he added.
Engr. Dapo Adesina, President of the Electric Mobility Promoters Association of Nigeria (EMPAN), said the benefits of EVs extend beyond transport into the power sector.
“We can deploy solar-powered charging infrastructure anywhere. EV infrastructure is not just about mobility; it is also about improving energy distribution and utilisation,” he said.
