Senate Advances Bill To Phase Out Petrol Cars, Promote Electric Mobility

Nzubechukwu Eze
Nzubechukwu Eze

The Nigerian Senate has passed the Electric Vehicle Transition and Green Mobility Bill, 2025 for a second reading, marking a major step toward phasing out petrol-powered vehicles and promoting electric mobility across the country.

The bill, sponsored by Senator Orji Uzor Kalu (Abia North), seeks to establish a national framework for the adoption of electric vehicles (EVs), encourage local production, and align Nigeria’s energy and transportation sectors with global sustainability goals.

Leading debate on the bill, Kalu explained that the proposed law aims to transform the automotive industry, boost job creation, and attract foreign investment. He said it provides incentives such as tax holidays, import duty waivers, toll exemptions, and road tax reliefs for EV users and investors. The legislation also mandates that all fuel stations nationwide install charging facilities.

A key clause requires foreign automakers to partner with licensed Nigerian assemblers and set up local assembly plants within three years, ensuring at least 30 percent local content by 2030. Violations could attract penalties of up to ₦250 million per breach, while unlicensed importers face ₦500 million fines and confiscation of goods.

The bill further proposes that local assemblers produce a minimum of 5,000 EV units annually while adhering to global safety and technical standards. Investors establishing charging infrastructure will also qualify for government grants and tax credits.

Senate President Godswill Akpabio described the legislation as a forward-looking initiative in line with President Bola Tinubu’s economic diversification and clean energy agenda.

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

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