Auxano Solar, an off-grid energy company backed by All On, an impact investor supported by Shell, inaugurated a 100-megawatt (MW) solar manufacturing facility in Lagos on Thursday, with the aim of reducing the reliance on Chinese-made solar panels through local production.

This state-of-the-art factory, funded with $2 million, operates as a fully automated production facility, spanning an impressive 5,730 square meters in Ibeju, Lekki, strategically positioned just five minutes away from the Lekki Deep Seaport.

It boasts comprehensive capabilities, including manufacturing, warehousing, and office spaces, featuring an impressive 141kwp of installed solar energy systems.

Equipped with certified production equipment from Asia, it’s designed to churn out premium PV models.

Ember, a global energy think tank, reported that China’s solar panel exports surged by 34 percent in the first half of 2023, with a remarkable 114 gigawatts (GW) shipped worldwide, compared to 85 GW during the same period last year, equivalent to the entire solar panel capacity of the United States (113 GW).

Auxano Solar aims to replace Nigeria’s demand for solar panels with locally produced ones.

The company aspires to achieve a production rate of over 2,000 solar panels per day once fully operational, with an annual capacity of 100MW in solar panel production.

Osagie Okubor, the Country Chair of Shell Companies in Nigeria, expressed, “Auxano exemplifies what we envisioned when we established All On in 2017.

All On’s mission to provide energy access to underserved Nigerian communities through off-grid clean energy solutions is realized today, and we are proud of our support leading to this inauguration.”

Chuks Umezulora, CEO and co-founder of Auxano Solar, stated, “Our immediate focus is on capturing the Nigerian market, followed by expanding our reach to neighboring countries by exporting Solar PV panels.

We aim to cater to both formal and informal sectors, from solar firms engaged in mini-grids and commercial-industrial solar providers to those importing solar panels for resale.”

Umezulora acknowledged the challenges in securing the necessary financing, especially for capital expenditures, to meet their project timeline.

He emphasized, “This facility marks the beginning of many more, and we are committed to eliminating energy poverty in Nigeria by offering affordable solar systems.”

All On’s investment in Auxano Solar represents one of its most significant contributions to clean energy projects since its inception.

Caroline Eboumbou, CEO of All On, commented, “Auxano’s success as the first privately-owned solar assembly factory is a milestone for local manufacturing in Nigeria’s renewable energy sector.

Our investment aligns with our mission to encourage stakeholders, investors, and the government to localize the solar supply chain, ultimately enhancing the affordability and accessibility of solar products, especially given the rising interest in solar energy solutions among Nigerians.”

Salihijo Ahmad, Managing Director of the Rural Electrification Agency, emphasized the importance of localizing renewable energy equipment supply chains for project deployment, economic growth, and employment opportunities in Nigeria.

He also commended the collaborative efforts of All On and other stakeholders who supported the project, recognizing the need for such collaborations to address energy poverty and the climate crisis.

The development of this project required overcoming supply chain constraints, foreign exchange challenges, business development hurdles, and the inherent challenges of manufacturing in a demanding environment.