Nigeria is stepping up its ambition to become a major global player in green hydrogen production, aiming to generate up to $50 billion in hydrogen export revenues and produce four million tonnes of green ammonia yearly by 2060.
The bold target was reaffirmed in Abuja during the Nigeria4H2 Project Results Workshop, a high-level engagement assessing the country’s readiness to transition from fossil fuel dependency to cleaner, sustainable energy alternatives.
The Nigeria4H2 initiative, led by the Energy Commission of Nigeria (ECN), is being implemented in partnership with the West African Science Service Centre on Climate Change and Adapted Land Use (WASCAL) and the German government.
The programme has become a flagship under President Bola Tinubu’s Renewed Hope Agenda, placing hydrogen development at the core of Nigeria’s energy transition strategy.
Speaking on behalf of Vice President Kashim Shettima, an aide, Dr Tope Fasua, described the green hydrogen programme as a cornerstone of the country’s green economic transformation.
He emphasised that hydrogen, particularly when produced from renewable sources such as solar and wind, represents a strategic opportunity for Nigeria to diversify its economy, create employment and meet international climate obligations.
Fasua said Nigeria’s abundant sunlight, favourable wind corridors and youthful population provide a solid foundation to build a globally competitive hydrogen economy.
The country’s hydrogen plans extend beyond energy transformation.
A central part of the strategy is the production of green ammonia, a vital input for fertiliser. Nigeria continues to face a significant fertiliser deficit that undermines agricultural productivity and contributes to food insecurity.
By investing in green ammonia, produced from hydrogen, the country aims to support local farming while simultaneously creating export opportunities.
Projections from the Nigeria4H2 study suggest that Nigeria could produce over four million tonnes of green ammonia annually by 2060, substantially reducing reliance on imported fertilisers and strengthening domestic food systems.
Executive Director of WASCAL, Dr Emmanuel Ramde, stressed the need for strong regulatory frameworks, targeted skills development, and coordinated action to unlock the full potential of green hydrogen.
He noted that the Nigeria4H2 initiative has already laid a robust foundation, drawing insights from key Nigerian universities and building on earlier research, including the H2Atlas project.
Ramde stressed the urgency of developing a national hydrogen strategy and regulatory framework to attract investment and accelerate deployment. He said the broader West African region, under the Economic Community of West African States (ECOWAS), is also looking to green hydrogen as a key energy transition tool, with Nigeria well-positioned to lead.
The Energy Commission of Nigeria revealed it has drafted a comprehensive National Hydrogen Policy and Strategy. The document sets out goals including energy security, economic diversification through hydrogen exports, emissions reduction, and the creation of a strong research and innovation ecosystem.
The strategy is built around seven key pillars, which encompass industrial applications, power generation, transportation, export markets, and the development of both green and blue hydrogen technologies.
Implementation will be overseen by a proposed National Hydrogen Council chaired by the Vice President. This council will be supported by a dedicated secretariat and subcommittees focusing on domestic adoption and export development.
Director-General of ECN, Mustapha Abdullahi, represented by the Director of Renewable Energy, Ibrahim Sulu, disclosed that several pilot projects are in the pipeline.
These include a 50MW solar-hydrogen demonstration plant in Kano State and hybrid solar-hydrogen mini-grids for rural communities. The rollout of these projects is expected to commence between 2026 and 2028. According to Sulu, Nigeria anticipates generating $10 billion annually from hydrogen exports by 2035, creating as many as 500,000 new jobs and achieving a 20 per cent reduction in industrial carbon emissions.
The green hydrogen strategy also includes plans to introduce hydrogen-powered buses into Lagos’s Bus Rapid Transit (BRT) system and integrate green hydrogen into the operations of major industrial facilities such as the Dangote Refinery and Indorama Eleme Petrochemicals. These efforts are intended to help Nigeria meet its commitments under the Paris Agreement and reduce future exposure to international carbon border taxes on exports.
However, experts at the event warned that Nigeria faces significant challenges. Chief among these is the country’s unreliable power supply, which undermines the consistent energy input needed for electrolysis, the process through which hydrogen is produced. Inadequate water infrastructure presents another barrier, as electrolysis requires a steady supply of purified water.
High capital costs for renewable energy systems, electrolysers, and ammonia production facilities also limit rapid deployment. Moreover, Nigeria’s regulatory landscape remains underdeveloped, with uncertainty hampering investor confidence.
Participants at the workshop called for accelerated licensing processes, tax incentives for hydrogen investors, and increased government support for domestic manufacturing of key components such as electrolysers and fuel cells.
They also emphasised the need for public-private partnerships to leverage global finance and technical expertise and for greater investment in research, training, and workforce development to build local capacity.
The Energy Commission of Nigeria is also exploring the establishment of a green ammonia pilot plant, potentially anchored around an existing fertiliser facility.
Such a project, with strong backing from the government and international partners, could serve as a hub for knowledge-sharing and capacity building, enabling broader adoption of green hydrogen across the country and the West African sub-region.
Despite the significant structural and financial challenges, stakeholders remain optimistic, noting that Green hydrogen is increasingly viewed as a transformative opportunity for Nigeria, one that can drive industrial development, reduce the country’s carbon footprint, enhance energy security, and support food self-sufficiency.
With the right policies, infrastructure, and partnerships in place, experts believe Nigeria can position itself as a global leader in the green hydrogen economy.
According to ECN’s Ibrahim Sulu, the country’s success in the hydrogen space will depend on urgency, coordination, and long-term strategic commitment.
He argued that if Nigeria acts decisively now, it cannot only meet its development and climate goals but also become a standard-bearer for green hydrogen innovation in Africa.
