- NCDMB has outlined a framework to help Nigeria’s energy sector access AfCFTA markets by meeting rules-of-origin requirements.
- The move aims to position Nigerian energy products, services, and infrastructure for duty-free trade across Africa.
The Nigerian Content Development and Monitoring Board (NCDMB) has outlined a practical framework to position Nigeria’s energy sector to benefit from the African Continental Free Trade Area (AfCFTA). The framework followed a strategic webinar that focused on meeting rules-of-origin requirements for continental trade.
In a press release, NCDMB General Manager, Corporate Communications, Dr Obinna Ezeobi, said the board held a pre-conference webinar on Wednesday. The session formed part of preparations for the Nigeria Local Content AfCFTA Energy Summit scheduled for Monday, February 9, 2026.
The engagement brought together stakeholders from the oil and gas, power, and renewable energy sectors. They examined how Nigerian products and services can qualify for preferential market access across 54 African countries. Together, these markets represent a combined GDP of about $3.4 trillion and a population of roughly 1.4 billion people.
Titled Meeting AfCFTA Origin Requirements in Energy Trade, the webinar addressed a major barrier facing Nigerian exporters. Specifically, it focused on how companies must structure production and operations to meet origin requirements that determine eligibility for duty-free and preferential trade.
The initiative received support from the NCDMB Executive Secretary, Engr Felix Omatsola Ogbe, and the Acting Director of Planning, Research and Statistics, Mr Ene Ette. The webinar also supported preparations for the summit themed Unlocking Africa’s Energy Future through AfCFTA: Trade, Innovation and Regional Integration.
During the session, Communications Analyst Joseph Nwokedi, who represented Nigeria’s AfCFTA Coordination Office, highlighted the central role of energy in Africa’s economic integration. He urged Nigerian companies to expand beyond the domestic market of about 200 million people. Instead, he encouraged them to target the wider African market of 1.4 billion consumers.
He explained that even one percent penetration into the African market equals about 14 million consumers. Therefore, Nigerian energy companies have significant growth opportunities across the continent.
The webinar identified four key pathways for Nigeria’s energy sector under AfCFTA. First, the Electricity Act 2023 allows independent power producers to supply electricity directly to industrial clusters and export processing zones. As a result, power generation can support trade-ready manufacturing.
Second, Nigeria has submitted AfCFTA commitments that allow professionals such as engineers, electricians, geophysicists, and energy auditors to export services across Africa, subject to mutual recognition ofs.
Third, companies can trade refined petroleum products, gas derivatives, electricity, and renewable energy components across borders under preferential tariffs if they meet rules-of-origin requirements.
Fourth, AfCFTA’s investment protocol, combined with domestic reforms such as the Presidential Directives on Investment Incentives for 2024–2025, strengthens Nigeria’s attractiveness for cross-border investments in power, transmission, renewable energy, and storage infrastructure.
Assistant Comptroller of Customs Burhan Sulaiman explained that AfCFTA will eliminate tariffs on 90 percent of goods traded within the bloc over five to ten years. In addition, another seven percent will be liberalised over 13 years. However, he stressed that companies must meet origin rules to access these benefits.
He clarified that origin depends on where production happens, not on company ownership. For example, foreign-owned companies producing in Nigeria can export under Nigerian origin. Meanwhile, Nigerian companies importing finished goods cannot claim AfCFTA preferences.
He explained two main qualification routes. First, “wholly obtained” goods include crude oil, natural gas, and locally generated electricity produced within AfCFTA countries. Second, “substantial transformation” applies when companies use foreign inputs but add significant value through processing.
He added sector-specific guidance. In oil and gas, locally extracted crude and gas qualify. Similarly, refined petroleum products that meet processing requirements also qualify. However, simple blending or basic distillation does not qualify.
In the power sector, locally generated electricity and regionally manufactured equipment with deep component processing qualify. However, simple installation of imported turbines, transformers, or switchgear does not qualify.
For renewable energy, regional manufacturing of solar cells and battery cells qualifies. However, simple panel installation or packaging imported batteries does not meet origin thresholds.
Sulaiman explained that the Nigeria Customs Service uses a five-step verification process. This process includes checking HS codes, reviewing production records, verifying African input origins, and ensuring documentation consistency.
Both speakers emphasised that companies must treat origin compliance as a business strategy. Therefore, firms must plan sourcing, production locations, and regional partnerships from the beginning.
Officials also confirmed that 92 percent of AfCFTA rules of origin have already been agreed. Meanwhile, negotiations continue in sectors such as textiles and automotive manufacturing.
Nigeria has deployed an electronic certification system to support paperless trade. In addition, Customs is developing risk-management systems that may allow exporter self-certification.
Following a five-year AfCFTA implementation review led by the Minister of Industry and Investment, Dr Jumoke Oduwole, government sensitisation efforts have expanded. These efforts now involve business groups, women’s chambers of commerce, regional outreach programmes, and media engagement.
Officials stressed that businesses will drive AfCFTA trade success. Therefore, exporters must prepare early to compete effectively across the continent.
The webinar also highlighted Nigeria’s potential as a regional energy and transition-fuel hub. This aligns with regional frameworks such as the West African Power Pool, which supports cross-border electricity trade.
Key recommendations included designing projects for origin compliance from the beginning. In addition, stakeholders encouraged companies to form regional joint ventures, align with continental standards, and export Nigerian energy expertise.
Organisers confirmed that the webinar served as a technical precursor to the Nigeria Local Content AfCFTA Energy Summit. The summit will bring together policymakers, industry leaders, and trade experts to develop strategies for maximising Africa’s energy potential under AfCFTA.