Nigeria: NADDC Boosts National Auto Devt Plan


By Justina Okpanku                                     The National Automotive Industry Development Plan (NAIDP) Bill has been updated with new inputs as the bill is being considered at the National Assembly.

The Director General of the National Automotive Design and Development Council (NADDC), Mr. Jelani Aliyu disclosed the new development following progress being made in electric vehicles (EVs) and other alternative to fuel in the transport sector. “Electric vehicles plan is being incorporated into the NAIDP,” he said. He expressed his optimism that the NAIDP would be passed into law before the end of the year.
Aliyu expressed this view on Thursday during the annual training/ workshop of the Nigerian Auto Journalists Association (NAJA) in Lagos.
The DG, who joined the meeting virtually, reiterated that electric vehicles remain the future of automobiles globally with many countries setting targets for migration into electric vehicles.                                                          In October 2013, the Federal Government had announced its National Automotive Industry Development Plan (NAIDP) in order to stimulate investment in local vehicle production and thereby bolster Nigeria’s economy.                     Jelani said Nigeria’s move is toeing a similar path in electrifying the transport sector.
Speaking at the workshop with the theme, “Migration to Electric Vehicles and Gas-Powered Vehicles; Opportunities and Challenges for Nigeria,” Jelani assured that the bill would be passed before the end of the year.

According to him, a lot of developments like the EVs as well as gas-powered vehicles are springing up as the government fine-tunes the Auto Policy Bill.

He said all the new developments would be incorporated in the NAIDP.                On challenges that will be encountered while electrifying the transport sector, including dearth of charging stations for electric vehicles, the DG stressed that it is not the business of the Federal Government to put charging stations across the nooks and crannies of the country.

A core component of the plan initially was an increase in import duties for passenger cars from 20 per cent to 70 per cent (35 per cent duty and 35 per cent levy) and to 35 per cent for commercial vehicles.

However, the duty applied to vehicles assembled locally
was set at 10 per cent for SKD (semi-knockdown) Part 2 kits, 5 per cent for SKD Part 1 kits and 0 per cent for CKD (complete knock-down) kits.

Also, manufacturers that assemble vehicles locally can import up to twice as many fully Built Units (FBU) as they do kits at the reduced import duty rate of 35 per cent for passenger cars band 20 per cent for commercial vehicles.                         Contact us:

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