The coming decade will redefine how goods move across continents — and Nigeria has a chance to be at the forefront of that transformation.
With 70% of West and Central Africa’s containerized trade flowing through its ports, Nigeria has the scale and strategic position to lead Africa’s shift towards low-carbon logistics. One key opportunity? Electrifying its container transport sector.
At first glance, this is a bold move for a major oil-producing nation, with a growing population and rising import-export volumes. But through close cooperation between public institutions and industry, this transformation is realistic and necessary. It brings distinct benefits for Nigerians.
This is the conclusion of a new white paper jointly adopted by the Nigerian government and APM Terminals, developed with change consultancy Systemiq. It also features insights from the African Development Bank, the European Bank for Reconstruction and Development, the Rocky Mountain Institute and Smart Freight Centre.
“… modernizing an entire logistics infrastructure is a significant undertaking. It demands coordinated planning, upfront capital, access to affordable financing, development of charging infrastructure and a reliable, resilient grid.”
Worldwide, ports and freight corridors are undergoing major shifts towards electrification. Ports, from the United States to Jordan and China, are rolling out electric container-handling equipment, investing in low-emission power infrastructure and digitizing logistics operations.
On land, electric trucking corridors are gaining momentum in high-traffic regions, with successful pilots in Kenya, China and India proving that freight electrification is feasible and scalable in emerging markets.
At the same time, the cost of low-emission solutions is dropping. Battery prices have fallen by 80% since 2013 and solar energy costs have decreased by around 75%. These trends are making electric container-handling equipment increasingly cost-competitive, especially when considering the operating cost savings that electrification brings.
Transformational gains
In Nigeria, container volumes are projected to grow by around 30% by 2030. To unlock this growth, the country’s transport sector is at the cusp of a major investment cycle. This presents an unusual opportunity for public and private actors to act jointly and leapfrog to full electrification in the port sector and to launch e-pilots in trucking.
While electrification is key to cutting emissions, its benefits go beyond that, supporting economic growth, system resilience and cleaner air for Nigerians.
The analysis in the white paper indicates that the transformation could result in an annual reduction of 80,000 tons of carbon dioxide emissions. Additional benefits include reduced air pollution and improved health for people working in and around the logistics sector, particularly in densely populated urban areas. This could result in significant savings in health-related costs.
The direct cost savings for port operations are also significant. Electrification is expected to cut energy costs by up to 40% compared to diesel. As electric vehicles have fewer moving parts, maintenance expenses are expected to drop at a similar rate.
Considering the broader economic opportunities, electrification could unlock approximately $830 million in investments across Nigeria. This includes equipment procurement, charging infrastructure, renewable energy generation, batteries and workforce development; the latter will create more resilient and higher-skilled jobs.
Other sectors would also benefit from the knock-on effects of a modernized and more reliable electricity grid.
Road to electrification
As representatives of government and business, we are convinced that this transformation is achievable before 2030. But modernizing an entire logistics infrastructure is a significant undertaking. It demands coordinated planning, upfront capital, access to affordable financing, development of charging infrastructure and a reliable, resilient grid.
On the workforce side, it’s equally important to ensure employees are trained and equipped to support the transition.
To address these challenges, the white paper presents a clear roadmap and a call to action for policymakers and investors. The proposed actions are divided into two phases:
2025-2027: Lay the foundations
• Ports: Electrify key terminals. Replace diesel equipment with electric. Invest in on-site solar power and battery storage.
• Power: Integrate energy needs of ports and freight carriers into national grid plans. Support off-site renewable energy projects and improvements to transmission and distribution infrastructure.
• Trucking: Launch pilot electric corridors. Install shared charging points at truck parks and depots.
2028-2032: Scale and integrate
• Ports: Expand electrification to additional terminals. Solidify grid integration. Embed zero-emissions standards in the national port strategy.
• Power: Scale solar power and battery storage systems. Develop regional clean energy clusters. Upgrade electric grids through public-private partnerships.
• Trucking: Expand electrified corridors to national routes. Foster a domestic clean-logistics industry.
The proposed strategy begins with Nigeria’s key container ports – Apapa, Tin Can Island and Onne – where electrification of terminal equipment and short-haul trucking can serve as anchor points for broader transformation. From there, the roadmap envisions the development of electric trucking corridors connecting inland logistics hubs, creating a national network of low-emissions freight.
Unlocking the potential of Nigeria’s ports
The paper focuses on container handling within ports and road haulage trucks outside of ports, as these modes represent the greatest near-term opportunity for electrification based on technology maturity, market structure and readiness for investment.
However, reliable electricity is essential for large-scale logistics electrification. Without it, companies risk costly downtime, making power access the most urgent barrier. High upfront costs and limited affordable financing also slow adoption.
At the same time, the workforce needs upskilling, technology must be ready, and charging infrastructure must grow in line with demand. Overcoming these hurdles requires government and industry to work together, aligning grid planning, investment incentives and technical deployment.
This shows that electrifying the container transport sector is not just a technical upgrade opportunity for Nigeria; it is a strategic imperative. It offers a rare convergence of economic opportunities, environmental responsibility and social impact with the potential to reach far beyond the business sector.
Nigeria can lead West Africa into a new era of sustainable logistics, contributing to the economy and to the common good, with policymakers aligning national plans and creating the right environment for investment security. In turn, industry will commit capital and expertise.
What makes this case even more compelling is its potential to serve as a model for other emerging economies. By demonstrating that large-scale electrification is not only possible but also profitable, Nigeria has the opportunity to inspire similar transitions across Africa and the Global South.
And what makes this case even more compelling is its potential to serve as a model for other emerging economies. By demonstrating that large-scale electrification is not only possible but also profitable, Nigeria has the opportunity to inspire similar transitions across Africa and the Global South.
Nigeria now stands at a decisive moment. By committing to electrification, it can unlock growth, attract investment and protect public health, while proving that emerging economies can lead the global shift to low-carbon logistics.
Source: World Economic Forum