By Abbas Nazil
Nigeria is targeting more than N100 billion in annual revenue from the recycling of over 800,000 tons of metals under the newly introduced End-of-Life Vehicle (ELV) Regulation, according to the National Automotive Design and Development Council (NADDC).
The Director-General of NADDC, Mr. Oluwemimo Joseph Osanipin, revealed this during a sensitisation and advocacy workshop held in Kano.
Represented by the Director of Policy, Planning and Statistics, Sani M. Musa, Osanipin explained that the ELV Regulation, launched in March 2025 by the Minister of State for Industry, Senator John Owan Enoh, marks a groundbreaking move towards sustainable automotive waste management in Nigeria.
He stated that the framework will not only tackle the challenge of automotive waste disposal but also provide a strategic blueprint for economic diversification and environmental protection.
According to him, the initiative will contribute to a significant reduction in Nigeria’s carbon footprint while generating value from recyclable materials.
Through the process, NADDC anticipates the creation of more than 40,000 direct and indirect jobs across the country.
To drive effective implementation, NADDC plans to establish a steering committee that will include representatives from government agencies, industry stakeholders, environmental experts, and local communities.
The Managing Director of the Recycling and Economic Development Initiative of Nigeria (REDIN), Dr. Fyneray Mbata, emphasized the importance of adopting modern recycling technologies to maximize efficiency and value recovery.
He revealed that Fabtech Company has already proposed setting up an ELV plant in Abuja, which will be equipped with advanced depollution systems, vehicle shredders, sensor-based sorters, and catalytic converter recovery systems.
These technologies, he said, will allow the efficient recycling and recovery of ferrous and non-ferrous metals, alongside platinum group metals extracted from catalytic converters, adding substantial value to the economy.
Also, the Deputy Chairman of the House Committee on Environment, Hon. Terseer Ugbor, stated that Nigeria’s new regulation draws inspiration from the Japanese and Dutch recycling models.
He highlighted that the initiative would not only handle 800,000 tons of metals annually but also enable the recovery of more than one million used vehicle batteries each year, with expected revenue surpassing N100 billion.
To support its implementation, Ugbor disclosed that an “automotive recycling fee” would be introduced in line with the polluter-pays principle.
The levy will be collected during vehicle registration, ranging from N2,000 for motorcycles to N10,000 for heavy-duty vehicles.
He noted that the fee is expected to generate about N60 billion annually, which will be used to support recycling facilities, research, and local auto parts manufacturing industries across the country.
With the ELV Regulation, Nigeria joins global efforts to enhance sustainable waste management while creating new economic opportunities through recycling.
The move, according to experts, represents one of the most ambitious steps toward achieving circular economy goals in the automotive sector.
