The Small and Medium Enterprises Development Agency of Nigeria (SMEDAN) and the United Nations Development Programme (UNDP) have launched a solar-powered garment hub in Abuja. The facility aims to reduce business costs and promote clean energy for small and medium enterprises (SMEs). According to SMEDAN, at least 120 entrepreneurs will benefit from the centre daily.
It provides SMEs with free access to modern garment-making equipment, eliminating the burden of power costs, machine purchases, and maintenance. The hub is powered by 254 locally manufactured solar panels, generating 240 kVA to ensure a sustainable and uninterrupted energy supply. Charles Odii, the Director-General of SMEDAN, emphasized that the initiative is designed to alleviate the economic pressures faced by small businesses due to rising costs.
Since President Bola Ahmed Tinubu came into power, some policies have increased the cost of doing business for small enterprises. What we are doing today is reducing that cost. Small businesses can book a machine here, work for free, and not worry about power, machine purchases, or maintenance,” Odii said.
The centre not only provides production facilities but also offers warehousing and distribution support. SMEDAN has secured partnerships with NIPOST and God Is Good Logistics, offering SMEs discounted distribution rates of 15 percent and 20 percent, respectively, to enable seamless delivery of finished products across Nigeria. Odii further explained that the solar-powered garment-making centre is part of a broader strategy to boost Nigeria’s industrial and employment sectors.
The initiative has already been launched in Katsina and Osun States, with plans to replicate the model across all 36 states and the Federal Capital Territory.
Solar-powered garment hub initiativetion
The centre is equipped with 120 machines, each capable of employing at least five people, potentially creating around 700 direct and indirect jobs daily.
The initiative has already demonstrated success, as seen in the case of one entrepreneur, Josephine, who was able to produce 7,000 garments and hire 280 workers to fulfill an order for primary healthcare centres across Nigeria. Elsie Gyekyewaa Attafuah, the Resident Representative of UNDP in Nigeria, commended the partnership with the Nigerian government, stressing the role of SMEs as the backbone of the nation’s economy. She also emphasized the potential of such initiatives to position Nigeria competitively within the African Continental Free Trade Area, a market of 1.4 billion people, with SMEs playing a critical role in expanding trade opportunities.
UNDP is working on additional initiatives to support innovation and entrepreneurship in Nigeria. Under the Timbuktu Initiative, the organisation plans to invest $1 billion to support 10,000 startups across Africa. They also plan to establish university-based innovation hubs in Nigerian institutions and develop community innovation centres to provide opportunities for individuals outside the university system to bring their business ideas to life.
The National Union of Textile, Garment, and Tailoring Workers of Nigeria called for the expansion of this initiative to other key cities like Kano, which has a large tailoring industry and market potential. Auwalu Abdullahi, a representative of the union, stressed that extending the project nationwide would further strengthen Nigeria’s economy, create more jobs, and empower thousands of tailors. Olawande Ayodele, the Minister of State for Youth Development, announced that the President will soon launch the Nigeria Youth Academy, focusing on skills development and open to the digital community.
The ministry is keen on supporting and empowering the youth, moving beyond discussions and politics to hit the ground running. The launch of the solar-powered garment-making centre marks a significant step in Nigeria’s efforts to support SMEs, reduce unemployment, and promote clean energy. With plans for national expansion, the initiative has the potential to transform the garment industry, enhance local production, and drive economic growth.
