China Civil Engineering Construction Corporation’s Nigerian unit has secured the contract to build the country’s first floating solar power station, a 7-megawatt facility that will be situated on the waters of the lagoon surrounding the University of Lagos campus.
The project marks a significant step in Nigeria’s renewable energy push as the West African nation grapples with chronic electricity shortages that force institutions and businesses to rely heavily on diesel generators. The university currently spends approximately $1.05 million per month on energy, with about $820,000 allocated to diesel and $228,500 to grid electricity from Eko Electricity Distribution Company.
“The facility, when completed, will supply the University of Lagos with safe, stable and clean electricity,” John Zhao, director at CCECC Nigeria Limited, said in a statement Wednesday obtained by Advisors Reports.
The development comes months after the university faced a power crisis when EKEDC disconnected it from the national grid in August over unpaid bills exceeding 1 billion naira ($630,000 at current parallel market rates). Although the dispute was resolved following a partial payment of 180 million naira, the incident underscored the institution’s vulnerability to grid instability.
Floating solar installations, which mount photovoltaic panels on water bodies, have gained traction globally as land costs rise and developers seek to maximise efficiency. The technology reduces water evaporation and keeps panels cooler than ground-mounted systems, potentially boosting energy output.
Abba Aliyu, managing director of the Rural Electrification Agency, disclosed plans for the project at the Lagos Energy Summit earlier this year, describing it as part of the Distributed Access through Renewable Energy Scale-up program. The initiative follows a memorandum of understanding signed between REA and partners to expand renewable energy access in underserved communities.
CCECC, a subsidiary of state-owned China Railway Construction Corporation, has built highways, railways and other infrastructure across Nigeria. The company did not disclose contract value or construction timelines for the solar project.
Nigeria has struggled to translate its renewable energy ambitions into reality despite abundant solar resources. The country generates only about 4,000 megawatts for a population exceeding 200 million, leaving homes and businesses to spend billions annually on backup power.