Electrification at work: Nigeria on path to leap past fossil fuel dependency

July 17, 2025, by Sara Kosmajac

Nigeria stands at a critical crossroads, with a unique opportunity to electrify its containerized trade on a large scale, bypassing fossil fuel dependency and embracing the global momentum toward low-emission maritime logistics.

This is according to a new white paper by Maersk’s Netherlands-based container terminal operator, APM Terminals, and international systems change consultancy Systemiq, which was presented at a summit held in the capital city of Abuja.

As elaborated, the merits of electrification are tremendous, given that the technology driving it is projected, by many, to act as the “most immediate, scalable path” to slash harmful pollutant emissions.

It is estimated that the transition can mobilize up to $830 million in investments by 2030, which could, in turn, save 390 ktCO2e in greenhouse gas (GHG) emissions, minimize air pollution, strengthen power supply reliability, as well as improve public health and create more local jobs.

In order to tap into its full potential, per APM Terminals, Nigeria needs to activate robust public-private cooperation to implement the roadmap, starting with short-term actions and working toward sustained progress over the next five to ten years. As disclosed, the vital focus areas, i.e., reliable and affordable power supply and equipment electrification, can be tackled in parallel.

“Our findings clearly show that the time to act is now. Electrification aligns with upcoming investment cycles and can drive progress on key national priorities. With nearly 60% of container terminal concessions approaching renewal, the moment is right to embed electrification into the next wave of logistics infrastructure investment,” Eveline Speelman, Partner in Systemiq, highlighted.

As noted, APM Terminals currently operates two container terminals in Nigeria – Apapa in Lagos and WACT in Onne. The company also runs a container depot in Kano. Per APM Terminals Nigeria CEO Frederik Klinke, at present, there is “significant potential” for investments in containerized trade, in line with the company’s own commitment to public-private partnerships.

“Containerized trade is a vital backbone of economic development in Nigeria, and we view the country as a key growth market. We believe that electrification plays an integral part of bringing operations into the most advanced level globally,” Klikne stated.

“From our global experience as a terminal operator, we know that beyond lowering emissions, electrification improves the working environment, reduces air and noise pollution, and delivers tangible benefits to neighbouring communities,” he further emphasized.

The Global South, of which Nigeria is a part, has seen numerous developments within the electrification game, with ports and freight corridors moving forward with such projects. According to APM Terminals, more than 40 ports, from Jordan to Brazil and India, are rolling out electric container-handling equipment, pouring money into low-emission power infrastructure, and digitizing their logistics operations.

Kenya, China and India have also gained momentum in electric trucking corridors in high-traffic regions, demonstrating that freight electrification was feasible and scalable in emerging markets, APM Terminals noted.

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