The Federal Government has confirmed plans to fully implement Nigeria’s End-of-Life Vehicle (ELV) Policy in 2026 as part of efforts to tackle environmental pollution and reform the automotive sector.
The policy, which is being driven by the National Automotive Design and Development Council (NADDC), is designed to bring structure to vehicle disposal and recycling across the country, while modernising Nigeria’s largely informal auto recycling system. Authorities say the initiative will strengthen automotive waste management and unlock new economic opportunities within the transport and manufacturing value chain.
Details of the planned rollout are contained in an official NADDC policy document, which states that the 2026 timeline is intended to activate existing ELV and automotive waste recycling regulations nationwide. Under the framework, vehicle manufacturers, importers, owners and recycling operators will be subject to enforceable standards governing the handling, dismantling and disposal of decommissioned and abandoned vehicles.
According to the council, implementation will be anchored on nationwide awareness and sensitisation campaigns targeted at vehicle owners, mechanics, transport unions and the general public. These engagements are expected to highlight the environmental, safety and economic benefits of proper ELV recycling, particularly in reducing soil, air and water contamination caused by abandoned vehicles and poorly managed scrap yards.
In parallel, NADDC plans to roll out capacity-building programmes for recycling plant operators and auto technicians. The training will focus on safe, standardised and environmentally sound ELV dismantling practices, in line with global best practices adopted in mature automotive markets.
“The implementation of the End-of-Life Vehicle (ELV) Policy in 2026 will focus on putting the approved ELV and other automotive waste recycling regulations into full operation across Nigeria,” the document stated. “Overall, the 2026 implementation of the ELV Policy aims to reduce environmental pollution, improve automotive waste management, create jobs, generate revenue, and support the sustainable development of the Nigerian automotive sector.”
As part of enforcement measures, the council disclosed that licensing and certification of ELV collectors, dismantlers and recycling plants will be carried out in collaboration with the National Environmental Standards and Regulations Enforcement Agency (NESREA). Officials say this joint approach will strengthen compliance and ensure that recycling activities meet required environmental and safety standards.
A national data management system is also planned to track vehicles, certified recycling facilities and trained technicians. The platform is expected to support monitoring, regulatory compliance and long-term planning, while providing government with reliable data on the scale and flow of end-of-life vehicles across the country.
To further support implementation, NADDC said it would promote research and development in vehicle recycling technologies and establish a pilot ELV recycling plant. The pilot facility is expected to test the viability, safety and efficiency of large-scale ELV operations before wider replication across geopolitical zones.
The policy comes against the backdrop of a sharp rise in vehicle imports into Nigeria, particularly used passenger cars. Data show that passenger vehicle imports surged in 2025 despite exchange rate pressures and high inflation. In the third quarter of the year alone, imports climbed to N527 billion, more than double the N254.6 billion recorded in the first quarter and significantly above the N224.5 billion posted in the second quarter.
This brought total passenger vehicle imports to about N1 trillion in the first nine months of 2025, compared with N894 billion recorded over the same period in 2024. Used vehicles accounted for N234.7 billion of the imports, with vehicles sourced from the United States alone valued at about N184 billion.
Analysts note that Nigeria’s heavy dependence on imported used vehicles from the United States, Dubai and South Africa has increased the urgency for a structured ELV management system, to prevent the country from becoming a dumping ground for unroadworthy and near end-of-life automobiles.
In earlier briefings, the Director-General of NADDC, Mr Joseph Osanipin, explained that the ELV policy is designed to formalise Nigeria’s informal vehicle recycling market and reposition the automotive sector for sustainable growth. He disclosed that the programme, approved for implementation from 2026, could generate over N150 billion annually, create thousands of jobs across collection, dismantling and recycling segments, and convert abandoned vehicles into economic assets.
Mr Osanipin further noted that studies indicate more than 85 per cent of ELV components are reusable or recyclable, highlighting the sector’s potential contribution to a circular economy. He added that Nigeria would introduce mandatory pre-export certification for used vehicles from 2026 to curb the influx of unroadworthy and end-of-life vehicles into the country.
With the planned rollout of the ELV Policy, stakeholders say Nigeria is moving to align its automotive and environmental practices with international standards, while addressing the growing environmental and economic challenges posed by ageing vehicles on its roads.
