NADDC targets 40,000 jobs with vehicle regulation

The National Automotive Design and Development Council has launched the end-of-life vehicle regulation to drive a circular economy, generate employment, and enhance environmental sustainability.

NADDC Director-General Joseph Osanipin and the Minister of State for Industry, Sen. John Enoh, unveiled the ELV regulation at a stakeholders’ engagement and ministerial press conference in Lagos on Wednesday.

According to the NADDC, the ELV Regulation is expected to generate over 40,000 direct and indirect jobs by formalising vehicle recycling, dismantling, and repurposing operations.

“The end-of-life regulation is not just about waste management. It is about creating a circular economy, generating employment, and fostering technological innovation,” Osanipin stated. “With this regulation, we anticipate the creation of 40,000 direct and indirect jobs, the recycling of vast volumes of valuable materials and the generation of substantial revenue.”

Also speaking at the event, Enoh emphasised the importance of recycling in job creation and economic growth. He said, “This regulation will protect our economy, boost employment, enhance road safety, and heal our environment. We all need to support it.”

He claimed that only lip service was paid to ELV regulation in the past while other countries moved ahead.

Enoh urged the NADDC to include the National Union of Road Transport Workers in discussions to ensure smooth implementation. “Stakeholder engagement is crucial. We must carry everyone along to achieve success,” he remarked.

The minister also launched an information handbook and official gazette to promote public awareness. He hailed the regulation, stating, “This initiative places Nigeria among nations prioritising sustainable automotive waste management.”

NADDC’s DG noted that the regulation sets clear recycling targets for manufacturers and ensures environmental compliance in vehicle disposal.

Acknowledging that the country’s automotive landscape is evolving and requiring sustainable waste management, Osanipin stressed that most vehicles on Nigerian roads are pre-owned imports nearing their end-of-life and pose serious environmental hazards without proper regulation.

The initiative will also address the disposal of batteries from electric vehicles. “New energy vehicles, especially EVs, come with limited battery life. This regulation ensures their proper recycling, preventing environmental damage,” Osanipin explained.

Deputy Chairman of the House of Representatives Committee on Environment, Teeser Ugbor, who led the consultation on the regulation, highlighted the economic potential of the recycling sector. “End-of-life vehicles can generate over $100 billion in revenue while creating thousands of jobs. Recycling metals reduces production costs and cuts greenhouse gas emissions,” Ugbor stated.

Ugbor affirmed the role of government in policy and regulation and innovations such as Artificial Intelligence-driven sorting, automotive dismantling, and chemical recycling of plastic to improve the overall recycling efficiency in Nigeria.

“The automotive industry itself should adopt manufacturing processes that take into account eco-friendly vehicles with the possibility of recycling in mind,” the lawmaker submitted. “So the components, the body parts, and every aspect of the automobile are recyclable, and this must always be taken into account by the automotive industry.

He also encouraged investment in awareness campaigns to discourage the usage of vehicles that become end-of-life while still on the roads

Further, the Minister of Environment, Balarabe Lawal, represented by Principal Environmental Officer Ejiogu Nkechi, stressed the environmental and health risks of improper vehicle disposal. “Discarded vehicles contribute to pollution and public health crises. This regulation creates opportunities for green industries while mitigating environmental hazards,” Nkechi said.

She added that the recently unveiled ELV regulation aligns with the Federal Ministry of Environment’s National Environmental Motor Vehicle and Miscellaneous Assembly Regulation 2013 which provides a structured framework for the safe disposal, recycling and reuse of materials from end-of-life vehicles.