Some have said that it must not have grown where sun remains...
Some have said that it must not have grown where sun remains shinning all the time to burn it down nor in a land where sun may not shine at all keeping it unripe.
It should have grown at a place where the sun may shine and may not shine alternately and it seems as if it (the oil) will light up all by itself without any approach of fire and its radiance may go on increasing, light upon light because the purity of olive oil and the brightness of the lantern and the safety of the lamp-holder and thus its light (brightness) multiplies. Allah guides whomsoever He wishes towards His light and provides examples for the people and Allah is All-knowing.
The commentators have explained the meaning of this verse from many angles. The first is that Allah has described this example for His Prophet. The niche is the Holy heart of the Holy messenger and the lamp is his wisdom-filled soul and the glass is the Messengership which is neither eastern nor western, neither Christian nor Jewish because Christians face east and Jews towards the west while praying.
The bountiful tree is Ibrahim (a.s.) and the light Muhammad which is about to come before people, visibly though not audibly. Second: That niche may mean Ibrahim (a.s.) and lamp may be Ismail (a.s.) and glass may be Muhammad and the blessed tree may mean Ibrahim (a.s.) because the Holy Prophet (S) was born from his loins and they have been neither eastern nor western.
The oil whereof almost gives light though fire touch it not may mean it is likely that the niceties of Muhammad (S) may become visible and apparent very soon before he gets revelation. Light upon light may mean that Messengership is a kind of light which is from the lineage of messengers. Third: The niche is Abdul Muttalib and lamp is Abdullah and glass is the Holy Prophet (S) who is neither eastern nor western, rather he is a Meccan and Mecca is situated in the middle of the world map.
Fourth: This example has been given by Allah for the believer and the niche is his soul and the lamp his chest (heart) and the glass is faith and the Quran which is in his heart and it brightens or shines through that bountiful tree which is sincerity about Allah. So that tree remains ever green like the tree around which other trees have grown and the shine of the sky does not reach that tree at the time of sunrise nor at the time of sunset and this is the example of a believer.