Scaling E-mobility in East Africa: Why it matters now

By Victor MUJIDU

East Africa has the potential to become a major player in the global electric vehicle (EV) industry, but this potential can only be realized with the scaling of e-mobility in the region.

By investing in infrastructure, adoption incentives, and local manufacturing capabilities, East Africa can unlock the full potential of its EV industry and drive economic growth and sustainability.

One of the key challenges to scaling e-mobility in East Africa is the lack of adequate charging infrastructure. To address this issue, governments and private sector stakeholders can work together to expand charging networks across the region, making it easier for individuals and businesses to access and use electric vehicles.

This will not only encourage more people to adopt EVs, but also create new business opportunities in the renewable energy sector.

In addition to infrastructure, incentives are also crucial for accelerating the adoption of electric vehicles in East Africa. Governments can offer tax breaks, subsidies, and other financial incentives to make EVs more affordable and attractive to consumers.

These incentives can help lower the upfront costs of purchasing an EV and incentivize individuals to switch from traditional gasoline-powered vehicles to electric ones.

Furthermore, developing local manufacturing capabilities for EVs and their components can create job opportunities and boost economic growth in East Africa. By producing EVs locally, the region can reduce its dependence on imported vehicles and components, while also building a skilled workforce in the EV industry.

This will not only stimulate economic growth but also contribute to sustainable development and energy security in the region.

Overall, scaling e-mobility in East Africa has the potential to unlock the full potential of Africa’s electric vehicle industry.

By investing in infrastructure, adoption incentives, and local manufacturing capabilities, the region can accelerate the transition to electric vehicles, drive economic growth, and create a more sustainable future for generations to come.

Favourable statistics show that the region serves as a hub for e-mobility innovation due to the tendency of local companies to create business models within that aim to fill gaps in transportation services without waiting for infrastructure and grid expansion to catch up.

E-mobility transitioning is a potential move that has been backed up by several East African countries like Kenya, Rwanda, Tanzania, and Uganda, with the countries attracting financiers for companies looking to upscale E-mobility.

Kenya, for instance, has gained backing from a startup (Roam), receiving Ksh3.2 billion in a Series A round for scaling up the production of electric motorcycles and buses.

The move is likely to hasten the global adoption of electric transportation, which has gained traction in recent years. Some of the companies working for the rapid adoption of electric mobility in Kenya are BasiGo, Opibus, Kiri, STIMA, EVM Africa, Caetano, and Agilitee Africa.

Roam unveiled the first mass transit electric bus in Nairobi in October of last year. STIMA, a battery-swapping technology business, has also teamed with OneElectric, an Indian electric motorcycle manufacturer, to supply over 3,000 electric motorcycles in Kenya.

“We’re going deeper into owning more and more designs instead of buying off-the-shelf components and right now, we have 275 purchase components, which means that we can really cut down margins on our suppliers, and in the long-term we can provide a cost-effective product to the market,” said Wilson, one of Roam founders.

Kenya is the key driver of technology and innovation, but when it comes to electric mobility, Nairobi is lagging far behind its neighbors.

In comparison, Tanzania currently has at least 5,000 electric vehicles, yet it has only 11 e-mobility companies, which so far have raised just about Ksh1 billion in investments.

Rwanda has about 900 EVs on its roads, while Uganda, which has nine companies that have raised Ksh5 billion, is also miles ahead of Kenya in the e-mobility journey.

Uganda’s transformation has been steered by the state-owned Kiira Motors, which produced some of the first electric public-service long-distance buses on the continent.

According to the e-mobility research, the rise of this industry in the country and region will have a significant impact on the country’s economy, lowering the cost of transportation for Kenyans.

Meanwhile, data shows that over 1,350 electric-powered vehicles are on Kenyan roads, with motorbikes accounting for 62 per cent of the total.