ELECTRIC MOBILITY TRANSFORMATION: A CASE STUDY OF NAIROBI, KENYA

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Electric mobility in Kenya is transforming, driven by policy reforms, industry advocacy, and private sector innovation. The Electric Mobility Association of Kenya (EMAK) and various government bodies have been instrumental in shaping the landscape to support the adoption of electric vehicles (EVs) across the country.

EMAK’s Role in Advancing E-Mobility

EMAK has been at the forefront of advocating for policies that promote electric mobility. In June 2024, EMAK presented key recommendations to the National Assembly for the 2024/2025 financial bill, emphasizing:(e-mobilitykenya.org)

  • Incentives to bolster the adoption of electric vehicles.

  • Encouragement of both local and foreign investments in the EV sector.

  • Support for local manufacturing of EVs and components.

  • Measures to reduce costs for end consumers. (e-mobilitykenya.org)

These recommendations aim to create a conducive environment for the growth of electric mobility in Kenya. (Vellum Kenya)

Government Initiatives and Policy Framework

Draft National Electric Mobility Policy

In March 2024, the Ministry of Roads and Transport launched Kenya's first Draft Electric Mobility Policy. This policy provides a comprehensive framework for transitioning from internal combustion engine vehicles to electric mobility across all transport modes. Key highlights include:(transport.go.ke)

  • Reduction in emissions and lower operating costs.

  • Decreased reliance on imported fuels.

  • Creation of green jobs.

  • Assignment of green-colored number plates to all electric vehicles to raise awareness.

  • Development of charging infrastructure at strategic locations. (transport.go.ke, Business Daily Africa)

The policy aligns with Kenya's National Climate Change Action Plan (NCCAP) 2023-2027 and aims to reduce greenhouse gas emissions by 32% by 2030. (transport.go.ke)

Fiscal Incentives

The Kenyan government has introduced several fiscal measures to promote electric mobility:

  • Reduction of excise duty on fully electric vehicles from 20% to 10%.

  • Zero-rating of VAT on electric bicycles, buses, and lithium-ion batteries.

  • Excise duty exemptions for electric motorcycles. (Tubidy, esafiri.com)

These incentives are designed to make electric vehicles more affordable and encourage local manufacturing.

Energy Tariffs and Infrastructure

To support the growing number of electric vehicles, the Energy and Petroleum Regulatory Authority (EPRA) introduced a special subsidized tariff in April 2024:(Business Daily Africa)

This move has led to a nearly fourfold increase in EV uptake, with 4,193 EVs registered by the end of December 2024, up from 1,059 the previous year. (Business Daily Africa)

Additionally, EPRA has published regulations to install charging stations every 25 kilometers on highways, ensuring accessibility for long-distance travelers. (Business Daily Africa)

Private Sector Contributions

Private companies have played a significant role in advancing electric mobility in Kenya:

  • BasiGo: A Kenyan electric bus company leases electric buses to local operators. Since 2023, BasiGo has partnered with Associated Vehicle Assemblers to assemble buses locally. They have also established public charging stations, with the first unveiled in Buruburu in May 2023. (Wikipedia)

  • Ampersand: An electric mobility company that has established battery-swapping stations in Nairobi, offering cost-effective solutions for electric motorcycle users. (AP News)

These initiatives complement government efforts and demonstrate the viability of electric mobility solutions in Kenya.

Challenges and Future Outlook

Despite the progress, challenges remain:

  • High Import Duties: The East African Community (EAC) exemption led to an increase in import duties to 35% for cars, buses, and goods-carrying vehicles, posing a financial burden on EV importers. (Mashariki RPC)

  • Infrastructure Development: While efforts are underway, the expansion of charging infrastructure needs to keep pace with the growing number of electric vehicles.

Addressing these challenges will require continued collaboration between the government, the private sector, and other stakeholders.

Conclusion

In conclusion, Kenya's journey towards electric mobility is marked by significant strides in policy formulation, fiscal incentives, and private sector engagement. With sustained efforts, the country is poised to become a leader in electric mobility in the region.

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