Electrifying Africa’s roads—and the economy—is closer than you think

For most of the Global South, specifically sub-Saharan Africa, e-mobility presents a greenfield opportunity and a necessary energy security measure: for countries relying on fuel imports, bills for non-domestic fuels can reach about US$19B and even higher during volatile macroeconomic environments. In Africa, vehicle ownership is growing rapidly, economies rely on efficient transport to function, and electric vehicles have the edge. A nascent electric mobility sector is gaining momentum, with electric two-wheelers (E2Ws) emerging as a promising sector.

The shift to electric two-wheelers presents a unique opportunity for Africa. Persistent Energy’s 2022 report highlighted the outsized demand for two-wheelers in the region, estimating motorbike imports at triple the rate of cars. As e-mobility demand surges, McKinsey projects E2Ws could represent up to 70% of total EV sales in Africa by 2040.

For Africa’s burgeoning youth population, motorcycles are more than just vehicles; they are economic lifelines. The region is grappling with high youth unemployment—the 2023 youth NEET (not in employment, education, or training) rate in sub-Saharan Africa stood at 21.9%, surpassing the global average of 20.4%. The motorcycle industry offers a vital source of livelihood. In Kenya alone, it is estimated that the boda boda (motorcycle taxi) sector employs about 1.5 million people, contributing an impressive KES 202B (US$1.8B) to the economy annually.

Higher fuel prices trickle down to food prices that disproportionately affect the poor and small businesses in urban areas. As the largest operating expense, elevated fuel prices become far less burdensome with electric alternatives. E2Ws offer remarkable energy efficiency, lower maintenance needs due to simpler designs, and significant cost savings.

Electric mobility is already taking off in sub-Saharan Africa

Innovative companies are already capitalizing on this opportunity. Ampersand, a pioneer in Kenya and Rwanda, offers a glimpse into the future of African e-mobility. Their model combines a commercial e-motorcycle fleet with a scalable battery-swapping network. Riders using Ampersand’s pay-as-you-drive e-motors can swap depleted batteries for fully charged ones in under two minutes, and pay only for the energy used. This system eliminates range anxiety and long charging times, two significant barriers to E2W adoption.

Electric mass transit is the next frontier for e-mobility in Africa. Companies like BasiGo in Nairobi, Kenya, have secured US$42M to expand electric public transport. Electric buses can significantly reduce carbon emissions by avoiding diesel and using the grid or renewable energy, they operate quietly, and reduce urban pollution. Through similar funding models to E2Ws, operators could also maximize cost savings and grow their businesses.

Ethiopia is also driving e-mobility through unprecedented measures, recently banning the import of ICE vehicles to support the local economy and increase fuel security. This move comes after the country implemented progressive regulations, including tax exemptions for electric vehicles and incentives for local assembly. The national e-mobility strategy aims to increase electric vehicles to 500,000 by 2030, leveraging Ethiopia’s cobalt and lithium resources. Infrastructure development includes charging stations and integrating electric buses into Addis Ababa’s bus rapid transit (BRT) system. These initiatives are expected to reduce the US$5 billion annual expenditure on fuel imports, lower transport costs, and improve air quality. Local battery production and assembly further support economic growth and sustainability, making Ethiopia a leader in Africa’s e-mobility transition.

Supporting a key factor in e-mobility: a secure electricity supply

Electric grid reliability and availability remain a concern for electric infrastructure in Africa. That is why marrying E2Ws with distributed renewable energy systems is an obvious solution. In regions where grid electricity is unreliable or non-existent, renewable energy sources like solar power—themselves inherently decentralized and self-reliant—offer a viable alternative.

To demonstrate this concept, CrossBoundary Energy is supplying Ampersand with solar-powered charging stations for electric bikes that will see 36 charging units powered by a 37kWp solar PV system, along with 150 lithium-ion batteries ready to roll at strategically placed swap stations in Nairobi. With over 10,000 E2Ws already cruising the streets in East Africa, distributed renewable energy can enable companies like Ampersand to expand rapidly and sustainably. As the demand for E2Ws increases, this partnership promises to deliver reliable, affordable charging solutions that can cut carbon emissions while fueling growth.

Funding innovations, coupled with the inherent flexibility of distributed renewable energy (DRE), can overcome key obstacles to renewable energy adoption. Financing and deploying renewable-led charging infrastructure requires substantial investment—estimated at billions of dollars across the continent—which remains a hurdle to large-scale rollout.

Renewable energy infrastructure development for e-mobility creates a ripple effect of economic benefits. It generates jobs across the value chain—from manufacturing and installation to solar asset maintenance—stimulating overall economic growth in communities. The recycling and repurposing of batteries is also a burgeoning industry that will be affected by E2W adoption, with countries like Rwanda already supporting e-waste, battery recycling, and repurposing initiatives that support a diverse value-chain of economic activity.

The importance of supportive regulation – the case of Kenya

In complement to the developing charging infrastructure, a favorable policy environment is vital to unlocking the full potential of E2Ws and other e-mobility solutions. Supportive regulations and incentives can encourage investment in infrastructure and technology.

Kenya has established a legal framework to develop e-mobility charging networks and regulate captive power generation from renewable energy sources. The E-Mobility National Policy, 2024, and the Electric Vehicle Charging and Battery Swapping Infrastructure Guidelines, 2023, aim to reduce the transport sector’s reliance on fossil fuels and combat urban pollution. The E-Mobility Policy specifically supports the adoption of electric two-wheelers through VAT exemption, import duty waivers, and tax harmonization to ensure consistency in pricing incentives across the e-mobility ecosystem. These incentives promoting E2Ws are enhancing Kenya’s transition to cleaner transportation alternatives.

Kenya’s successful implementation hinges on the application of the guidelines, which encourage strategically placing charging stations along major highways, in cities, and at commercial hubs. Progressive approaches to harmonizing national directives with county-level regulations will accelerate the rollout of necessary infrastructure.

For example, Kajiado County recently approved a “blanket no-objection” for CrossBoundary Energy, allowing the company to develop and install multiple charging stations across the county without seeking individual approvals for each site.

Kenya’s e-mobility charging licensing guidelines

Under the oversight of the Energy and Petroleum Regulatory Authority (EPRA), charging station service providers must secure licenses for charging and swapping operations, ensuring compliance with national standards. The licensing criteria for charging stations include:

• Coordination with Kenya Power & Lighting Company (KPLC) and other utilities to ensure stable supply and integration with grid management practices
• Transparency in displaying tariffs at all charging points, ensuring fair, competitive, and accessible pricing
• Compliance with safety measures covering electrical protection, fire safety, and standards for charging equipment to avoid electrical hazards
• Encouragement of renewable energy use, such as solar power, to support sustainable EV charging solutions
• Approval from the National Environment Management Authority (NEMA) to ensure minimal environmental impact, including proper disposal of batteries and waste generated by operations
• Physical planning approval from the respective county government

These efforts by EPRA and the Ministry of Roads & Transport are part of Kenya’s broader strategy to transition to cleaner transportation alternatives and achieve net-zero emissions by 2050.

The revolution is already happening – we just need to accelerate it

The transformative potential of e-mobility and electric two-wheelers in African urban transportation is immense. With the right policies and strategic investments, we can advance innovation and sustainability in electric mobility, creating cleaner and more efficient urban environments. Supporting this revolution in urban mobility will not only drive sustainable development but also help achieve the ambitious goal of net-zero emissions by 2050.

Imagine a future where the streets of Nairobi are filled with the soft hum of electric vehicles, transporting people and goods in a vibrant, thriving economy. The once-polluted air is now clear, free from the haze of exhaust fumes. In this cleaner environment, the distant roar of an internal combustion engine becomes an unusual sound, its black smoke drawing disapproving glances from the crowd.