The role of EVs in Africa’s energy transition

The transport sector globally contributes significantly to carbon emissions, with road transportation alone responsible for about 12% of all greenhouse gases. To address this issue, the adoption of electric vehicles (EVs) has been touted as a key solution. Despite Africa being behind in the EV adoption curve compared to other regions, the shift towards electric mobility is gradually gaining momentum on the continent. CNBC Africa's Julius Bismungu delves into the role of EVs in Africa's energy transition with Lukas Lukoschek, Co-Founder of Gokabisa. The conversation highlights the challenges hindering EV uptake in Africa, the practicality of transitioning to EVs amidst power shortages, and the opportunities and incentives that can drive the adoption of electric mobility across the continent. While the adoption of EVs in Africa is currently low, Lukas Lukoschek points out that the economic viability of electric cars in the African context is already established. In regions like China, substantial government subsidies kickstarted the EV industry, leading to a decrease in the cost of electric vehicles. As a result, EVs have become increasingly affordable, making a compelling case for their adoption in Africa. Despite the economic rationale, Lukoschek notes that the lack of charging infrastructure and maintenance capabilities remains a significant barrier to widespread EV adoption. One of the key concerns raised during the discussion is the practicality of transitioning to EVs in Africa, especially in light of frequent power outages experienced in many countries. Lukoschek addresses this issue by highlighting that most EVs are charged at slower charging stations, either at home or in businesses, where the cars are connected for extended periods. This charging behavior minimizes the impact of power outages on the overall charging process, making EVs a feasible option even in regions with intermittent electricity supply. Gokabisa, Lukoschek's electric mobility company, has embarked on deploying EVs in Rwanda, leveraging the country's supportive policies and incentives for electric vehicles. The Rwandan government has implemented measures such as waiving importation taxes and sales taxes on electric cars and charging infrastructure to promote the adoption of EVs. These legislative changes have resulted in price parity between electric cars and secondhand petrol vehicles, making EVs an attractive alternative in the East African market. Lukoschek emphasizes the importance of replicating such incentives across other East African countries to accelerate the transition to electric mobility. In addition to selling electric cars, Gokabisa is focused on addressing infrastructure challenges by installing home chargers alongside each vehicle sale and planning to establish an electric vehicle garage in Rwanda. Lukoschek acknowledges the varying regulatory landscapes for EVs across African countries, with some nations lacking comprehensive regulations to support the deployment of electric mobility solutions. He underscores the importance of policy alignment with global emission reduction commitments and the availability of donor funding to drive sustainable businesses and incentivize governments to implement supportive EV policies. As the world shifts towards cleaner energy sources and transportation systems, Lukoschek remains optimistic about the potential for African countries to embrace electric mobility and pave the way for a more sustainable future. The economic benefits, coupled with governmental incentives and donor support, offer a promising outlook for the widespread adoption of EVs across the continent. By overcoming infrastructure challenges, addressing regulatory gaps, and capitalizing on available incentives, Africa can chart a course towards a greener and more energy-efficient transport sector.