Discussion Paper No. 332 of 2024 on Upscaling E-Mobility for Sustainable Transport System in Kenya

Abstract

The shift from fossil fuel powered to electric vehicles is gradually taking shape in Kenya’s transport system. The electrification of the road transport system provides a solution to growing carbon emissions from the sector. Kenya has identified electric vehicles as a decarbonization technology to achieve the net zero carbon emissions target by 2050. The study employed the futures approach to define the drivers likely to have the greatest impact in the future of e-mobility. The study established that climate change (environmental sustainability) is the most influential factor in reshaping the future of e-mobility. This will not only reduce greenhouse gas emissions and air pollution but also foster innovation and economic growth in the green technology sector. Similarly, the conversion of existing Internal combustion engine vehicles (ICEs) to electric vehicles (EVs) by replacing the internal combustion engine and its components with an electric motor and EV battery is a possible alternative to the adoption of electric mobility. Government Incentives including reduced import duties and importation fees, VAT and purchase tax exemptions, rebates, and fees for higher emission vehicles, boost the affordability of EVs. In addition, charging infrastructure that is convenient, affordable, and is a pre-requisite for electric mobility growth. The ideal growth pathway for e-mobility would require a combination of both environmental sustainability goals and targeted government interventions including providing public charging infrastructure and incentives. To achieve environmental sustainability, there is a need to develop comprehensive guidelines and policies for the sustainable lifecycle management of EVs, focusing on ethical sourcing of materials, recycling, and disposal. It is also important for vehicle manufacturers and assemblers to undertake research and design on the potential conversion of ICEs to EVs and its viability. The government needs to employ targeted incentives for consumers across different income levels to address the affordability barrier. In addition, there is a need for adequate assessment of EV market trends to inform the phasing down of incentives. It is imperative for charging infrastructure to integrate technology like smart charging to monitor energy needs and grid stability hence meeting the growing electricity demand.