Kenya gets 50,000-capacity e-bike assembly plant as push for electric mobility grows

Kenya President William Ruto has commissioned a 50,000-capacity electric bike plant built by green mobility company Roam. This move solidifies the country’s efforts to reduce its carbon footprint. Located in Nairobi, this is currently East Africa’s biggest assembly plant.

During his speech at the commissioning event, President Ruto said that Roam’s facility embodies Kenya’s capability to champion clean transportation in Africa. He said the initiative aligns perfectly with the country’s national goals to reduce carbon emissions and promote clean energy alternatives.

Aside from supporting the country’s environmental goals, the president said it is also a great way to generate jobs and encourage home-based automotive specialists. Ruto expects the economy to generate revenue of Sh400 million from this project. 

In a tweet, Nairobi Governor Sakaja Johnson remarked that electric mobility was the way forward. He also stated that the country’s bike riders will enjoy savings on fuel costs. They can also save money on maintenance fees. He concluded by promising Roam of his state’s intention to establish charging stations across the city for both bikes and buses. 

While Roam is a Swedish-owned company, it has concentrated on the Kenyan market. Last year, it introduced a fleet of electric-powered buses. It has always sought to develop a mobility solution that resonated with today’s standards in terms of sustainability. The motorcycles cost Sh300,000 (about N1.7 million). The plant had already assembled 200 bikes before the commissioning event.

To make them affordable to Kenyans, President Ruto revealed that his government had eliminated five taxable areas related to electric bicycles. He also declared a deduction to the existing 16% VAT on electric bikes. Components like the battery, charging equipment and spare parts won’t get taxed. Additionally, electric bike owners will spend less to charge thanks to a lower electricity tariff exclusive to charging stations.

Ruto also noted that the assembly plant will help reduce the government’s dependence on imported motorcycle components. Before 2023 ends, he expected Roam’s plant to assemble 14 parts locally. At some point, the plant’s capacity will grow to 30 parts. 

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A big boost for Kenya’s electric mobility goal 

Ruto projects that Kenya will have 200,000 electric bikes by the end of this year. If that happens, he would have fulfilled in part his two-month-old announcement that boda boda riders would soon get electric bikes. Boda boda, also called motorcycle taxis, comprise a significant part of the country’s transport sector. 

It is also a major employer of the country’s youth population. Having more electric motorcycles on the country’s roads will do it great good. Beyond the environmental impact, it will enable citizens to reduce their dependence on petrol. Following the passage of the Finance Bill, Kenyans have had to spend more on petrol for personal use and local transport. 

Provided there are adequate charging points across the country, more citizens may just make the switch. Roam’s bikes can travel up to 70, sometimes 90 kilometres. They come with two battery packs. Each takes an hour to charge from 20% to 80%. 

However, it’s worth asking how receptive citizens will be to these bikes. There’s also the affordability issue. Ruto did mention that there were plans to provide boda-boda riders with friendly financing to enable them to get electric bikes. Will that gesture be extended to citizens? It remains to be seen.