February 11, 2025

Kenya lowers tax on electric three-wheelers

The Kenyan government is seeking to lower taxes on locally-made electric three-wheelers. Electric three-wheelers that are made in the country will not be subject to the 16% Value Added Tax (VAT). To qualify for this tax waiver, more than 50% of the value of the vehicle before profit must be made using locally-made components. 

  • Kenya has published The Tax Procedures (Unassembled Motor Vehicles, and Trailers) (Amendment) Regulations, 2024 for the public to give their input before being gazetted. The regulations have included electric cars, two-wheelers, three-wheelers and trailers made locally to enjoy lower taxes. 

  • The country currently exempts both electric and diesel-powered vehicles that are made in the country from the 16% Value Added Tax (VAT) if they can achieve a local content of 30%. They can also enjoy an import duty waiver of 25% and excise duty waiver of 20% on imported completely-knocked-down (CKD) parts. 

  • Our take: The use of two-wheelers is growing in Kenya in both rural and urban areas. Lowering taxes on local assembly of these vehicles could stimulate interest from investors to tap into the growing market… Read more (2 min)

Asilia Africa, a tour firm that operates in Kenya, Uganda & Tanzania, will receive its first batch of electric vehicle conversion kits this month. It will get the kits from Tembo e-LV B.V., a subsidiary of US electric services firm VivoPower International PLC. Local conversion of Tembo’s Land Cruisers to EV units and assembly will be done locally. 

  • Asilia, part of the B Corp Certified Nawiri group, operates 165 Land Cruisers in Kenya, Uganda and Tanzania. Electric safari vehicles reduce carbon emissions, aligning with conservation objectives. They also produce minimal noise, leading to better wildlife encounters and enhancing the tourist experience, thus becoming a key selling point.

  • The World Travel & Tourism Council's 2023 report suggests that travel and tourism in Africa could boost the continent’s economy by $168 billion over the next 10 years.

  • Our take: EV adoption in the tourism sector could accelerate the transition to sustainable transport while improving competitiveness, given the eco-conscious nature of tourists… Read more (2 min)

South African mobility management company GoMetro has announced its expansion to Malaysia. The company has teamed up with Malaysia-based telematics service provider Active Telematics to help commercial fleets in the South East Asian country and neighbouring countries to transition to electric vehicles.

  • GoMetro’s suite of fleet management tools include EV-CAN for real-time analytics, monitoring and performance insights tailored to EV operations, route planning through the GoMetro Bridge platform to optimise fleet operations, the EV-FIT charging infrastructure planning and implementation tool and the ConnecTyre Tyre Pressure Monitoring System.

  • The two firms have already rolled out operations in the country. They have scheduled pilot programmes in major Malaysian urban centres in this quarter ending March.

  • Our take: Tracking and monitoring of fleet operations and performance has been around for many years. However, new vehicle technologies such as EVs are putting old fleet management systems to the test. Modern systems like GoMetro’s will play a critical role in the e-mobility transition… Read more (2 min)

____________________

SolarButterfly’s team pose in front of their Tesla in Cape Town as they start their SA tour

Events

🗓️ Algeria hosts Equip Auto Expo (Feb 17)

🗓️ UAE hosts Electric vehicle Innovation Summit (Apr 21)

🗓️ Agora hosts Transforming Africa's Transport: Vision for 2025 (Feb 18)

Jobs

👩🏻‍💻 CHAJI seeks a systems and data analyst (Kenya)

🔋 Kofa seeks a battery optimization manager (Ghana)

👨🏻‍💼 M-KOPA seeks a junior fraud investigator (South Africa)

Various 

🏢 Spiro opens first command center in Benin

🏍️ Spiro to enter the Western Kenya market

💰 Chaja Africa seeks potential collaboration with GreenMax Capital

🛵 Enzi E-Mobility introduces e-motorcycles for Carrefour Kenya fleet

1️⃣ First electric motorbike number plates issued in Ethiopia

Seen on LinkedIn 

Liliana Felix, CEO of Women Rising for Africa, describes how women in Uganda’s rural areas have benefited from electric bicycle training, enabling them to access self-sustaining opportunities.

____________________