South Africa to deploy a fleet of BYD buses

From the newsletter

Next month, Cape Town will see an influx of BYD electric buses on its roads. Golden Arrow Bus Services (GABS), a South African public transport operator, will introduce the first 20 of 120 buses procured last year. The company has been piloting electric buses since 2020 in its commuter services, and the results appear promising for business.

• Currently, Golden Arrow operates a fleet of 1,200 buses, meaning electric buses will account for nearly 10% of its total fleet. The company has adopted the BYD B12 model, which has a capacity of 65 passengers and a range of 200 km on a full charge.

• According to the National Household Travel Survey, 35% of South African workers use public transport. Among the 3.9 million public commuters, 22% rely on bus services, while the rest prefer trains and taxis.

More details

• South Africa’s bus industry is valued at approximately $2.1 billion, serving both urban and rural areas. In Cape Town alone, over 1.5 million commuters rely on public transport daily, with buses playing a crucial role. With urbanisation increasing, the demand for efficient and sustainable public transport is growing, creating opportunities for the adoption of electric buses.

• BYD buses are gaining traction in Africa due to their affordability. For example, BasiGo, a Kenyan EV startup, operates BYD K6 and K9 models, which have a range of up to 250 km—ideal for African cities. The BYD B12 model, adopted by GABS, offers a good balance of range and capacity, making it well-suited for Cape Town’s commuter routes.

• The BYD B12 competes with locally manufactured electric buses, such as Uganda’s Kayoola EVS, which has a 300 km range but carries fewer passengers (50–55). While Kayoola buses are locally assembled, reducing costs, BYD offers a balance of performance and price, with a proven track record in global markets.

• BYD buses are also more widely available, making them a practical choice for large-scale adoption. However, Kayoola’s local production model could inspire similar initiatives in South Africa, boosting employment and reducing costs.

• Importing fully assembled buses is often cheaper and faster than local production. However, South Africa has the skills and infrastructure to assemble e-buses locally due to their existing history of manufacturing vehicles. A transition towards local assembly could help reduce costs in the long term.

• Golden Arrow may face challenges such as high upfront costs, limited charging infrastructure, and resistance from traditional fuel-based operators. To overcome these obstacles, the company should educate stakeholders on the long-term benefits of EVs. Additionally, phased implementation and pilot projects can help build confidence and address operational hurdles. A similar approach has been adopted in Kenya, where multiple bus operators have begun electrifying their fleets.

• Electric buses can help Golden Arrow compete more effectively by reducing operational costs, improving reliability, and enhancing service quality. For instance, electric buses have lower fuel and maintenance costs, allowing GABS to offer more competitive fares. Their faster acceleration and reduced downtime also minimise delays, addressing a major concern for commuters.

Our take

• South Africa offers a good market but the charging infrastructure is still developing to meet the growing demand for EV adoption. Being the country’s capital, investors and e-bus manufacturers can tap into the market. 

• Most of the country’s charging network is concentrated in the Eastern Cape, while Cape Town is in the Western Cape. Although the city has installed several fast-charging stations, scaling up the infrastructure to support heavy-duty vehicles like buses remains a challenge.

• Countries such as China and India offer valuable lessons. China, the world leader in electric buses, has deployed over 400,000 units by offering subsidies and investing in charging infrastructure. India’s FAME II scheme promotes EV adoption through incentives and partnerships. As South Africa reviews its EV White Paper, it could adopt similar policies to accelerate the uptake of electric buses.