Kenya and Rwanda are setting the pace in East Africa’s transition to electric mobility, with a significant boost to their electric bus fleets, thanks to a recent investment in the sector. BasiGo, a pioneering start-up in the electric vehicle (EV) market, has secured a substantial $3 million equity funding from the CFAO Group, which is part of the Toyota Tsusho Corporation, marking a significant leap towards sustainable transportation in the region.
This investment, a collaborative effort between CFAO Kenya and Mobility54, CFAO’s corporate venture capital arm, is earmarked for the expansion of BasiGo’s electric bus production and distribution within Kenya and Rwanda. This strategic partnership underscores the growing interest in and commitment to electrifying public transportation in Africa, positioning BasiGo at the forefront of the continent’s green mobility revolution.
Jit Bhattacharya, the founder and CEO of BasiGo, expressed enthusiasm about the collaboration with CFAO, highlighting its importance in accelerating the adoption of electric buses across Africa. “CFAO, a leading African energy and mobility company, recognizes the potential of electric mobility in Africa, ensuring BasiGo offers competitive, scalable e-bus solutions,” Bhattacharya stated. This partnership follows CFAO’s earlier initiative of launching the first dealership for BYD electric cars in Kigali, Rwanda, further demonstrating the group’s commitment to advancing electric mobility in the region.
BasiGo’s ambitious plan aims to deliver 1,000 locally assembled electric buses over the next three years, a move expected to generate at least 300 green manufacturing jobs in Kenya. The company has already received significant interest from transport operators, with 500 reservations for its electric buses in Nairobi, Kenya, and an additional 100 in Kigali, Rwanda. This burgeoning demand underscores the region’s readiness to embrace cleaner, more sustainable modes of transport.
Moreover, BasiGo intends to broaden its innovative Pay-As-You-Drive financing model to encompass a wider array of commercial electric vehicles, further facilitating the transition to green transportation. This model, designed to make electric buses more accessible to operators, is pivotal in driving the adoption of EVs in public transport networks across Kenya and Rwanda.
CFAO Kenya emphasized the transformative potential of this funding, envisioning it as a catalyst for scaling up BasiGo’s electric bus operations in both countries. “Together, we’re investing in electric buses, driving innovation, and paving the way towards carbon neutrality in Africa. Our joint investment in electric buses is not just a step towards greener cities but a commitment to shaping a cleaner, brighter future for the children of Africa,” said a representative of CFAO Kenya.
The push towards electric mobility in Kenya is already showing promising signs of growth, with the number of EVs and motorcycles increasing significantly. According to the Energy and Petroleum Regulatory Authority (EPRA), the tally of EVs and motorcycles rose by 729 units by June 2023, reaching a total of 2,079, compared to 1,350 in 2021. This trend indicates a growing acceptance and enthusiasm for electric transportation solutions in the region, setting the stage for a more sustainable and eco-friendly future in East Africa’s urban centers.
