From battery swaps to e-buses, Rwanda charges towards electric mobility tech drive - TechGyant

From battery swaps to e-buses, Rwanda charges towards electric mobility tech drive

Rwanda charges towards electric mobility tech drive

As countries globally grapple with soaring emissions, Rwanda is turning to harness cutting-edge technologies from innovative companies to spearhead an integrated electric mobility revolution and adoption that could provide a model for the African continent.

Ampersand’s battery-swapping technology

At the forefront is the Rwanda-based e-mobility tech company Ampersand, Africa’s first electric transport energy company, pioneering battery-swapping infrastructure for electric motorcycles since 2016. Ampersand has rapidly captured over 70% of Rwanda’s e-motorbike taxi market, with over 2,300 e-bikes sold in Rwanda with a purchase financing plan of 24 monthly installments and through its network of 27 automated swap stations across Kigali developed in partnership with TotalEnergies.

These stations allow riders to simply swap depleted batteries in under two minutes, addressing range anxiety and enhancing EV convenience. This seamless tech solution gives Ampersand an edge over competitors in meeting the fast-growing demand from delivery and taxi motorcycle riders wishing to switch from fuel to electric motorcycles in Africa, with plans to expand to Uganda and Tanzania.

Backed by $34.4 million from investors like AlphaMundi, Total Energy Ventures and the Rwanda Green Fund, including a recent equity funding round of USD 19.5 million featuring USD 7.5 million of new debt from Africa Go Green Fund(AGG) managed by Cygnum Capital, the startup is upscaling its battery production, expanding swap station network and accelerating research on battery tech, software and swap systems, particularly after swiftly gaining a 20% market share in Kenya with over 655 e-motorcycles sold.

Integrated solutions from global automakers

But Rwanda’s sustainable mobility drive extends far beyond just local innovators like Ampersand. Global automakers have introduced complementary mobility solutions leveraging the nation’s digital ecosystem.

Volkswagen rolled out Africa’s first electric car, the e-Golf, in Kigali back in 2019 through its local arm, Volkswagen Mobility Solutions Rwanda. Under its integrated “Move” brand, it offers services like on-demand ride-hailing (Move Ride), corporate fleet management (Move Share) and a planned car-sharing platform (Move Drive) – aligning with Rwanda’s smart city vision. Volkswagen has also partnered with Siemens on EV ecosystem pilots in the country.

Meanwhile, automakers like Auto24 Rwanda have rapidly introduced popular EVs like Tesla’s Model Y. Chinese EV firm Tailing Electric Vehicle (TAILG) is establishing a local assembly plant to cater to rising demand as well.

Seamless transit via Basigo’s e-Bus network

Enhancing sustainable mobility options is Basigo, a new electric public bus system in Rwanda that integrates seamlessly with the city’s network of nearly 200 EV charging stations, some innovatively designed as “plugin” facilities. 

BasiGo launched operations in Rwanda in December 2023 in partnership with local bus operators Kigali Bus Service, Royal Express, and Volcano Express after earlier raising $1.5 million to expand into Rwanda to address the East African country’s fleet shortage. BasiGo also subsequently raised $3 million in equity funding from CFAO Group to expand its electric bus production. In 2024, CFAO Mobility in Rwanda launched the first car dealership for BYD (Build Your Dreams) electric cars in Kigali, Rwanda, the first ever in East Africa. 

Policy enablers nurturing innovation 

Facilitating these cutting-edge mobility solutions is Rwanda’s supportive policy framework aimed at nurturing an affordable, sustainable, digitally-enabled e-mobility ecosystem through targeted regulations and incentives.

Import duty exemptions and lower charging tariffs have rapidly attracted global automakers and spurred companies like Ampersand’s innovations, creating a fertile environment for companies like TAILG to localize production.

By developing this holistic platform spanning policies, financing tools, smart applications, domestic manufacturing and integrated mobility services under one national strategy, Rwanda has established an enabling ecosystem for companies to lead its sustainable urban e-mobility transition.

Environmental and economic impacts

The environmental impacts being mitigated are substantial. Transport emissions have emerged as the biggest contributor to deteriorating air quality across Rwandan cities. The government aims to electrify 20% of buses, 30% of motorcycles and 8% of cars by 2030 through integrated solutions from companies like Ampersand, Basigo and automakers – potentially slashing emissions by 38% versus business-as-usual, a major step towards its carbon neutrality vision.

Moreover, the transition to e-motorcycles could save $22 million annually by reducing fuel imports. Mobility platforms from automakers like Volkswagen leveraging vehicle-sharing, route optimization and digitization could drive further cost efficiencies.

A pioneering roadmap for Africa’s EV transition

While infrastructural gaps and cost hurdles persist, Rwanda is pioneering an integrated paradigm by cohesively blending policies, smart digital financing, intelligent applications and services from companies like Ampersand and Volkswagen under one national strategy for sustainable mobility.  

If successfully executed, Rwanda’s tech-driven roadmap powered by intelligent systems and breakthrough innovators could catalyze an electric revolution across the continent – delivering socioeconomic and environmental impacts exceeding conventional investment approaches.

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