Accelerating Kenya's E-Mobility Sector: Key Fiscal & Non-Fiscal Incentives Needed For Growth

The Electric Mobility sector is a rapidly growing part of Kenya's automotive industry, encompassing different types of vehicles: cars, motorcycles, two and three-wheelers, buses, bicycles, batteries, accessories and charging infrastructure. The sector has experienced significant growth, with data showing that electric vehicle (EVs) registrations have more than doubled over the past two years. Additionally, several EV companies have set up operations in Kenya. This growth is attributable to the efforts of key stakeholders in the sector, including the Government.

EV adoption can reduce Kenya's reliance on imported petroleum fuels by shifting to locally generated electricity, thereby lowering the national fuel import bill, boosting foreign exchange reserves, and freeing up savings for other sectors. It also supports the country's climate action targets under the Paris Agreement by cutting emissions from road transport. Furthermore, EVs present opportunities for local