The electric motorcycle industry in Africa is set for significant growth, with the potential to revolutionize transportation and reduce carbon emissions. Africa currently hosts approximately 27 million motorcycles, with 80% of them being used for commercial taxi services. The electrification of this vast two-wheeler market is gaining attention due to its large addressable market and the relative affordability of electric motorcycles compared to electric cars.
Rwanda Electric Motors (REM) is one of the leaders in Africa’s electric motorcycle industry. Since its establishment in 2019, REM has become one of the continent’s largest e-mobility companies. The company is close to achieving a milestone of 50,000,000 kilometers driven with 100% electric bikes in 2023. This achievement leads to a substantial reduction in carbon emissions and significant fuel savings for moto taxi riders who no longer rely on gasoline.
REM’s flagship product, the EMB2000, is designed to travel up to 100 kilometers on its two-battery system before requiring a 3-minute swap at an exchange station. REM is also the only authorized vendor capable of retrofitting existing petrol motorcycles to full electric, making the transition to electric mobility more accessible.
Rwanda is committed to a green agenda that aims to convert all moto taxis from petrol-based internal combustion engines to electric within the next few years. Demand for electric two-wheelers and other vehicles like electric buses and cars is surging due to their attractive unit economics. Several companies in the industry are experiencing significant backlogs in orders and reservations. However, to scale up production, significant funding for vehicles and the necessary charging infrastructure is required. Additionally, addressing the skills gap in the industry is crucial to creating employment opportunities, especially given the challenge of youth unemployment in Africa.
Rwanda’s government has been proactive in promoting e-mobility by implementing supportive policies and fiscal incentives. The country’s substantial renewable energy sources, including solar power, make electric motorcycles an environmentally friendly choice that reduces the reliance on costly imported fossil fuels.
REM is at the forefront of the electric motorcycle industry in Rwanda, offering retrofits to transform old gasoline-powered bikes into electric ones. The company is planning a large-scale deployment of its electric motorcycle fleet in 2023 to assist Rwanda in achieving its goal of converting 100% of its moto taxi community to electric mobility.
The growth of the electric motorcycle manufacturing industry could have a transformative effect on the African continent by reducing the dependence on imported fossil fuels and driving economic growth through industrialization. The industry is ready to scale, and it requires investment, enabling policies, and collaboration between key stakeholders to realize its potential and bring the benefits of electric mobility to riders across the continent.